Oil prices have crashed by as much as 8.5% since the start of this month as Donald Trump reignites the tariff war. At one point, it was down as much as 18%! The broader market, as well as investors, have come to terms with a harsh reality: the tariffs are here to stay!
Inflation resulting from these tariffs threatens to send the country’s economy into recession, and global oil demand is reacting accordingly. The oil prices continue to tumble, threatening the future of some of the major oil producers of the world.
Amid this uncertain environment, some oil and gas stocks are outperforming the market. We decided to take a look at these stocks to find gems that can help retail investors outperform the market in these tough times.
To come up with our list of the top 10 oil & gas stocks outperforming despite sinking oil prices, we looked at the oil & gas exploration and production industry, considering only the stocks with a market cap between $2 billion and $10 billion.
10. Comstock Resources, Inc. (NYSE:CRK)
Comstock Resources, Inc. operates as an independent energy company. The company explores, acquires, develops, and produces oil and natural gas properties. Its assets cover approximately 1,099,090 acres.
The company recently announced its Q4 2024 earnings, indicating a 12% YoY decline in production. This decline was due to the reduced drilling activity at the start of the year. For the full year, it reported an adjusted net loss of $0.24 per share. CRK has now shifted its focus to organic growth in a move that should help it avoid another lackluster year.
As per the company’s 2025 outlook, it plans to drill 20 wells and bring 17 wells online in the Western Haynesville, backed by four operated rigs. Midstream costs for the area, which will be fully funded by its partner Quantum Capital Solutions, are anticipated to be in the range of $130 million and $150 million. Moreover, the company projects to drill 26 wells and bring 29 wells online in the Legacy Haynesville.
The company plans to use operating cash flows to fund its drilling program. With any excess cash flow, the company will prioritize paying off debt. As a result, investors should not expect any sizable dividends.
9. CNX Resources Corporation (NYSE:CNX)
CNX Resources Corporation operates as an independent natural gas and midstream company. The company develops, explores, produces, and acquires natural gas properties in the Appalachian Basin. It operates through Coalbed Methane (CBM) and Shale segments.
The company recently received an upgrade from Underperform to Market Perform from Raymond James on the basis of its bullish natural gas outlook. Analysts believe that the company is likely to benefit from the rising industry trend, though its peers could arguably perform better.
The company missed estimates in the recent quarter on both revenue and EPS. Despite the miss, strong cash flow generation from its New Technologies segment and cost reduction efforts impressed investors.
As per the company’s 2025 outlook, management plans to maintain 2025 production volumes steady. However, if market prices improve, they have the flexibility to boost activity in the second half of the year. The detailed 2025 guidance regarding production targets and capital allocation is expected in the next quarter.
8. Range Resources Corporation (NYSE:RRC)
Range Resources Corporation is an independent natural gas liquids (NGLs), natural gas, and oil company. It explores, develops, and acquires oil and natural gas properties in the Appalachian region. The firm supplies natural gas to industrial users, marketing and midstream companies, and utilities. The stock is up over 5% in pre-market trading.
Last month, J.P. Morgan upgraded the company from Underweight to Neutral, boosting the price target from $43 to $45. Arun Jayaram said that the upgrade was based on the growth potential and attractive valuation. The analyst believes that the company’s decision to pursue moderate growth in 2026-2027 is strategic, utilizing its financial position, strong inventory, and recent transportation investments.
In the last quarter of 2024, the company was not able to meet the Wall Street revenue estimates. However, operational efficiency saw considerable improvement, resulting in better translation of revenue into profits. The company is known for maximizing shareholder returns, and continuing that tradition, it paid $77 million in dividends and bought back shares worth $65 million.
CEO Dennis Degner was optimistic about the company’s future, expressing his sentiments by saying:
“We fully expect that there’s going to be, we’ll just say, power demand conversations and AI and data center-type growth opportunities.”
7. Gulfport Energy Corporation (NYSE:GPOR)
Gulfport Energy Corporation is the producer, acquirer, and explorer of crude oil, natural gas liquids, and natural gas. The company’s primary properties consist of the SCOOP Woodford and Springer formations in central Oklahoma and the Utica and Marcellus in eastern Ohio. The company’s stock is up 3.3% in the last one week of trading.
The stock has struggled so far this year, falling over 8% despite the strong performance in the last 5 trading sessions. Moreover, the stock is still trading 14% below the lowest Wall Street price target of $190, showcasing how the Wall Street targets are still well above the current share price.
In 2024, the company recorded a net loss of approximately $261.4 million. This loss was mainly driven by a non-cash impairment on its oil and gas properties. It bought back 1.2 million shares for $184.5 million. The board also increased the share buyback program to $1 billion.
For 2025, the company anticipates total production to be 1040 to 1065 TCFe/day, 89% of which is natural gas. Capital expenditures are expected to be between $370 to $395 million.
6. Black Stone Minerals, L.P. (NYSE:BSM)
Black Stone Minerals, L.P. operates and owns natural gas and oil mineral interests. The company owns non-participating royalty interests in 1.8 million gross acres, mineral interests in approximately 16.8 million gross acres, and overriding royalty interests in 1.6 million gross acres. The stock’s share price continues to gain upward momentum, surging 3.51% in the last week.
2024 proved to be a challenging year for the company. Due to lower natural gas prices, natural gas volumes went down. As a result, the distribution was cut by 21%. Consequently, the company’s most recent quarter’s revenue came in lower than estimates.
