Where This Natural Gas and Oil Stock Gets Its Cash

Updated

The following video is part of our "Motley Fool Conversations" series, in which consumer goods editor and analyst Austin Smith discusses topics across the investing world.

In today's edition, Austin shows investors where the cash comes from with energy giant Chevron (NYS: CVX) . The oil and gas company is a titan in its space and has a surprising profit profile. While a small amount of total revenue comes from its upstream division, it is actually Chevron's more profitable segment and records a larger profit than its downstream segment. This dynamic is repeated across the energy world with many of the biggest companies, and is one reason Marathon Oil (NYS: MRO) opted to split into two companies.

Chevron, with its great dividend, can be a great long-term investment, but it's far from the best. There is one natural gas stock we've uncovered in our special free report:"The Only Energy Stock You'll Ever Need." Don't miss out on this limited-time offer and your opportunity to discover this under-the-radar company before the market does. Click here to access your report -- it's totally free.

At the time thisarticle was published Austin Smith has no positions in the stocks mentioned above. The Motley Fool has no positions in the stocks mentioned above. Motley Fool newsletter services recommend Chevron. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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