11 Best American Energy Stocks to Buy Now

9. Occidental Petroleum Corporation (NYSE:OXY)

Number of Hedge Fund Holders: 68

Occidental Petroleum Corporation (NYSE:OXY) is an American multinational energy company with assets primarily located in the US, the Middle East, and North Africa. The company is one of the largest oil and gas producers in the US. It is a leading oil and gas producer in the Permian and DJ basins and offshore Gulf of America. Occidental Petroleum Corporation (NYSE:OXY) ranks among the best American stocks to invest in.

On March 13, JPMorgan lowered its price target on Occidental Petroleum (NYSE:OXY) from $59 to $52 while maintaining a “Neutral” rating. This decision came after an updated analysis of exploration and production models and after taking into account factors like 2025 capital expenditure budgets, revised winter weather data, and better-than-expected liquefied natural gas (LNG) demand pull. JPMorgan warned that record US oil supply, the return of OPEC+ oil barrels to markets in April 2025, and global trade risks related to tariffs could lead to a decline in oil prices, which could force higher-cost producers out of the market.

It is worth noting that Occidental Petroleum Corporation (NYSE:OXY) is working to reduce costs and improve efficiency by focusing on replacing higher-cost production with more volume of lower-cost reserves. Occidental Petroleum Corporation (NYSE:OXY) has identified scale efficiencies and design improvements that could help save the company more than $1 million per well in its Midland Basin Program through improved drilling and completion methods. In 2025, the company expects to see a 10% faster time to market and a 7% reduction in well costs. Additionally, by February 18, 2025, Occidental Petroleum Corporation (NYSE:OXY) had already announced $1.2 billion of divestitures in the first quarter of 2025.