(NYSE: CVX) has a lot going for it as an energy investment, not least of which is the dividend, which has been increased annually for 37 consecutive years and supports a lofty 4.4% dividend yield at present. With the stock more than 20% below its most recent highs, should you buy Chevron? Here are some important factors to consider before making the final call.

The headline is actually a trick question because Chevron pretty much does everything, which is why it is classified as an integrated energy company. But to be more specific, it has operations in the upstream segment (energy production), the midstream arena (pipelines and other transportation and storage infrastructure), and the downstream niche (chemicals and refining). Each segment of the broader energy sector operates a little differently and has different market dynamics.

Putting upstream, midstream, and downstream businesses all under one roof not only creates a diversified company, which is further enhanced by Chevron's global reach, but tends to help soften the ups and downs of the energy cycle. Commodity prices are the main driver of Chevron's top and bottom lines, but the inherent swings won't be quite as material as they would be if it were solely focused on the upstream.

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Source Fool.com