The energy sector has fallen considerably behind on the oil price

The oil price is once again working on a great year. During the past two years the 'black gold' has already gained significant value, and this year the trend is still heading northward. Yet it does not have to be the case that all investors who invest in the energy sector also reap the benefits. After all, the energy sector is currently lagging behind the oil price.
Strikingly enough, the energy shares do not currently have a good look at Wall Street. There are enough energy stocks that still move below their peak of 2016 or 2017. And that is special since the oil price is far above the highs of 2016 and 2017.

The energy sector is undervalued compared to the oil price

On the graph above, from Bloomberg, it can be seen that the energy sector is currently lagging behind the oil price. The price for a barrel of crude oil increased by 22% in value during the first half of the year, while the S & P Energy Index only realized a 5% increase.