In this article, we are going to discuss the best-performing energy stocks in 2025.
2025 has been a challenging year for the energy sector. As of the writing of this piece, the S&P Energy index has surged by almost 2.7% since the beginning of the year, far behind the 18% gains posted by the overall S&P 500. The decline is driven primarily by the more than 21% decline in global crude oil prices since the beginning of 2025, mainly due to oversupply concerns.
That said, several sub-sectors of the energy industry have witnessed significant growth this year, including natural gas. The AI boom and its power-hungry data centers have pushed electricity demand to record levels in the US, and natural gas has emerged as a leading candidate to meet this demand, since it is relatively cleaner, cheaper, and abundant. As a result, U.S. natural gas futures have gained more than 21% so far this year. The commodity has also received strong support from the booming LNG sector, with American LNG exports reaching record levels so far in 2025.
Another sector that is back in the spotlight this year is nuclear energy, especially after President Trump signed an executive order in May to increase the US nuclear energy capacity to 400 GW by 2050. The sector has also attracted substantial attention from Silicon Valley, with several tech giants signing long-term deals to ensure sufficient energy to power their cutting-edge advances in AI while also meeting their climate goals.
With that said, here are the best-performing energy stocks of the year 2025.
Our Methodology
To collect data for this article, we used multiple stock screeners to identify energy stocks that posted the highest gains between January 1, 2025, and December 26, 2025. To keep our list relevant, we have included only companies with a market capitalization of at least $1.5 billion. The following are the best performing energy stocks in 2025.
Why are we interested in the stocks that hedge funds pile into? 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 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
11. Comstock Resources, Inc. (NYSE:CRK)
YTD Gains as of December 26: 25.94%
Comstock Resources, Inc. (NYSE:CRK) is a leading independent natural gas producer with operations focused on the development of the Haynesville shale in North Louisiana and East Texas.
On December 12, UBS increased its price target on Comstock Resources, Inc. (NYSE:CRK) from $16 to $18, while keeping a ‘Sell’ rating on the shares. On the same day, Mizuho also raised its price target on CRK from $21 to $29, and maintained a ‘Neutral’ rating on the shares. The update came as the analyst firm revised its ratings and targets as part of its 2026 outlook. While the overall sentiment toward the American oil and gas sector is negative, the analyst believes that the group still offers ‘underappreciated value’, particularly in E&P companies, which could begin to be realized next year.
As of the writing of this piece, Comstock Resources, Inc. (NYSE:CRK) has surged by almost 26% since the beginning of 2025, driven partially by a sharp uptick in the natural gas prices this year. U.S. natural gas futures have gained more than 21% so far this year, supported by record growth in the country’s LNG exports and strong power demand from AI data centers. Moreover, Comstock has surpassed estimates in all three quarters so far this year, adding to the bullish sentiment surrounding the stock.
10. Imperial Oil Limited (NYSEAMERICAN:IMO)
YTD Gains as of December 26: 36.87%
Imperial Oil Limited (NYSEAMERICAN:IMO) produces high-quality fuels, lubricants, and chemical products marketed under the Esso and Mobil brands.
On December 16, TD Securities slightly lowered its price target on Imperial Oil Limited (NYSEAMERICAN:IMO) from C$107 to C$106, but maintained a ‘Sell’ rating on the shares. IMO received a blow also earlier on December 15 when BMO Capital downgraded the stock from ‘Outperform’ to ‘Market Perform’, with its price target trimmed from C$132 to C$129. According to the analyst, while Imperial boasts one of the strongest financial positions, it offers limited short-term upside potential, and several industry peers offer more attractive relative value to investors.
The cautious analyst outlook comes despite Imperial Oil Limited (NYSEAMERICAN:IMO) announcing plans to increase its FY 2026 capital spending on December 15. While many oil companies have been tightening spending amid a slump in oil prices, Imperial is targeting C$2 billion-C$2.2 billion in capital and exploration expenditures for 2026, up from the C$1.9 billion-C$2.1 billion range it estimates to spend in the current year.
As a result, Imperial Oil Limited (NYSEAMERICAN:IMO) expects its upstream production to be in the range of 441,000 to 460,000 boepd next year, compared with 433,000 to 456,000 boepd projected for 2025. However, refinery throughput is forecast at 395,000 – 405,000 barrels per day in 2026, down from 405,000 – 415,000 bbl/day expected this year, due to the planned turnaround activity at the company’s Sarnia and Strathcona refineries.
9. Eni S.p.A. (NYSE:E)
YTD Gains as of December 26: 37.2%
Eni S.p.A. (NYSE:E) operates as an integrated energy company in Italy, the United States, Europe, Asia, Africa, and internationally.
Eni S.p.A. (NYSE:E) announced on December 18 that it has closed the sale of a 49.99% stake in Eni CCUS Holding to Global Infrastructure Partners (GIP), a leading global infrastructure investor and a part of BlackRock. Eni CCUS Holding is a leading global player in the carbon capture and storage business and is a fundamental part of the Italian giant’s energy transition strategy. It operates the Liverpool Bay and Bacton projects in the UK, each targeting 10 million tons annually by 2030. Moreover, it operates the five-million-ton-per-year L10 project in the Netherlands. First revealed in August, the deal states that Eni and GIP now hold joint control of Eni CCUS Holding, further enhancing its growth potential.
