TotalEnergies CEO says electricity is best hedge against oil and gas volatility
1. TotalEnergies invests in electricity for steady income, reducing oil price volatility. 2. CEO Pouyanne highlights shift from oil and gas to electricity investments.
FAQ
Why Bullish?
TotalEnergies' pivot to stable electricity revenue minimizes exposure to oil price fluctuations. Historical trends show reduced volatility in diversified firms can lead to stable growth, enhancing investor confidence.
How important is it?
The shift towards electricity indicates strategic foresight and adaptability in a volatile market, likely appealing to investors.
Why Long Term?
Transitioning to electricity investment will gradually enhance revenue predictability and stability. Similar energy firms have seen long-term gains by diversifying into renewables and electricity markets.