Tom Gives us Insights into Energy Investments
Transcript:
Easan Arulanantham:
So this question comes from George. Yeah. What do you think of some of like the older stocks, companies like Exxon Mobil, or kind of older companies that are kind of not with the trends? Or you could say, yeah, with the trends of going green? Yeah, you know, what should I do with those? Should I hold them? Or should I sell them and move money?
Tom Vaughan:
Which, you know, well, can I plan for right now, the older companies are the ones that are really the ones that are part what we call the epicenter trades. So if you look at what happened last year, right, there’s a bunch of companies that got really hit on average energy companies dropped, you know, probably 6070 80% range. And so like Exxon Mobil for is a good example.
As things reopen, there’s going to be a lot of interest in, you know, energy, because that’s what’s going to be needed. We’re going to be flying more moving more driving more, and what have you. And I think, you know, companies like that could do very, very well. Clean or green energy is the future, but it’s not here right now. And we’re gonna have an opening right now. I mean, literally, this summer, and I don’t think we’re gonna replace all of the Exxon pieces, for example, before this summer, so I’d be holding on to that. I think those are those are the areas we’re actually buying right now. When you look inside that portfolio that I just showed the pure value pieces, an Exxon would fit into that category, energy, financials, industrials, materials, those are areas that are all part of this Epicenter trade.
So I think we could see some phenomenal gains out of those types of areas, you know, before the end of the year, long term. You know, you have to wait and see, there’s a company like Exxon, for example, are some of these older companies, how are they able to morph? And how are they able to change and how are you know, because you never know, I mean, Exxon could get really big on the Clean Energy side, and I know some of these companies are moving that way. For example,