Geopolitical premium boosts cash flow, JPMorgan bullish on European oil and gas stocks

格隆汇 March 2｜JPMorgan analysts recommend investors buy European oil and gas stocks such as Shell or TotalEnergies, citing that the US military strikes against Iran may keep energy prices elevated. Analysts Matthew Lofting and Tianyu Wu noted that investors are focusing on the risk of supply disruptions in the Strait of Hormuz. In a research report, they wrote that European oil giants, whose recent performance has closely tracked crude oil prices, are currently valued at an "efficient, rather than expensive" level during periods dominated by geopolitical factors.