Based on the transactions of nearly 700 hedge funds, we compiled this list of top eight energy companies hedge funds were buying like crazy during the fourth quarter:
1. Exxon Mobil Corp. (XOM): More than 100 hedge funds snatched XOM. They own nearly $4 billion worth of Exxon Mobil shares. Even Warren Buffett has XOM in his stock portfolio (see Warren Buffett‘s energy stock picks).
2. Halliburton Co. (HAL): Halliburton was owned by 85 hedge funds at the end of last year. They increased their holdings from 3% to 4% of the outstanding shares. T. Boone Pickens is extremely bullish about HAL.
3. Schlumberger Ltd. (SLB): Eighty-two hedge funds owned 2% of SLB in the second half of last year. Stephen Mandel’s Lone Pine Capital bought Schlumberger in the most recent fourth quarter and made more than 14% from his nearly $600 million bet. T. Boone Pickens also has SLB in his portfolio.
4. Devon Energy Corp. (DVN): Hedge funds increased their position in (DVN) by 25% in the fourth quarter. The stock is also one of the positions that have helped T. Boone Pickens have a successful year so far. As of March 1st, it was one of the 23 stocks in the portfolio that returned 18% in 2011, beating the SPY by more than 12 percentage points. The stock is also one of Andreas Halvorsen’s largest 25 positions.