5 Stocks to Profit from Inflation

3. Occidental Petroleum Corporation (NYSE:OXY)

Number of Hedge Fund Holders: 67

As of June 23, Occidental Petroleum Corporation (NYSE:OXY) has climbed 76.72% over the past twelve months and has a PE ratio of 8.39, making it an undervalued energy stock to buy to profit from inflation. This June, Truist analyst Neal Dingmann raised his price target on Occidental Petroleum Corporation (NYSE:OXY) to $93 from $88 and reiterated a Buy rating on the shares.

On May 10, Occidental Petroleum Corporation (NYSE:OXY) announced earnings for the first quarter of fiscal year 2022. The company registered an EPS of $2.12 and beat estimates by $0.09. Moreover, the company’s revenue amounted to $8.53 billion, up 55.74% year over year, ahead of expectations by $473.11 million.

At the close of Q1 2022, 67 hedge funds disclosed ownership of stakes in Occidental Petroleum Corporation (NYSE:OXY). The total value of these stakes amounted to $12.61 billion, up from $3.86 billion in the previous quarter with 58 positions. The hedge fund sentiment for the stock is positive.

As of March 31, Berkshire Hathaway is the top shareholder in Occidental Petroleum Corporation (NYSE:OXY). The fund owns over 136.37 million shares of the company which brings its stakes to $7.73 billion.

Here is what Smead Capital Management had to say about Occidental Petroleum Corporation (NYSE:OXY) in its “Smead Value Fund” third-quarter 2021 investor letter:

“Oil stocks dominated our winners for the quarter. We showed that we have unlimited ability to tempt fate by buying into Occidental Petroleum (OXY) this year after it was our biggest loser of 2020. It gained 16.64% during the third quarter.”