With Exxon and Chevron reporting disappointing results on Friday, and considering the general malaise in the energy sector, surely there must be some stocks that fit the criteria for safe longer term investments?

Weiss Ratings currently follows 324 energy stocks with over $1 billion in assets, and the sector is currently a mess. We only recommend nine of those stocks, and every one of those is marginal. There is not one energy stock with an A-range rating.

Some of the yields are great, as much as 6.3%, but when you look at payout ratios as high as 129.1% it becomes clear that the companies are trying to keep the stockholders quiet, rather than retaining profits for future investment.

Investing in any one of these stocks, even with the BUY Weiss investment rating, is a risk when you consider the overall sector. So maybe you are thinking it might be better to invest through the diversification of an Energy ETF. That would be a resounding NO! based on our ETF analysis. Of the 23 energy equity funds, there is not a single ETF that Weiss recommends.