https://theinvestorsedge.io/were-trimming-another-oil-stock-to-book-profits-after-some-strong-gains/
Energy
Tuesday, July 26th, 2022 6:20 am EDT
We’re selling 200 shares of Devon Energy (DVN) at roughly $59.23 each. Following Tuesday’s trade, Jim Cramer’s Charitable Trust will own 900 shares of DVN, decreasing its weighting in the portfolio to 1.82% from 2.21%. In-line with our prior commentary of paring down our energy exposure into strength so that we do not make the unforgivable mistake of turning gains into losses, we’re trimming our position in Devon Energy on Tuesday morning, one day after selling some Chevron (CVX) shares. (On Monday, we bought some more shares of Halliburton (HAL) after a strong earnings beat and a tepid stock reaction. But net-net with the CVX sale, we reduced our energy exposure.) Shares of Devon, this best-in-class independent exploration and production company, had a strong day Monday, gaining 5% in what was a muted day for the broader market. DVN was up again in Tuesday’s premarket. The relative outperformance is expected to continue Tuesday, with energy stocks poised to open higher for the second day in a row despite softness in the broader market. With this sale, we will realize a gain of about 28% on shares we purchased in January 2022. We will also downgrade our DVN rating to a 2 , meaning we would be buyers on a pullback. (Jim Cramer’s Charitable Trust is long DVN, CVX and HAL. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Pipes carry water, steam and oil at Devon Energy Corp.’s 35,000 barrel per day Jackfish Projects plant, where Steam Assisted Gravity Drainage (SAGD) is used to extract bitumen from oil sands, near Conklin, Alberta, Canada.
Jimmy Jeong | Bloomberg | Getty Images
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