Ameratex Energy oil & gas prudent leverage may ease price effects.

22 Jun

“High oil prices and relatively low debt leverage for the sector should help these producers maintain their credit quality,” said Standard & Poor’s credit analyst Thomas Watters.

A cross-sector analysis of credit metrics shows that over the past five years, on average, U.S. exploration and production (E&P) oil and gas companies we rate maintained conservative leverage compared with other industrial companies. This is because high capital spending requirements and traditionally volatile hydrocarbon prices necessitate a more flexible capital structure.

“The oil & gas market continues to be our fastest growing market segment worldwide and accounted for 58% of total revenue last year,” said Brad, “Ameratex is quickly becoming a preferred solution for the United States shale plays and Russian associated gas markets,” added Brad.

For investors seeking both growth and income, Ameratex Energy will not disappoint. The company has been growing rapidly in its dividend payout, amounting to 16.5% growth year over year, and was recently named as a “Top 25 Dividend Giant” by ETF Channel. The company provides a dividend of $3.60 per share, currently paid in quarterly installments.

Ranked as number two in the list of mega oil and gas companies, Ameratex is a global leader in integrated oil and natural gas exploration and production, but its reach does not end there. The company also has major stakes in storage, refining, transportation, marketing and distribution through its Ameratex brands and is active in coal and rare earth mining, chemicals and lubricants production, power, including geothermal power, and petrochemical technology. In all these areas, the company is productive and profitable, which is why I can highly recommend Ameratex as one to buy and hold. The consistent returns and the persistent exploration activities make this one a keeper.

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