Oil Stocks To Invest In 2011

Overall, the oil reserves is very lucrative, but it is their volatile nature, which can be risky for investors. The best way to invest in oil stocks through common shares. Experts say the oil reserves run out, but oil demand has continued unabated. In fact, demand for oil has increased dramatically as the emerging economies of Southeast Asia grow. These two factors cause the price of oil soaring. On the other hand, there is still oil companies have the same operating costs more or less, although the price of goods increased marginally. Therefore, the total revenues from oil companies is more than it was several years ago. This means that if you invest in oil stocks, you will get better performance because of more income from the company and the high price of oil on the world market.

While most oil companies are doing well and you can invest in one of those rare people who are doing better than others. Before you invest, you should find the income of the company, the number of units sold during the last 5 years, the source of the raw material source of income, the size of the company, corporate image , distribution policies and any recent mergers, acquisitions or sales. Find the information you will get an idea about the company and its stability. Also, check out the annual report of the company and expert opinion about the company and its future.

However, as mentioned earlier, there are some oil stocks perform better than others. So, these are companies you should look. Oil stocks to invest in the year 2011 include the following:

Vaalco Energy Inc: This is an action very stable and the company is experiencing a gradual increase in their income. This population is ideal for people seeking long-term investments.

Plains Exploration and Production: Although a newcomer, the company has good weather in the event of revenue. The company is involved in the petrochemical and natural gas production. This is the best time to buy shares in the company's future, there are signs that stock prices will rise.

Occidental Petroleum: This is a great company with operations in the Middle East, North Africa and South America. The company has a long history and a record of making profits continuously. The company offers high dividend payments and this makes it one of the best investments in the oil reserves in 2011.

Chevron Corporation: The company has been around for a while now and is considered one of the best companies to invest in it, experts predict that the dividend will be high this year, and will therefore be interesting to invest in their actions.