Billionaire Israel Englander’s 10 Stock Picks with Huge Upside Potential

8. ConocoPhillips (NYSE:COP)

Number of Hedge Fund Holders as of Q4: 86

Millennium Management’s Equity Stake: $505.32 Million 

Upside Potential as of April 26: 34.93%

ConocoPhillips (NYSE:COP) is a leading independent exploration and production (E&P) company headquartered in Houston, Texas. The company engages in the exploration, production, transportation, and marketing of crude oil, bitumen, natural gas, natural gas liquids, and liquefied natural gas worldwide.

In its fourth-quarter 2024 financial report, ConocoPhillips (NYSE:COP) announced earnings of $2.3 billion, or $1.90 per share, compared to $3.0 billion, or $2.52 per share, in the same period the previous year. For the full year, earnings totaled $9.2 billion, or $7.81 per share, down from $11.0 billion, or $9.06 per share, reported in 2023.

Despite the year-over-year earnings decline, the company continued to execute its returns-focused value strategy. According to Ryan Lance, chairman and CEO, ConocoPhillips (NYSE:COP) showcased strong operational performance, returned $9.1 billion to shareholders, and expanded its portfolio through the acquisition of Marathon Oil. Looking ahead, the company aims to achieve more than $1 billion in integration-related run rate synergies by year-end 2025, with over half of those efficiencies already factored into its announced capital guidance. The company ended 2024 with $6.4 billion in cash and short-term investments and $1.1 billion in long-term investments.

ConocoPhillips (NYSE:COP) has set a 2025 target to return $10 billion to shareholders, underscoring its commitment to capital returns. As part of this initiative, the company declared a first-quarter ordinary dividend of $0.78 per share, payable on March 3, 2025, to stockholders of record as of February 17, 2025.

Diamond Hill Large Cap Strategy stated the following regarding ConocoPhillips (NYSE:COP) in its Q2 2024 investor letter:

“Other bottom contributors in Q2 included CarMax, Target Corporation and ConocoPhillips (NYSE:COP). Shares of oil and gas exploration and production company ConocoPhillips declined against a backdrop of lower oil prices in Q2, as well as concerns about the expensive though strategically sound acquisition of Marathon Oil.”