In today's match-up of The Motley Fool Better-Buy Tournament, BP squares off against Universal Display in a battle to determine which stock is the better buy now. The 64-company tournament pits two Motley Fool analysts against each other as they make the case for their stocks, with the winner determined by you, the readers.
Motley Fool energy analyst Joel South believes BP (NYSE:BP) offers a unique opportunity for investors looking for value and broad energy exposure to their portfolio. Investors are still focused on BP's lingering ramifications from the Macondo oil spill in 2010. The integrated oil major has already divested $40 billion in assets, with plans to unload an additional $10 billion, which should just about cover all liabilities from the disaster. Still overlooked is growing return on capital employed in BP's core businesses and the tremendous growth opportunities awaiting this integrated oil company. If the growth potential and cheap valuation metrics aren't enough for you, Joel points out that BP also offers an imposing 4.7% dividend.
Universal Display (NASDAQ:OLED) is bringing things to light, according to Motley Fool analyst Simon Erickson. The company's organic light-emitting diodes, or OLEDs, shine brighter and consume less power than traditional technologies. A boatload of new opportunities are coming online in 2014, including LG's big-screen televisions, Samsung's smartphones and tablets, and a new class of wearable electronic devices. This spells big growth for the company's OLED material sales, which increased 115% last year and drove revenue and profits to record levels. As the world becomes increasingly mobile and power-conscious, look for OLED to continue to shine.
Watch these analysts square off in the following video, and then vote for a winner. Then check out the other companies in The Motley Fool's Better-Buy Bracket.
This year's winning stock?
There's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.
Cast your vote in the poll below the video!
Joel South has no position in any stocks mentioned. Simon Erickson owns shares of Universal Display. The Motley Fool recommends and owns shares of Universal Display. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.