Energy Stocks Surged, Yet Still Undervalued
Supply and demand imbalances have pushed oil and natural gas prices higher. Although energy stock prices have jumped, we still see value for long-term investors.
Energy stocks have skyrocketed this year. The Morningstar U.S. Energy Index has jumped more than 58% for the year to date, with 15% growth in the past month alone. In our 2021 Outlook, we highlighted that energy was the most undervalued sector by far at that time. And yet we still see the sector as undervalued.