Major oil companies are very good buys right now, especially with the price of oil taking a dip.
As prices of everything associated with oil exploration and production climb, the Oil majors look more and more attractive as long term buys. They have experienced escalation in supply prices many times in the past and weathered the storm.
We have held BP in our Bulldog portfolio for a long time and it has been a reliable performer. Its share price has been hit recently by the dip in oil prices and some problems at a few of its production plants. However; we see these as minor short term problems that will be rectified quickly. BP is still relatively cheap. It trades on a P/E of 11 and pays a steady dividend of 3.6%.
Take the current weakness in its share price to buy into BP now.
Buy BP (LSE:BP) up to 600p