The firm expects a 2% production increase in 2025 as the company’s business partner (Atheon, one of the larger natural gas producers on BSM acreage) has already bought 11 wells at the beginning of the year. 2025 could be a great year for the company, as the management anticipates natural gas production to rise to 77% of total volumes.
5. Matador Resources Company (NYSE:MTDR)
Matador Resources Company operates as an independent energy company. The company explores, acquires, develops, and produces oil and natural gas resources. It operates in the Midstream and Exploration & Production segments. The company also offers oil transportation and natural gas processing services. Its stock is up 4.56% in the last week.
The company presented a positive future outlook on the back of the strong Q4 2024 financial results. For the full year 2025, it expects a 20% to 30% production growth YoY. This growth is projected to be supported by productivity improvements and Ameredev assets, which it acquired last year. Management projects to produce around $1 billion in free cash flow, aided by a solid balance sheet and operational efficiencies.
According to 22 different analyst ratings, Matador has a highest target price of $90, which means the price could potentially more than double from the current levels if the bull scenario proves accurate. The stock is currently trading at $41.02, which is 36.52% below the lowest Wall Street price target of $61. Despite the stock’s recent rebound, the potential upside still presents an attractive buying opportunity to gain in the future.
4. Veren Inc. (NYSE:VRN)
Veren Inc. develops, acquires, and holds interests in petroleum assets operations. The company recently entered into a merger agreement with Whitecap Resources in an all-share transaction valued at approximately C$15 billion, along with debt. The company’s stock is up 5.18% in the last one week of trading.
Raymond James analyst Luke Davis shared his thoughts on this merger by saying:
“The merger is a match made in heaven and a long time in the making, as the combined company is positioned exceptionally well thanks to Whitecap’s management team and poised to improve operational performance and capture synergies across the value chain.”
The company also offers an attractive dividend yield of 5.5%, which makes it a compelling candidate for income-oriented investors. There was a surge in the market price once the merger was announced, but that could be attributed to an arbitrage play between the two companies involved.
Over time, one may see the stock price correct itself to come back to its previous valuations. However, investors shouldn’t forget that the Canadian Oil landscape has now changed with the two companies coming together. The resulting entity will be in a better position to negotiate favorable pricing with service providers and be less prone to risks that normally affect its now smaller peers.
3. Chord Energy Corporation (NASDAQ:CHRD)
Chord Energy Corporation is an independent production and exploration company. It engages in the exploration, development, production, and acquisition of natural gas, natural gas liquids, and crude oil. The company supplies its products to marketers, refiners, and other purchasers. The company’s stock is up 6.52% in the last one week of trading.
The firm is expected to generate revenues worth $3.763 billion in 2025. CHRD is projected to produce approximately 271,500 Barrels of Oil Equivalent Per Day (boepd) in 2025. It also actively repurchases shares to show its commitment to shareholders’ returns. In Q1 2025, the company bought back 2 million shares for $216.5 million.
According to 20 different analyst ratings, the company has a highest target price of $186, which means the price could potentially more than double from the current levels if the bull thesis proves accurate. The stock is currently trading at $94.29, which is still below the lowest Wall Street price target of $106. Despite gaining upward momentum, the current share price presents an attractive buying opportunity to benefit from the potential upside in the future.
2. Permian Resources Corporation (NYSE:PR)
Permian Resources Corporation operates as an independent natural gas and oil company. It develops crude oil and associated liquids-rich natural gas reserves. The company’s properties include acreage blocks in Lea County in New Mexico, and Reeves County in West Texas. The company’s stock is up 7.82% in the last week of trading.
With the net income margin of nearly 20% and a gross margin of 75%, the company stands out in the sector. In the recent quarter’s earnings, it boasted reduced per-well costs resulting from enhanced efficiencies. The stock beats the sector with an attractive dividend yield of over 8%. The potential upside, along with an attractive dividend yield, makes it a compelling investment opportunity for future gains.
According to 25 different analyst ratings, Permian Resources has a highest target price of $23, which means the price could more than double from the current levels if the bull scenario holds true. The stock is currently trading at $11.86, which is 18% below the lowest Wall Street price target of $14. The stock has already taken an upward trajectory, boosting investors’ sentiment in analysts’ estimates. In the past five trading sessions, the share price surged over 8%.
1. Civitas Resources, Inc. (NYSE:CIVI)
Civitas Resources, Inc. operates as a production and exploration company. The company acquires, develops, and produces crude oil and associated liquids-rich natural gas. After going through some major challenges at the start of the year, the stock is now following an upward trend over the last few trading sessions, up 9.38% for the week.
Through its low-cost structure, the company is well-positioned to manage the commodity price risk. Management expects $1.1 billion in free cash flow in 2025, which could be used to optimize shareholder returns through share buybacks and dividends. Something that’s worth noting is the company’s attractive dividend yield of 14.7%.
According to 19 different analyst ratings, CIVI has a highest target price of $79, which means the price could more than 2.5x from the current levels if the bull thesis holds true. The stock has already taken an upward trajectory and is likely to follow the same trend in the future.
While we acknowledge the potential of CIVI 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. There is an AI stock that has gone up since the beginning of 2025, while popular AI stocks have lost around 25%. If you are looking for an AI stock that is more promising than CIVI but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
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