5 Best Crude Oil Stocks To Buy As Tensions Rise

4. ConocoPhillips (NYSE:COP)

Number of Hedge Fund Holders: 67

ConocoPhillips (NYSE:COP) is an American oil and gas company with diversified assets in 15 countries. It is one of the largest energy companies and one of the most profitable energy stocks in the world. In the fourth quarter of 2022, 67 hedge funds had a stake in the company with a combined value of $2.98 billion compared to 64 hedge funds, valued at $267 billion in the third quarter.

ConocoPhillips (NYSE:COP) is a dividend stock that has been increasing its dividends for the last two years. At the time of writing, the company has a dividend yield of 1.98% with an annual payout of $2.4. Moreover, the company returned $5.1 billion to shareholders in 2022 in the form of dividends and buybacks, and plans to return $11 billion in 2023. 

On March 10, the Biden Administration approved ConocoPhillips (NYSE:COP)’s $7 billion  Willow oil project located on Alaska’s North slope. The company expects $100 to $400 million of incremental spending on the project.

ConocoPhillips (NYSE:COP) has 6.6 billion barrels of oil equivalent in proven reserves and produced 1.7 million barrels of oil equivalent per day in 2022. In 2023, the company expects to increase production to 1.8 million barrels of oil equivalent per day.

ClearBridge Investments made the following comment about ConocoPhillips (NYSE:COP) in its Q4 2022 investor letter:

“The risk-on environment supported by China reopening drove strong returns for the energy sector, despite underlying commodity prices falling from recent highs. In the portfolio, leading E&P company ConocoPhillips (NYSE:COP) was again among the top contributors; it maintains one of the best balance sheets in the industry and continues to execute well while benefiting from being a low-cost producer and growing liquefied natural gas demand. ConocoPhillips is also investing in field electrification and carbon capture across its portfolio, with ambitions to deliver oil production with industry-low CO2 intensity.”