5 Best Stocks to Buy Before Recession Begins

1. ConocoPhillips (NYSE:COP)

Number of Hedge Fund Holders: 71

ConocoPhillips (NYSE:COP) is a Texas-based company that produces, transports, and markets crude oil, bitumen, natural gas, liquefied natural gas, and natural gas liquids. The company is expanding LNG operations with significant projects in the United States and Qatar. ConocoPhillips (NYSE:COP) is one of the best stocks to buy before the next recession begins, as demand for energy is projected to remain elevated throughout the winter and beyond. 

On September 12, investment advisory Piper Sandler raised the price target on ConocoPhillips (NYSE:COP) to $134 from $123 and kept an Overweight rating on the shares, citing its constructive stance on the integrated oils group. Analyst Ryan Todd issued the ratings update. 

Among the hedge funds tracked by Insider Monkey, Ric Dillon’s Diamond Hill Capital is one of the leading stakeholders of ConocoPhillips (NYSE:COP), with roughly 6.6 million shares worth about $592 million. Overall, 71 hedge funds were bullish on the stock at the end of June 2022, up from 67 funds in the preceding quarter. 

Here is what ClearBridge Investments Large Cap Value Strategy has to say about ConocoPhillips (NYSE:COP) in its Q1 2022 investor letter:

“The energy sector, which led a strong market in 2021, generated even more dramatic relative performance in the quarter, advancing 39% and leading the benchmark Russell 1000 Value Index. Years of restrained investment in the energy sector, combined with a strong post-pandemic recovery, contributed to the higher commodity prices. The upward pressure escalated with the Russian invasion of Ukraine. Our energy holdings ConocoPhillips (NYSE:COP) benefited from higher commodity prices and was among the top contributors to first-quarter performance.”

You can also take a look at 12 Best New Tech Stocks To Buy and 12 Best IPO Stocks To Buy. 

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