Here's Why Chevron Stock Dipped Lower Today

By Lee Samaha – Apr 1, 2026 at 12:43PM ESTKey PointsChevron shares dropped as oil prices fell below $100.The Strait of Hormuz remains closed, and Chevron may benefit from higher oil prices and crack spreads.Shares in integrated major energy company Chevron (CVX 4.33%) declined by 4.6% to 11:30 a.m. The stock fell as the price of oil dipped by a couple of percentage points to below $100 a barrel. That was enough to encourage selling from investors buying into stocks like Chevron and other highly liquid energy stocks as a way to play rising energy prices. Are investors overreacting? The move downward in oil is likely a reaction to President Trump's allusion to a conclusion to U.S. attacks on Iran in the next couple of weeks. But here's the thing. The Strait of Hormuz is still almost entirely closed to commercial energy traffic; it's not clear how long it will take to repair the damage to energy infrastructure in the region, and there's no guarantee Iran will reopen the Strait under normalized conditions even if the U.S. stops attacking Iran. Image source: Getty Images. In short, there are many imponderables here, but what we know with certainty is that the Strait remains almost entirely closed, and until energy traffic through it is normalized, then there will be challenges in the world replacing the energy (34% of global crude oil trade and 20% of global liquefied natural gas, or LNG, trade ) previously flowing through it. We also know that Chevron is one of the 10 great stocks to buy as long as the Strait remains closed. In other words, until the Strait is reopened, investors can expect a higher-for-longer oil price. ExpandNYSE: CVXChevronToday's Change(-4.33%) $-8.96Current Price$197.94Key Data PointsMarket Cap$413BDay's Range$194.91 - $204.7852wk Range$132.04 - $214.71Volume17MAvg Vol13MGross Margin14.66%Dividend Yield3.34% What it means to Chevron As an integrated energy major, Chevron not only benefits from a higher price of oil, but also from an increased crack spread (the difference between the price of refined petroleum products and a barrel of crude oil), and in the current environment (where neither crude nor refined products are passing through the Strait) it's a favorable position to be in. Consequently, investing in Chevron remains a great way to protect against ongoing turmoil in the Persian Gulf. Read NextApr 1, 2026 •By Matt DiLallo7 Best ETFs to Buy in April 2026Apr 1, 2026 •By The Motley Fool TeamStock Market Today (LIVE): Chevron Dips as Oil Narrative Shifts; Memory Stocks Snap BackApr 1, 2026 •By Keith Speights3 Energy Stocks Surging Right Now and Worth Buying Before It's Too LateApr 1, 2026 •By Sean WilliamsWarren Buffett Went Out With a Bang by Selling 50% of His Bank of America Stake and Piling Into One of the Hottest Oil Stocks on Wall StreetMar 31, 2026 •By Lee Samaha10 No-Brainer Stocks to Buy as Long as the Strait of Hormuz Is ClosedMar 31, 2026 •By Matt DiLalloOil Prices Are Near Multiyear Highs. Here's the Best Energy Stock to Buy With $1,000.About the AuthorLee Samaha is a contributing Stock Market Analyst at The Motley Fool covering industrials, electricals, energy, materials, transportation, and infrastructure stocks. Prior to The Motley Fool, Lee was a Civil Engineer and Investment Manager. He holds a Bachelor of Civil and Structural Engineering from Southampton University and a Certificate in Investment Management from Chartered Institute for Securities & Investment. Lee first cut his investing teeth on The Motley Fool bulletin boards (commonly referred to as the “Fool Boards,”) and he’s infinitely grateful to all of the investors he learned from in this powerful investing community.TMFSaintGermainX@LeeSamahaStocks MentionedChevronNYSE: CVX$198.00(-4.30%)-$8.90*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.