Chevron's Leverage Doubled. It's Still the Strongest Oil Stock
Energy prices have been dealt a devastating blow by COVID-19. Every energy company has been forced to pull back, circle the wagons, and focus on basic survival, and an increasing number of companies have failed to achieve even this modest goal. Global integrated energy giant Chevron (NYSE: CVX), meanwhile, sits at the other end of the spectrum. While clearly retrenching, it is showing just how financially strong it is today.
The most recent oil name to seek out bankruptcy court protections was Chesapeake Energy. It's a big event in the industry, even though it had been expected for months, because the company helped to usher in the fracking boom that turned the United States into a major energy exporter. Along the way, however, growing U.S. onshore oil production also upended the supply/demand balance in the energy sector, setting the stage for today's troubles.
Image source: Getty Images
Source Fool.com
