Stock themes

Best oil stocks

Oil and gas stocks cover everything from the companies that find and pump the oil to the refiners that turn it into fuel and the tanker owners that move it. They share one thing: their earnings are set by a commodity price they do not control. That makes the sector cyclical, generous with dividends in good years, and painful in bad ones. Below, our model ranks every US-listed oil and gas stock by score and momentum.

36
Stocks
80
Average momentum
26
Rated strong
Stock Momentum Score To target
Petroleo Brasileiro Petrobras SA ADRStrong 99 288 -7%
Tsakos Energy Navigation LimitedStrong 96 281 +17%
Dorian LPG LtdStrong 91 276 +2%
Frontline LtdStrong 97 273 +3%
HF Sinclair CorporationStrong 98 268 +0%
EOG Resources, IncStrong 93 261 +0%
Par Pacific Holdings, IncStrong 81 260 +20%
Nordic American Tankers LimitedStrong 93 257 -4%
PBF Energy IncStrong 91 253 +9%
Occidental Petroleum CorporationStrong 87 252 +9%
ConocoPhillipsStrong 95 250 0%
Imperial Petroleum IncStrong 55 244 +81%
Devon Energy CorporationStrong 88 243 +19%
Marathon Petroleum CorporationStrong 98 242 +0%
Valero Energy CorporationStrong 97 240 +0%
Phillips 66Strong 97 239 +0%
Chevron CorporationStrong 93 238 -1%
Ecopetrol S.AStrong 89 235 -18%
BP p.l.cStrong 94 234 +3%
Energy Transfer LPStrong 75 229 +20%
Kinder Morgan, IncStrong 86 229 +5%
Cheniere Energy, IncStrong 90 228 +4%
EQT CorporationStrong 61 223 +19%
Exxon Mobil CorporationStrong 93 220 -3%
ONEOK, IncStrong 81 218 +5%
Diamondback Energy, IncStrong 80 214 +15%
CVR Energy, IncAverage 99 202 -17%
Targa Resources CorpAverage 89 200 +8%
Forum Energy Technologies, IncAverage 96 193 +4%
The Williams Companies, IncAverage 70 188 +19%
Archrock, IncAverage 36 186 +45%
Baker Hughes CompanyAverage 49 181 +27%
Comstock Resources, IncAverage 23 171 +8%
Schlumberger LimitedAverage 66 164 +17%
Borr Drilling LimitedWeak 36 95 +13%
Greenland Energy Company Common StockWeak 3 24 +100%

Upstream, downstream and shipping

Upstream companies such as EOG Resources and ConocoPhillips find and produce oil; their profit follows the oil price closely. Downstream refiners like Marathon Petroleum, HF Sinclair and Par Pacific earn on the margin between crude and finished fuel — which can widen exactly when the oil price is falling. Integrated groups like Petrobras do both. And tanker owners such as Nordic American Tankers earn on freight rates, not on the oil price at all.

What moves oil and gas stocks?

The oil price — but not for everyone. A producer wins when crude rises. A refiner can win when it falls, because its input gets cheaper. Knowing which part of the chain a company sits in matters more here than in most sectors.

Supply decisions. Production quotas and spare capacity move the price more reliably than demand does over short horizons.

Capital discipline. After years of overspending, many producers now return cash instead of drilling. That changes the shape of the investment: more dividend, less growth.

The long-term question. Demand does not have to disappear for valuations to fall — it is enough that the market expects it to.

Questions and answers

Do oil stocks always rise when the oil price rises?

No. Producers usually do, because their revenue is the oil price. Refiners can move the other way, since crude is their raw material — a cheaper input can widen their margin. Tanker owners follow freight rates, which have their own cycle.

Are oil stocks a good dividend investment?

Several pay high dividends in good years, but the payout follows the oil price and can be cut. A high current yield on a cyclical business is not the same as a safe one — check the payout ratio and the debt on the individual stock page.

What is the difference between upstream and downstream?

Upstream is finding and producing oil; downstream is refining and selling it. They earn from different things and can move in opposite directions, so an oil portfolio built only from one part of the chain is less spread than it looks.

How often is the list updated?

After every close. Score, momentum and price targets are recalculated automatically, so the order always reflects the latest trading day.

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