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Buy These Oil Stocks Ahead of Earnings

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Oil stocks are shooting up like geysers -- but which ones should you buy?

Jason Gammel, senior oil analyst at Macquarie Capital, and Tina Vital, integrated oil & gas analyst at S&P, agree on two stocks -- for different reasons.

Recommendations:

Vital has a "strong buy" rating on Exxon Mobil, ahead of its Thursday earnings report. With a price target of $104, she says it has the best returns of its peer group.

Gammel also lauded Exxon with an "outperform" rating, and foresees a possible "blockbuster" quarter, with windfall profit "not out of reach."

Though he believes Exxon offers the sector's most stability, "You can own anything in integrated oils," Gammel told CNBC. But he said the name with the most upside is Chevron.

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  • Learn more: Watch the entire interview (3 mins, 32 secs)

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Vital disagreed: "Chevron is already fairly valued," she said -- and suggested that Exxon may have the upside advantage in addition to its stability.

Disclosures:

Neither Gammel nor Vital, nor their respective employers, own any shares in either firm discussed.

Disclaimer