Topic: How To Invest

Dividend Advisor Hotline – Friday, March 27, 2020

Article Excerpt

CHEVRON CORP., $68.78, New York symbol CVX, remains a buy for the Resources sector of your portfolio. Through your shares, you tap the operations of the second-largest integrated oil producer in the U.S. by revenue. That’s after ExxonMobil (New York symbol XOM). With the March 2020 payment, the company increased your quarterly dividend by 8.4%. Investors will now receive $1.29 a share instead of $1.19. The new annual rate of $5.16 yields a high 7.5%. That’s because the stock is down 24% in the past month due to the coronavirus outbreak and sharply lower oil and natural gas prices. Chevron is now taking aggressive action to conserve cash. Those moves include suspending share buybacks and cutting its 2020 exploration costs and other capital spending by 20%, or $4 billion, to $16 billion. In addition, the company expects to cut $1 billion from its annual costs by the end of this year. The company feels these moves will help it protect the current dividend rate…