Summary: Occidental Petroleum offers growth potential in oil, carbon capture, chemicals; not recommended by Motley Fool.

From Yahoo Finance: 2025-04-21 08:24:00

Investing $1,000 in Warren Buffett’s Berkshire Hathaway 45 years ago would be worth $2.7 million today, setting investors up for life. Buffett’s key to success is investing in wonderful companies like Occidental Petroleum, which is a top holding in Berkshire’s portfolio, worth $10.5 billion.

Occidental Petroleum holds vast oil and gas resources in the U.S., has leadership in carbon capture initiatives, and a strong management team. The company is investing in carbon capture technology, aiming to build the world’s largest direct air capture facility and potentially grow a $3-5 trillion global industry.

Occidental is also expanding its chemicals business, OxyChem, which is expected to add $325 million in annualized earnings in 2026. With growth potential in its fossil fuel production, CCS business, and OxyChem, Occidental has opportunities to grow shareholder value in the coming years, despite uncertainties about the future of oil and gas.

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Read more: Could Buying Occidental Petroleum Stock Today Set You Up for Life?