English
Stock of the day: Woodside Energy
Woodside Energy Group is emerging as a preferred way to gain exposure to the energy sector, as geopolitical tensions push oil prices higher.
(AI video summary)
This video was created on 19 March 2026 for IG audiences by ausbiz.
ASX code: WDS
Woodside offers strong exposure to oil price upside
Recent geopolitical tensions, notably Iran's attack on Qatar's energy hub, have driven crude oil prices higher, spotlighting the energy sector. Woodside Energy, Australia's largest energy company listed on the ASX 200, emerges as a noteworthy investment option given these dynamics.
The investment case centres on oil prices remaining above consensus assumptions. While many models use US$70 - US$75 per barrel, a sustained US$85 - US$90 range would support stronger earnings and valuation upside.
Leadership shifts
Woodside has appointed Mark Cutifani, former chief executive of Anglo American, as an independent non-executive director. Concurrently, Liz Westcott has been confirmed as the permanent chief executive and managing director.
Investment outlook
The volatility of commodities inherently complicates long-term predictions. Nevertheless, Woodside is acknowledged for its strong management, debt-free status, and favourable price-to-earnings (P/E) ratio of 14, compared to the market average of 20.
Important to know
This information has been prepared by IG, a trading name of IG Australia Pty Ltd. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
Follow us online:
