This Warren Buffett stock just hit a 2.5-year low

Core Viewpoint - Warren Buffett's investment strategy focuses on long-term value investing, which has led to consistent outperformance of the market, although not all investments have been successful [1][2]. Company Analysis: Occidental Petroleum (OXY) - Occidental Petroleum's stock is currently trading at $46.41, reflecting a year-to-date loss of 22.71%, reaching levels not seen since March 2022 [6]. - Buffett first invested in OXY in 2019 and has since increased his stake to 255,281,524 shares, representing approximately 27% of the company [7]. - The original investment of $10 billion was made in preferred stock with an 8% annual yield, providing a steady income stream regardless of stock performance [8]. - Occidental Petroleum has beaten analyst expectations for earnings per share for three consecutive quarters, although revenues have lagged behind forecasts [9][10]. - The company has improved its debt-to-equity ratio from 2.34 five years ago to approximately 1.47, indicating a reduction in debt levels [10]. - OXY stock has an attractive trailing price-to-earnings (P/E) ratio of 13.05 and a forward P/E ratio of 15.07, suggesting it is relatively affordable [10]. - The company benefits from an economic moat due to cost advantages in the Permian basin and vertical integration across upstream, midstream, and downstream operations [11]. - Energy stocks, including Occidental Petroleum, are inherently volatile, influenced by geopolitical instabilities, but may present opportunities for long-term investors [12].