The article compares integrated oil majors Chevron (CVX) and ExxonMobil (XOM), whose stocks rose 45% and 58% respectively over the past 12 months as oil prices climbed. Chevron earns about 80% of its profit from upstream operations versus about 70% for ExxonMobil, which has a larger downstream and petrochemicals business. With Brent crude at $110 per barrel, well above breakeven prices of $50 for Chevron and $35 for ExxonMobil, the author argues Chevron's upstream focus suits oil spikes, while ExxonMobil's diversification helps when prices fall. Chevron offers a 3.2% forward yield versus 2.3%, and analysts expect its EPS to grow at a 26% CAGR from 2025 to 2028, compared with 20% for ExxonMobil. Both trade at 15 times next year's earnings, and the author prefers Chevron.
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