I’m a father of five beautiful children and a grandfather of three lovely grandkids.

Like you, we all want to leave this planet a lot healthier and cleaner for them.

So, we are all on the same side of the table on green energy.

Heck, I don’t know anyone that is pro-pollution.

But here’s the problem: fossil fuels — oil, gas, and coal — aren’t going anywhere.

In fact, 97% of all global transportation is still powered by oil.

President Biden’s blunder of going all in on Green Energy is a huge mistake. And that’s because for all the technology, resources, and billions in subsidies… green energy is just not there yet.

It can’t replace fossil fuels. Those are the facts.

Today, I want to show you why oil and natural gas will be around for the next several decades…

And a quick and easy way to profit from Biden’s Green Energy Blunder.

Watch my video for the full story:

                              

If you prefer to read the transcript, click here.

Over the next few weeks, I’m going to share with you more ways to profit from this trend.

Until then, please let me know if you agree — are you bullish on oil? Or if you disagree, send me the facts. I’d love to hear from you and share your thoughts in a future update!

You can email me at BanyanEdge@BanyanHill.com.

Regards,

Charles Mizrahi

Charles Mizrahi

Founder, Alpha Investor

P.S. In 40 years, I’ve seen a lot. Bull, bear and everything in between.

But there is one thing I’ve seen that has stolen the most profits from investors: procrastination.

My father used to say:

Don't procrastinate on good investments.

So, please don’t procrastinate in anything you do in life. But, especially, don’t miss the opportunity to receive “free shares” from great businesses this year.

Now is the time to act.

These opportunities can come and go very quickly, and you really need to jump on them before Mr. Market figures out there’s money to be made.

Click here for the details now!

Market Edge: Follow the Fossil Fuel Money

Fossil fuels still make better investments than green energy.

As Charles points out, traditional fossil fuels still massively dwarf renewable energy in terms of market share.

But market share alone doesn’t make a good investment. For a long-term investment – one you’re comfortable holding for years, if not decades — you want to see healthy profit margins.

It ultimately all comes down to profit. Profit is what fuels new growth… as well as what funds dividends, buybacks and other things that bring value to shareholders.

Well, guess what: Big Oil delivers here too.

Consider the returns on equity (ROE) over the past year on the top five holdings of the ETF Charles mentioned in his video…

Company Ticker ROE
ExxonMobil Corporation XOM 30.45%
Chevron Corporation CVX 23.77%
ConocoPhillips COP 40.00%
EOG Resources EOG 32.74%
Schlumberger Limited SLB 20.99%

 

ConocoPhillips has a ROE that’s actually higher than Microsoft’s… a company that sells notoriously high-margin software.

And while oil and gas prices are notoriously volatile, there is every reason to believe that margins in the energy space remain high for years to come.

As Charles pointed out, the federal government hasn’t been creating a lot of incentives to add new capacity. When the president of the United States is openly talking about phasing out your industry, that doesn’t exactly build the kind of confidence you need to invest in the future.

Well, if you are an existing player, that’s not a bad thing! A lack of new investment in oil and gas over the past several years means less competitive pressure and, all else equal, fatter margins.

It’s also important to remember that any oil and gas firm alive today is, by definition, a survivor. The fracking revolution of the 2000s culminated in an oversupply crisis in 2015 which saw prices collapse.

Then the pandemic hit, sending crude oil prices into negative territory in April of 2020. For a moment, you literally couldn’t give oil away.

The companies alive and well today are the ones that survived the worst bear market in energy since the dawn of the Industrial Revolution.

They’re lean. They’ve managed to keep their cost structure low enough to actually turn a profit when times were hard, and they are now reaping the rewards of that discipline today.

Like Charles, I won’t hazard to guess what oil and gas prices will be next week or even next year. But I agree it’s highly likely that prices will be materially higher 10 years from now. And there will be plenty of money to be made in gritty old energy stocks.

Regards,Charles Sizemore's SignatureCharles SizemoreChief Editor, The Banyan Edge