We recently compiled a list of the 10 Best Gas Stocks to Buy According to Billionaires. In this article, we are going to take a look at where Chevron Corporation (NYSE:CVX) stands against the other gas stocks.
Energy stocks have performed strongly in 2025 so far and have outpaced the broader markets. Investors seem to be shifting from the tech play in favor of companies with high free cash flow that can pay dividends and overcome economic downturns.
READ ALSO: 10 Cheap Technology Stocks to Buy According to Hedge Funds and 10 Best Stocks Under $3 to Buy Now.
Rob Thummel, senior portfolio manager at Tortoise Capital, highlighted the energy sector’s compelling investment characteristics, such as high free cash flow yields, dividend growth, and stock buybacks.
Simon Lack, portfolio manager at Catalyst Energy Infrastructure Fund, believes that tariffs are unlikely to impact US energy exports significantly. Additionally, a favorable regulatory environment under the Trump administration is expected to help lower production costs for energy companies. Lack noted that President Trump has signaled willingness to reconsider tariffs if other countries purchase more US oil and gas. This reinforces a positive outlook for the sector.
Natural gas prices have surged by over 30% in 2025. This makes natural gas the standout performer in the energy sector. Natural gas companies are benefiting from the bullish price movements.
Methodology
To compile our list of the 10 best gas stocks to buy according to billionaires, we looked for the largest gas companies. We also reviewed our own rankings, financial media reports, ETFs, and various online resources to compile a list of the best gas stocks. Next, we focused on the top 10 gas stocks most favored by billionaires. Data for the number of billionaire investors for each stock was taken from Insider Monkey’s Q4 2024 database. Finally, the 10 best gas stocks to buy were ranked in ascending order based on the number of billionaires holding stakes in them as of Q4 2024.
Additionally, we mentioned the hedge fund sentiment surrounding each stock, which was taken from Insider Monkey’s Q4 2024 database of more than 1,000 elite hedge funds.
Why do we care about what hedge funds do? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A tanker truck making its way through a refinery facility. .
Chevron Corporation (NYSE:CVX)
Number of Billionaire Investors: 14
Number of Hedge Fund Holders: 81
Chevron Corporation (NYSE:CVX) is an American multinational energy corporation that produces crude oil and natural gas. The company also manufactures transportation fuels, lubricants, petrochemicals, and additives. Chevron Corporation (NYSE:CVX) is investing in new technologies, renewable fuels, hydrogen, and power generation for data centers. CVX ranks among the best gas stocks to invest in.
The company is strategically focused on increasing production efficiency. In 2024, Chevron Corporation (NYSE:CVX) achieved record-breaking production levels as worldwide oil-equivalent production grew 7%, driven by an 18% growth in the Permian Basin. The company has launched significant growth projects and is actively working to increase its exploration acreage position in the Gulf of America, Angola, Brazil, Equatorial Guinea, Uruguay and Namibia. In December 2024, Chevron Corporation (NYSE:CVX) achieved first gas on the Sanha Lean Gas Connection project to successfully secure incremental natural gas supply to the Angola Liquefied Natural Gas facility. In January 2025, Chevron Corporation (NYSE:CVX) started oil production at its Future Growth Project (FGP) located at the Tengiz oil field in Kazakhstan, which is expected to ramp up total output to around 1 million barrels of oil-equivalent per day.
The company also strengthened its portfolio and closed asset sales in Canada, the Republic of Congo, and Alaska. Chevron Corporation (NYSE:CVX) aims to achieve $2-3 billion in cost reductions by 2026. Notably, the company returned over $15 billion to shareholders through share buybacks in 2024.
Overall, CVX ranks 5th on our list of the best gas stocks to buy according to billionaires. While we acknowledge the potential of CVX as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CVX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.