When you are as big as Chevron (CVX), it takes a lot to feed you. Chevron has been eating well though. The company continues to make smart moves into profitable plays such as gas exploration in China, theAustralian LNG project, and exploration in the Gulf of Mexico. All of these are expected from a supermajor, but Chevron has the fortitude to keep a management mindset of a small entrepreneurial enterprise - stayinghungry.
The company has made increases in annual EPS growth since 2002. Earnings per share have risen from $.54 per share in 2004 to $13.44 in 2011. The company continues to impress while competing with the likes of Exxon Mobil (XOM) and BP (BP). Like Chevron, both Exxon Mobil and BP must continue to creatively expand. Exxon Mobil recently expanded its shale oil operations in the United States through the purchase of quality acreage in the Bakken Shale, agreeing to buy Denbury Onshore’s assets for $1.6 billion in cash and operating interests in two of its fields. The company also recently sold one of its refineries in Argentina. BP recentlyacquired a larger stake in the Russian state oil company Rosneft. This is all part of maintaining a giant’s steady growth. Chevron will continue on this path pleasing investors along the way. That is why I believe this company to be one to buy now as a great investment for the future.
In Australia, Chevron is making great strides. The company is targeting an expansion of the $45 billion Gorgon project in 2014. To continue reading, click here.
