In this article, we will take a look at the 5 best American energy stocks to buy now. To see more such companies, go directly to 13 Best American Energy Stocks To Buy Now.
5. Cheniere Energy, Inc. (NYSE:LNG)
Number of Hedge Fund Holders: 60
American LNG company Cheniere Energy, Inc. (NYSE:LNG) shares have gained about 16% year to date. In August the company said it reached an agreement to supply 800K metric tons/year of liquefied natural gas to BASF (OTCQX:BASFY) through 2043. During the second quarter, Cheniere Energy, Inc. (NYSE:LNG)’s second quarter GAAP EPS came in at $5.61 beating estimates by $2.88.
Insider Monkey’s database of 910 hedge funds shows that 60 hedge funds had stakes in Cheniere Energy, Inc. (NYSE:LNG) as of the end of the second quarter of 2023.
TimesSquare U.S. Mid Cap Growth Strategy made the following comment about Cheniere Energy, Inc. (NYSE:LNG) in its Q4 2022 investor letter:
“Within Energy, Cheniere Energy, Inc. (NYSE:LNG) is an energy infrastructure company that operates liquefied natural gas (LNG) terminals in Louisiana and Texas. Despite reporting inline for the latest quarter, its stock traded down -9%. Contributing factors were Europe had filled its storage ahead of the winter and a recent dip in natural gas pricing. The market for LNG is likely to remain tight for the next several years. Notably, Cheniere paid down $1.3 billion of long-term debt and repurchased $75 million of common stock during the quarter. Cheniere is well positioned to benefit from ongoing tightness in global gas markets.”
4. ConocoPhillips (NYSE:COP)
Number of Hedge Fund Holders: 62
As of the end of the second quarter of 2023, 62 hedge funds out of the 910 hedge funds tracked y Insider Monkey had stakes in ConocoPhillips (NYSE:COP). The biggest stakeholder of ConocoPhillips (NYSE:COP) was Natixis Global Asset Management’s Harris Associates which owns a $1.55 billion stake.
3. Exxon Mobil Corporation (NYSE:XOM)
Number of Hedge Fund Holders: 71
Exxon Mobil Corporation (NYSE:XOM) is the most popular energy stock among the 910 hedge funds tracked by Insider Monkey. Exxon Mobil Corporation (NYSE:XOM) has upped its dividend consistently for about four decades. Its dividend safety and dominance in the industry also makes it a favorite among both retail and institutional investors. Exxon Mobil Corporation (NYSE:XOM) is also one of the most undervalued stocks to buy now according to the media.
2. Chevron Corporation (NYSE:CVX)
Number of Hedge Fund Holders: 73
Oil giant Chevron Corporation (NYSE:CVX) is one of the best American energy stocks to buy now according to hedge funds. Recently, Mizuho upped its price target on Chevron Corporation (NYSE:CVX) to $215 from $209 and gave a Buy rating to the stock.
As of the end of the second quarter of 2023, 73 hedge funds tracked by Insider Monkey had stakes in Chevron Corporation (NYSE:CVX).
Carillon Eagle Growth & Income Fund made the following comment about Chevron Corporation (NYSE:CVX) in its Q2 2023 investor letter:
“Chevron Corporation (NYSE:CVX) stock also traded lower as global oil prices declined in response to fears of an economic slowdown. Energy stocks were the second-worst-performing sector in the quarter.”
1. Occidental Petroleum Corporation (NYSE:OXY)
Number of Hedge Fund Holders: 73
Occidental Petroleum Corporation (NYSE:OXY) shares have gained about 8% year to date through September 19. Occidental Petroleum Corporation (NYSE:OXY) recently said it will acquire Canadian direct air capture technology company Carbon Engineering Ltd. for $1.1 billion in cash.
In another update, Amazon.com, Inc. (NASDAQ:AMZN) agreed to purchase 250,000 metric tons of carbon removal credits over 10 years from Occidental Petroleum Corporation (NYSE:OXY)’s subsidiary 1PointFive.
Here is what Smead Value Fund has to say about Occidental Petroleum Corporation in its Q3 2022 investor letter:
“Our top-performing stocks in the quarter includes Occidental Petroleum (NYSE:OXY). Oil and gas have been the best game in the stock market town this year and it was a pleasant surprise to see home builders pick up even with dour news on interest rates and the economy. For the first three quarters of the year, we should change the name of our fund to the Jed Clampett Fund. Occidental Petroleum (NYSE:OXY), was one of the standouts. Up through the bear market came a “bubblin’ crude!”
You can also take a peek at 25 Bestselling Cars, Trucks, and SUVs of 2022 and 2023 and 10 Best Canadian ETFs.
