Share This Article

Facebook LinkedIn
Twitter Reddit
Print Email
Pinterest Gmail
Yahoo
Money Morning
×
  • Invest
    • Best Stocks to Buy
    • Stock Forecasts
    • Stocks to Sell Now
    • Stock Market Predictions
    • Technology Stocks
    • Best REITs to Buy Now
    • IPO Stocks
    • Penny Stocks
    • Dividend Stocks
    • Cryptocurrencies
    • Cannabis Investing
    • Angel Investing
  • Trade
    • How to Trade Options
    • Best Trades to Make Now
    • Options Trading Strategies
    • Weekly Trade Recommendations
  • Retire
    • Income Investing Guide
    • Retirement Articles
  • More
    • Money Morning LIVE
    • Special Investing Reports
    • Our ELetters
    • Our Premium Services
    • Videos
    • Meet Our Experts
    • Profit Academy
Login My Member Benefits Archives Research Your Team About Us FAQ
  • Invest
    • Best Stocks to Buy
    • Stock Forecasts
    • Stocks to Sell Now
    • Stock Market Predictions
    • Technology Stocks
    • Best REITs to Buy Now
    • IPO Stocks
    • Penny Stocks
    • Dividend Stocks
    • Cryptocurrencies
    • Cannabis Investing
    • Angel Investing
    ×
  • Trade
    • How to Trade Options
    • Best Trades to Make Now
    • Options Trading Strategies
    • Weekly Trade Recommendations
    ×
  • Retire
    • Income Investing Guide
    • Retirement Articles
    ×
  • More
    • Money Morning LIVE
    • Special Investing Reports
    • Our ELetters
    • Our Premium Services
    • Videos
    • Meet Our Experts
    • Profit Academy
    ×
  • Subscribe
Enter stock ticker or keyword
×
5 Ways to Beat the Fed (and Crush Inflation)

Email this Article

Send with mail | ahoo instead.
Required Needs to be a valid email
Required Needs to be a valid email
The 3 Best Energy Stocks to Buy in 2017
http://mney.co/2jgWvn7
Required Please enter the correct value.
Twitter
Stocks: CNX, MMP, PAA

The 3 Best Energy Stocks to Buy in 2017

By Money Morning News Team, Money Morning • January 20, 2017

Start the conversation

Comment on This Story Click here to cancel reply.

Or to contact Money Morning Customer Service, click here.

Your email address will not be published. Required fields are marked *

Some HTML is OK

To help investors profit from rising oil and natural gas prices, we're showing you the best energy stocks to buy in 2017.

WTI crude oil prices hit a 10-year low of $35.73 in January 2016. Since then, crude oil prices have soared 47% to $52.53 a barrel.

Natural gas prices have surged, too. Natural gas prices rose 57% from the beginning of 2016 to the start of 2017.

And Money Morning Global Energy Strategist Dr. Kent Moors expects both oil and natural gas prices to continue rising by at least 20% in 2017.

To help investors take advantage of these rising prices, we've put together our list of the best energy stocks to buy in 2017. These stocks have already gained up to 259% as energy prices climbed in 2016. Now analysts are projecting 31% earnings growth this year. Before we get to our picks, here's how investing in energy stocks helps investors profit from rising energy prices...

Why You Should Invest in Energy Stocks in 2017

Investors can see explosive gains by playing the best energy stocks when energy prices rise. And oil and gas prices are headed up in 2017.

Oil prices have soared 15% since OPEC agreed to cut oil production on Nov. 30.

The OPEC deal called for a drop in production of 32.5 million barrels a day. Simple supply and demand tells us that if demand remains the same and supply is restrained, prices will go up.

The agreement officially began on Jan. 1, so there's still plenty of room for oil prices to continue to rise.

If the OPEC members abide by the agreement, Moors predicts oil prices could rise another 20% in 2017.
The agreement is off to a strong start. Saudi Arabia, the largest oil producer in OPEC, has already confirmed it cut oil production 486,000 barrels a day since the agreement was struck.

And at yesterday's World Economic Forum (Jan. 19), the Associated Press reports Saudi Arabian oil minister Khalid al-Filah said he "would not exclude" another oil production cut in 2017 if prices don't rise quickly enough.

Trending: Forecast: There Are Big Changes and Big Profits Coming to the Oil Sector in 2017

And just as oil prices are rising, natural gas prices are heading higher, too.

