Warren Buffett Loves His Oil Stock, but Here Are Two Better Ones...

Sometimes it’s more comfortable to go back to your roots. For investors, that comfort in knowing your investment well is one of the keys to success in this market. [Energy and Capital Header] Practical Investment Analysis for the New Energy Economy Warren Buffett Loves His Oil Stock, but Here Are Two Better Ones… Keith Kohl | Jul 07, 2023 Sometimes it’s more comfortable to go back to your roots. For investors, that comfort in knowing your investment well is one of the keys to success in this market. That goes for every investor on the planet, from the smallest trading account all the up to the world’s greatest investor, Warren Buffett. As he would put it, "Invest in what you know!" And believe it or not, Warren Buffett knows oil stocks. In fact, the first stock Buffett ever purchased was an oil company called Cities Services way back on March 11, 1942, at the tender age of just 11 years old. I know that name won’t ring a bell for most of my readers; I’ll confess that I didn’t recognize it at first, either. My generation would be more familiar with the name it adopted a few decades later — Citgo. Then Citgo was acquired in 1983 by an oil company that I know you’ve all heard of named Occidental Petroleum. Did you put the puzzle pieces together yet? What if I told you that Warren Buffett has been hungry for oil stocks for years? The New Emperor of Energy Storage You’re looking at the future of a $3.3 trillion industry. Thanks to this groundbreaking innovation, clean energy can be fed to the power grid 24/7... Regardless of whether the sun is shining or the wind is blowing. I call it the "Newton Battery," and it crushes every other battery on the market. The Swiss and the Saudis are already using it. And grids across the globe will be using this battery before we know it. It’s all possible thanks to one tiny company’s patented tech. The best part is that 99% of investors have no idea that it just went public... [Get in on the ground floor now, before it's too late.]( Back when the Bakken oil boom in North Dakota was hitting a peak, Buffett's Berkshire Hathaway shelled out a cool $26 billion for a rail stock named Burlington Northern Santa Fe. It was an incredibly smart move since pipeline capacity in North Dakota was full to the brim, and the next best way to get that flood of crude oil to market was via railway. So it was a surprise to nobody when Berkshire started buying up shares of Occidental Petroleum. Yes, THAT Occidental. The Oracle of Omaha had finally gone back to his roots, and that decision has been cramming cash into his pocket ever since. During the summer and fall of 2022, Berkshire scooped up more than 20 million shares of Occidental Petroleum. Between September 26 and September 28, it doled out about $352 million adding shares to its position. By the time the new year rang in, Berkshire controlled nearly 200 million shares of Occidental. To put a little perspective on this massive position, keep in mind that Occidental has approximately 892 million shares outstanding today. And like I said, Buffett's been hungry for oil stocks; the only question in his mind was timing. You’re going to love what happened next… [QUIZ] 46 BILLION Barrels of Oil?! A massive $5.9 trillion oil boom is about to take place. Three tiny companies just acquired the rights to mine an untapped patch holding 46 billion barrels of oil in a mystery location... And it even has the potential to reach $9 trillion in value if prices reach $200 per barrel! So which country do you think will lead this upcoming oil surge? - Venezuela - Saudi Arabia - Canada - Russia Think you know the answer? [See if you’re right!]( In March 2023, Buffett gave Berkshire the green light again, this time snapping up 5.8 million shares of Occidental Petroleum. For the record, those purchases cost him another $350 million. But Buffett was far from finished. Last month, Berkshire loaded up on even more Occidental shares, this time adding almost 5 million more shares to its books. Now Berkshire controls more than 25% of Occidental Petroleum and its position is worth closer to $13 billion! But you know what? Buffett chose the wrong oil stock. Don’t get me wrong — he’s going to make an extraordinary amount of money owning more than one-quarter of the Permian Basin’s largest landholder. Moreover, Occidental Petroleum is a good fit for his strategy. Buffett loves the stability of big brands, and Occidental is precisely that in the U.S. oil patch. If I had the pick of the litter, I would’ve first looked at strong Permian producers like Matador Resources or Diamondback Energy, both trading at levels that are as attractive as Occidental if not more! But the one thing I’ll say for Buffett is that he sees something most of the investment herd doesn’t — the end of the shale boom. I'll have more on that next week. Until next time, [Keith Kohl Signature] Keith Kohl [[follow basic]Check us out on YouTube!]( A true insider in the technology and energy markets, Keith’s research has helped everyday investors capitalize from the rapid adoption of new technology trends and energy transitions. Keith connects with hundreds of thousands of readers as the Managing Editor of [Energy & Capital](, as well as the investment director of Angel Publishing's [Energy Investor]( and [Technology and Opportunity](. For nearly two decades, Keith has been providing in-depth coverage of the hottest investment trends before they go mainstream — from the shale oil and gas boom in the United States to the red-hot EV revolution currently underway. Keith and his readers have banked hundreds of winning trades on the 5G rollout and on key advancements in robotics and AI technology. Keith’s keen trading acumen and investment research also extend all the way into the complex biotech sector, where he and his readers take advantage of the newest and most groundbreaking medical therapies being developed by nearly 1,000 biotech companies. His network includes hundreds of experts, from M.D.s and Ph.D.s to lab scientists grinding out the latest medical technology and treatments. 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