Hedge Funds Love Exxon Mobil, Schlumberger, and More Energy Stocks

We have put together our database of 13F filings from hundreds of hedge funds and other notable investors following the remaining filings being made public earlier this month. This wave of 13Fs disclose long equity positions as of the end of December 2012. Even with the delay, we’ve developed investing strategies based on 13F activity which can be profitable; for example, the most popular small cap stocks among hedge funds tend to produce an excess return of 18 percentage points per year (learn more about our small cap strategy). We also like to look at which stocks hedge funds like in different sectors. Here are the ten most popular energy stocks:

CITADEL INVESTMENT GROUP

The energy stock that the largest number of filers in our database reported owning was Anadarko Petroleum Corporation (NYSE:APC), a $42 billion market cap oil, gas, and natural gas liquids company.  62 hedge funds reported a position in Anadarko. One of these was billionaire Ken Griffin’s Citadel Investment Group, which increased its holdings by 56% between October and December to a total of 3.5 million shares (see Griffin’s stock picks). Anadarko trades at 16 times consensus earnings for next year.

Schlumberger Limited. (NYSE:SLB), an oilfield services company, had 55 hedge funds report a position- about even with the number who did for the third quarter of 2012. Fisher Asset Management, managed by billionaire Ken Fisher, had 7.8 million shares of Schlumberger in its portfolio (find Fisher’s favorite stocks). While Schlumberger’s revenue was up moderately last quarter compared to the same period in 2011, earnings were down.

54 hedge funds and other notable investors owned supermajor Exxon Mobil Corporation (NYSE:XOM), down from 59 at the end of September. Exxon Mobil- which at one point briefly overtook Apple to become the largest publicly traded U.S. company by market cap- is one of the top picks in the Bill and Melinda Gates Foundation Trust’s portfolio. Research more stocks that the foundation’s money is invested in.

Acquisition target Nexen Inc. (NYSE:NXY) was owned by 52 filers in our database, with others which we had previously recorded selling as the gap between the transaction price and the market price narrowed during the quarter as the proposed deal overcame Canadian regulatory hurdles. Learn more about merger arbitrage strategies.

We tracked 50 hedge funds who owned shares of Schlumberger’s smaller peer, Halliburton Company (NYSE:HAL); Halliburton had actually been slightly more popular in our analysis for the third quarter, but was sold more frequently over the next three months. Billionaire Leon Cooperman’s Omega Advisors closed 2012 with 3.8 million shares in its portfolio (check out more stocks Cooperman liked).

See five more energy stocks that were popular among hedge funds:

Occidental Petroleum Corporation (NYSE:OXY) was another popular energy stock among hedge funds, with a small number of sales bringing it to 49 filers. One fund which was adding shares was Renaissance Technologies, founded by billionaire Jim Simons; Renaissance nearly doubled its stake to a total of 2.1 million shares (find more stocks Renaissance was buying).

47 hedge funds and other notable investors owned Valero Energy Corporation (NYSE:VLO), the same number that did at the beginning of October. AQR Capital Management was buying the stock in Q4 2012 and reported owning 1.1 million shares in the 13f filing; AQR is managed by Cliff Asness (check out Asness’s stock picks).

Our database showed that National-Oilwell Varco, Inc. (NYSE:NOV), an equipment and services company which includes drilling rigs among its offerings, was owned by 43 filers that we track. One of these was Berkshire Hathaway; Warren Buffet’s holding company reported a position of 5.3 million shares (research Buffett’s favorite stocks).

50 hedge funds had owned shares of BP plc (NYSE:BP) at the end of the third quarter, but that figure had fallen to 42 by the beginning of 2013. Seth Klarman’s Baupost Group sold a small number of shares ; BP was still that hedge fund’s top stock pick (see more of Klarman’s largest holdings).

Joining BP at the bottom of the top ten list, with 42 13F filers in our database reporting a position, was fellow supermajor Chevron Corporation (NYSE:CVX). D.E. Shaw- named after its founder, billionaire David Shaw- was one fund with a large position in Chevron.

Disclosure: I own no shares of any stocks mentioned in this article.

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The Top 10 States With Fastest Internet Speeds

10 Best Places to Visit in USA in August

Top 10 Cities to Visit Before You Die

Top 10 Genetically Modified Food In the US

15 Highest Grossing Movies Opening Weekend

5 Best Poker Books For Beginners

10 Strategies Hedge Funds Use to Make Huge Returns

Top 10 Fast Food Franchises to Buy

10 Best Places to Visit in Canada

Best Summer Jobs for Teachers

10 Youngest Hedge Fund Billionaires

Top 10 One Hit Wonders of the 90s

Fastest Growing Cities In America

Top 10 U.S. Cities for Freelancers

Top 9 Most Popular Free iPhone Apps

Top 10 Least Expensive Private Business Schools in the US

Top 15 Most Expensive Countries in the World – 2014

Top Businesses to Invest In

Top 5 Things You Might Be Doing Wrong With Your Business

Top 5 Strategic Technology Trends in 2014

Top Rags to Riches Stories

Parenting Behavior That Promotes Future Leaders

Top 5 Mistakes Made by Small Businesses

Top 5 Most Common and Potentially Devastating Financial Blunders

Top 5 Highest Paying Jobs for Web Designers

Top 6 Most Respected Professions that Also Pay Well

Top 5 Pitfalls Investors Should Avoid

Top 6 Lawyers and Policy Makers Under 30

Top 6 New Year’s Resolutions for Entrepreneurs

Top 7 Locations to Check in on Facebook

Top 5 Mistakes made by Rookie eBay Sellers

Top 7 eBook Publishers in 2013

Top 6 Health Industry Trends in 2014

5 Lessons for Entrepreneurs from Seth Godin

Top 5 Success Tips from Jordan Belfort – the Wolf of Wall Street

Best Master’s in Finance Degree Programs

Top 6 Earning Celebrities Over 50

The most expensive sports to play

Top 7 Earning Celebrities Under 25

Best 7 Online Courses to Take: Free Finance MOOCs

Top 6 Bad Habits that Promote Failure

20 Most Valuable Soccer Teams in the World in 2013

12 Most Expensive Countries for Foreign Students

Top 30 Most Influential Women in the World

Top 20 Most Expensive New Year Eve Shows

Top 5 Best Vocational Careers

Top 10 Jobs for 2014 by Salary Gain (Predictions)

Top 5 Digital Trends for 2014

Top 6 Things You Can Do To Increase Your Productivity

Top 9 Trending Smartphones in 2013

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!