12 Hot Oil Stocks to Buy According to Hedge Funds

7. ONEOK, Inc. (NYSE:OKE)

Gain Over Past 12 Months: 57.78%

Number of Hedge Fund Holders: 33

ONEOK, Inc. (NYSE:OKE) is one of the largest diversified energy infrastructure companies in the US, owning and operating an extensive network of NGLs, natural gas, refined products, and crude oil assets.

ONEOK, Inc. (NYSE:OKE) has completed several deals over the last couple of years, firmly placing it among the giants in the midstream sector and putting it in a strong position for continued future growth. The company’s recent acquisitions of EnLink Midstream and Medallion Gathering and Processing will help it enhance its natural gas and NGLs infrastructure and provide significant growth potential.

ONEOK, Inc. (NYSE:OKE) also recently sold three of its wholly owned interstate natural gas pipeline systems to DT Midstream for $1.2 billion in cash, which will help strengthen its balance sheet after the recent shopping spree and recycle capital into EnLink and Medallion, which are more core to its business.

In Q3 of 2024, ONEOK, Inc. (NYSE:OKE) witnessed continued strength in the Rocky Mountain region, increased transportation services in the Natural Gas Pipeline segment, and a full quarter contribution from the refined products and crude segment. Its total refined products also achieved volumes of nearly 1.6 million barrels per day, a new record. As a result, the company reported a net income of $693 million or $1.18 per share in the third quarter of 2024. With a 5-year net income CAGR of over 17%, ONEOK, Inc. (NYSE:OKE) was included in our list of the Most Profitable Natural Gas Stocks to Invest In.