ExxonMobil was recently downgraded by Morgan Stanley. But with a company like Exxon that has a long history of a rock-solid balance sheet, excellent reserve replacement, and the ability to return enormous amounts of money to shareholders, what is holding back the world's largest oil company? In this video, Motley Fool energy analysts Joel South and Taylor Muckerman discuss Exxon's 2009 acquisition of XTO Energy, and tell investors how overpaying in an acquisition continues to hurt investors.

There are many different ways to play the energy sector, and The Motley Fool's analysts have uncovered an under-the-radar company that's dominating its industry. This company is a leading provider of equipment and components used in drilling and production operations, and poised to profit in a big way from it. To get the name and detailed analysis of this company that will prosper for years to come, check out the special free report: " The Only Energy Stock You'll Ever Need ." Don't miss out on this limited-time offer and your opportunity to discover this under-the-radar company before the market does. Click here to access your report -- it's totally free.

The article ExxonMobil's $40 Billion Mistake originally appeared on Fool.com.

Joel South has no position in any stocks mentioned. Taylor Muckerman has no position in any stocks mentioned. The Motley Fool recommends Chevron. The Motley Fool has the following options: Long Jan 2014 $20 Calls on Chesapeake Energy, Long Jan 2014 $30 Calls on Chesapeake Energy, and Short Jan 2014 $15 Puts on Chesapeake Energy. Try any of our Foolish newsletter services free for 30 days. We Fools may not 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.

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