Top 5 Oil and Gas Stocks To Invest In According to Hedge Funds

3. Schlumberger Limited (NYSE:SLB)

Number of Hedge Fund Holders: 67

Schlumberger Limited (NYSE:SLB) is the world’s largest offshore drilling company and is headquartered in Texas. The company provides services such as seismic data processing, formation evaluation, well testing, and directional drilling among others to petroleum companies worldwide.

Schlumberger Limited (NYSE:SLB)’s hedge fund sentiment increased quite significantly in the fourth quarter of 2022 compared to the previous quarter. The company was held by 67 hedge funds with a combined value of $4.66 billion in Q4, compared to 63 hedge funds with a combined value of $2.44 billion in the previous quarter.

On April 3, Susquehanna maintained a Positive rating on Schlumberger Limited (NYSE:SLB) and lowered the price target to $65 from $68. The firm revised its price target as it “modestly lowered” the H2 2022 estimates for several North American oil field services companies.

VGI Partners made the following comment about Schlumberger Limited (NYSE:SLB) in its 2022 annual investor letter:

“In addition to defence, we have focused our efforts on other new sectors where we see structural growth, including energy and medical technology. The long-term outlook for energy looks highly attractive given many years of under-investment and more recently amplified by ESG constraints and corporate discipline. Although we reviewed commodity owners (where we leveraged the expertise of the Regal resources team), we focused our efforts on the second derivative – the oil service companies. These are the picks-and-shovels of the industry and arguably the highest-quality way to gain exposure. As a result, we invested in Schlumberger Limited (NYSE:SLB) earlier this year and grew this to a circa 8% weight during the year (now circa 3%)”