Moors predicts natural gas prices could surge 32% in 2017.

Demand for natural gas is growing since it's cleaner than other fossil fuels, especially coal.

Natural gas produces half the carbon emissions as coal. And Pew Research says 64% of Americans favor more regulations on carbon emissions.

As Americans are searching for cleaner energy like natural gas and as OPEC is cutting oil production, the demand for energy is still increasing. This means the top energy stocks are poised to benefit as energy prices rise.

energy stocks to buy

Editor's Note: Read Our 2017 Natural Gas Price Prediction

The U.S. Energy Information Administration (EIA) forecasts that the demand for energy worldwide will increase 25% by 2040.

The final reasons to consider investing in energy stocks are the proposed policies of the Trump administration.
President Trump promised voters the United States would achieve "energy independence." His plan is to make it easier for American energy companies to produce oil and natural gas.

Trump has already picked an EPA head, Oklahoma Attorney General Scott Pruitt. Pruitt is most known for suing the EPA over policies restricting the oil and gas companies in his home state.

With energy prices rising and restrictions on oil and gas companies set to weaken, these are the best energy stocks to buy this year...

Energy Stocks to Buy in 2017 No. 3: Magellan Midstream Partners LP

Magellan Midstream Partners LP (NYSE: MMP) is a Tulsa-based company focused on the storage, distribution, and transportation of crude oil and refined petroleum products.

As those drilling restrictions begin to loosen in the United States and demand rises, the need for oil transportation and storage services will skyrocket. This is Magellan's core business.

The company has access to a 9,500-mile refined products pipeline system, a 1,100-mile ammonia pipeline system, and 1,700 miles of crude oil pipelines and storage facilities.

Magellan began a project in December 2016 to expand its capacity to store oil by as much as 1.7 million barrels. On Jan. 11, the company announced additional plans for pipeline expansion from the Gulf Coast into the Dallas/Fort Worth and Central Texas markets.

Magellan is a well-run company with significant room for growth in the coming year.

The company's operating margin is 39.69%, meaning nearly 40% of every sales dollar goes to its bottom line.

The 19 analysts surveyed by Yahoo Finance expect 2017 earnings per share (EPS) to grow 8% over earnings from 2016.

MMP is trading at $74.59, with shares up 31% over the last 12 months. The company also has a generous 4.49% dividend yield.

And our two top energy stocks are even better plays, including a 259% gain as energy prices rose since last January. Those gains are primed to continue as energy prices continue to rise...

Energy Stocks to Buy in 2017 No. 2: Plains All American Pipeline LP

Join the conversation. Click here to jump to comments…

Login
guest
guest
0 Comments
Inline Feedbacks
View all comments
LIVE
Visit Money Morning Live


Latest News

January 19, 2023 • By Money Morning Stock Research Team

These Stocks Could Go To $0

January 9, 2023 • By Money Morning Stock Research Team

The Government Is Pouring $391 Billion Into These Stocks - Buy Now

December 27, 2022 • By Money Morning Staff Reports

6 IPOs in 2023 You Can’t Afford to Miss
Trending Stories
ABOUT MONEY MORNING

Money Morning gives you access to a team of market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.

QUICK LINKS
About Us COVID-19 Announcements How Money Morning Works FAQs Contact Us Search Article Archive Forgot Username/Password Archives Profit Academy Research Your Team Videos Text Messaging Terms of Use
FREE NEWSLETTERS
Total Wealth Research Power Profit Trades Profit Takeover This Is VWAP Penny Hawk Trading Today Midday Momentum Pump Up the Close
PREMIUM SERVICES
Money Map Press Home Money Map Report Fast Fortune Club Weekly Cash Clock Night Trader Microcurrency Trader Hyperdrive Portfolio Rocket Wealth Initiative Extreme Profit Hunters Profit Revolution Warlock's World Penny Nation Quantum Data Profits Live Trading Alliance Trade The Close Inside Money Trader Expiration Trader Vega Burst Trader Flashpoint Trader Darknet Hyper Momentum Trader

© 2023 Money Morning All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning.

Address: 1125 N Charles St. | Baltimore, MD, 21201 | USA | Phone: 888.384.8339 | Disclaimer | Sitemap | Privacy Policy | Whitelist Us | Do Not Sell My Info

wpDiscuz