Today, $Occidental Petroleum(OXY.US) has caught the attention of many people again, mainly due to the oil price + geopolitical narrative. Yesterday's market news was that the Middle East situation suddenly became tense, with rocket attacks on commercial ships in Iran and threats to block the Strait of Hormuz, which directly ignited oil prices. As a result, shale oil leaders like Occidental rose about 5% that day, closing near $58. At the same time, some investment banks upgraded their rating to Overweight, with a target price of $66.

From my perspective, the logic is actually quite simple:

1) Oil prices are affected by war premiums in the short term.

2) OXY has high production in the Permian, directly benefiting from rising oil prices.

3) The company is still aggressively reducing debt these past two years.

Moreover, with a long-term shareholder like Buffett behind it, market sentiment naturally has an extra layer of support.

My personal position isn't large. I added a little near $55 a few days ago. Looking at it now, the short-term sentiment seems a bit overheated. If oil prices continue to surge, it can definitely go further, but this kind of event-driven rally comes and goes quickly.

I want to ask everyone, does chasing oil stocks now count as catching the last train?