12 Best Hydrogen and Fuel Cell Stocks to Buy for 2025

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1. Exxon Mobil Corporation (NYSE:XOM)

Number of Hedge Fund Holders: 86

Exxon Mobil Corporation (NYSE:XOM) operates across the production, trading, transportation, and sale of crude oil, natural gas, petroleum products, petrochemicals, and specialized products. The company is also focusing on lower-emission opportunities, including carbon capture and storage, hydrogen, and the development of sustainable fuels.

On December 17, ExxonMobil announced it had selected Australia-based Worley to provide engineering, procurement, and construction services for a proposed hydrogen and ammonia production facility in Baytown, Texas. Situated near ExxonMobil’s Gulf Coast chemicals and refining complex, the plant is expected to produce 1 billion cubic feet of blue hydrogen daily using natural gas with carbon capture and storage technology, along with 1 million tons of ammonia annually. ExxonMobil projects this facility will be the largest of its kind globally.

On December 16, Bernstein SocGen Group reaffirmed its Outperform rating on ExxonMobil with a price target of $138. This endorsement followed a comprehensive review of ExxonMobil’s updated corporate plan and an upstream spotlight session, which highlighted the company’s strategic focus on low-carbon solutions as part of its transition to a post-oil future.

As of Q3 2024, 86 hedge funds included Exxon Mobil Corporation in their portfolios, down from 92 in the previous quarter, according to Insider Monkey. The combined value of these stakes was nearly $7 billion.

While we acknowledge the potential of XOM, our conviction lies in the belief that certain AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than XOM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock.

Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.

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