5 Oil Stocks to Sell Before Recession Begins

1. Exxon Mobil Corporation (NYSE:XOM)

Number of Hedge Fund Holders: 83

Stock Price as of July 7: $84.81

Exxon Mobil Corporation (NYSE:XOM) is one of the biggest publicly listed energy companies in the world.

The Irving, Texas-based company anticipates a financial charge of $100 million to $200 million during Q2 2022 to reflect the impact of production loss from Russia. Furthermore, oil companies with a profit margin of more than 10% could be imposed a federal super-tax under a plan formulated by Ron Wyden, a Democrat from Oregon who leads the House Finance Committee. This would mean that Exxon Mobil Corporation (NYSE:XOM) would have to pay 21% more in taxes to the US government in addition to the 21% US corporate tax. Exxon Mobil Corporation (NYSE:XOM) has invested $118 billion in the oil and gas sector in the last five years but has only generated $55 billion of net income during that period.

Saturna Capital shared its stance on Exxon Mobil Corporation (NYSE:XOM) in its Q4 2021 investor letter. Here’s what the firm said:

“Few companies maintain their position at the top for more than a decade or two. One that did was Exxon, which appeared decennially from 1980 through 2010. In 2019 it was ranked 10th, but as of writing has dropped to 39th place.”

Exxon Mobil Corporation (NYSE:XOM) was held by 83 hedge funds as of Q1 2022.

You can also take a peek at The 10 Best Stocks to Buy Now According to Billionaire Paul Tudor Jones and Billionaire Nelson Peltz’s Top 7 Stock Picks.

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