This article highlights the top five oil stocks to watch in 2024, emphasizing companies' financial health, strategic focus areas, and resilience. Despite industry challenges from regulations and environmental concerns, these firms present promising investment opportunities with steady dividends and growth potential. Key players include ConocoPhillips, Phillips 66, Enbridge, Chevron, and Exxon Mobil, each demonstrating resilience and strategic advantage to navigate market shifts effectively.

Top 5 Oil Stocks to Watch This Year

Oil exploration, production, transportation, refining, and distribution companies face growing industry challenges due to tighter regulations and environmental concerns. Despite these obstacles, certain companies display strong investment prospects. Here are five notable oil stocks to consider this year.

ConocoPhillips This global leader focuses on exploration and production in over a dozen countries. Its low-cost, varied portfolio combined with solid financials helps it withstand market fluctuations effectively.

ConocoPhillips’s strong financial position and resilient balance sheet prepare it well for future industry changes.

Phillips 66 This refining and marketing company operates mainly in the U.S. and Europe, with significant midstream assets. Its focus on high-margin products ensures steady profitability and consistent dividends.

Enbridge As renewables become more prominent, Enbridge remains a solid option. It manages North America's largest oil pipeline system and has extensive natural gas distribution, providing stable income amid global market shifts. Its healthy balance sheet supports continuous investments and dividend payouts.

Chevron Corporation Despite recent weather-related setbacks, Chevron reported strong earnings early this year, ending the quarter with $850 million in surplus cash, and increasing dividends, sustaining a robust financial outlook.

Exxon Mobil Exxon's recent quarterly results show recovery, thanks to its chemical segment and cost reductions of about $1 billion in 2020. Asset sales and expense controls have enhanced financial stability, ensuring reliable dividends.