In other news, Eni S.p.A. (NYSE:E) received a boost on December 9 when the company revealed that it had made a significant gas discovery off the eastern coast of Indonesia’s part of Borneo island. According to the energy giant, preliminary estimates indicate a gas volume of 600 billion cubic feet across the four reservoirs along the well trajectory, with potential upside exceeding 1 trillion cubic feet. With natural gas prices witnessing gains of over 21% this year, the discovery provides a major boost to the Italian company and gives it confidence to continue the planned exploration drilling campaign.
8. TechnipFMC plc (NYSE:FTI)
YTD Gains as of December 26: 51%
TechnipFMC plc (NYSE:FTI) is a leading technology provider to the traditional and new energy industry, delivering fully integrated projects, products, and services.
On December 18, Piper Sandler raised its price target on TechnipFMC plc (NYSE:FTI) from $49 to $52, representing an upside potential of over 16% from the current share price. The firm also maintained its ‘Overweight’ rating on FTI. Piper Sandler acknowledged that while the energy industry had a difficult year in 2025, it remained tenacious and leaned into new growth avenues. Moreover, the analyst expects cyclical tailwinds beginning to mount in 2026, including Saudi Arabia/Mexico returning to work and a bottoming American land market. However, the firm doesn’t expect the offshore sector to recover before 2027.
TechnipFMC plc (NYSE:FTI) received another boost on the same day when the company announced that it had secured a ‘substantial’ engineering, procurement, construction, and installation contract from Eni SpA for the Coral North LNG project offshore Mozambique. Valued at $250-500 million, the contract builds on TechnipFMC’s prior work on the Coral South Floating LNG project, which began exporting liquified natural gas in 2022.
Before Coral North, TechnipFMC plc (NYSE:FTI) won another major award on December 11 when it announced that it had secured a contract for the Subsea 2.0 production systems by Chevron for the Gorgon Stage 3 brownfield project.
Jonathan Landes, President, Subsea at TechnipFMC plc (NYSE:FTI), commented:
“Gorgon Stage 3 incorporates our Subsea 2.0® configure-to-order platform and our unique advanced flexible pipe technology. At TechnipFMC, we focus on commercializing innovative solutions that give our customers confidence in project execution and schedule certainty. We are proud to continue our 20-year partnership with Chevron on the Gorgon development through this latest opportunity.”
7. Innovex International, Inc. (NYSE:INVX)
YTD Gains as of December 26: 52.38%
Established in 2024 following the merger of Dril-Quip and Innovex Downhole Solutions, Innovex International, Inc. (NYSE:INVX) designs and manufactures offshore drilling and production equipment.
Innovex International, Inc. (NYSE:INVX) received a boost on December 18 when Piper Sandler raised its price target on the stock from $20 to $27, while maintaining its ‘Overweight’ rating on the shares. The revised target indicates an upside potential of more than 22% relative to the current share price.
The analyst acknowledges that while the energy industry had a challenging year in 2025, it exhibited tenacity and found new growth avenues. While Piper Sandler remains selective in 2026, it expects various tailwinds to begin to mount, including Saudi Arabia/Mexico returning to work and a bottoming land market in the US. Meanwhile, the analyst expects a recovery in the offshore sector in 2027.
While Innovex International, Inc. (NYSE:INVX) has reported mixed results so far this year, the company continues to demonstrate resilience and grow its market share in the US Land market after successfully integrating Citadel and outperforming relatively flat land activity. Moreover, Innovex’s capital-light business model and disciplined cost control have allowed it to maintain a strong free cash flow. In fact, the energy firm reported an 82% YoY growth in free cash flow in Q3 2025.
As a result, investors have continued to support Innovex International, Inc. (NYSE:INVX), pushing its share price to jump by 52.38% since the beginning of 2025.
6. Delek US Holdings, Inc. (NYSE:DK)
YTD Gains as of December 26: 60.54%
Next on our list of the best-performing energy stocks is Delek US Holdings, Inc. (NYSE:DK), a diversified downstream energy company specializing in petroleum refining, asphalt, renewable fuels, and logistics.
On December 12, Mizuho raised its price target on Delek US Holdings, Inc. (NYSE:DK) from $45 to $51, indicating a significant upside potential of over 72% from the current share price. The firm also maintained its ‘Outperform’ rating on the DK shares.
The adjusted target comes as Mizuho updated its ratings and targets in the exploration and production sector as part of its 2026 outlook. The firm noted that the energy sector experienced a challenging year in 2025, primarily due to oversupply in gas storage and the oil market, which drove prices to a multi-year low. However, the analyst still sees some ‘underappreciated’ value, particularly in E&P, that could start to be realized next year.
As a result, Mizuho recommends that investors reallocate their risk toward oil E&Ps, with a selective bias toward gas stocks, given the commodity’s high demand driven by rising LNG exports and record power demand. That said, Mizuho maintains a neutral stance on the refining sector.
Delek US Holdings, Inc. (NYSE:DK) has surpassed estimates in each of its three quarters so far in FY 2025, and the company recently raised its EBITDA guidance to $500-$520 million for the year. The share price of DK has soared by over 60% since the beginning of 2025.
5. Ormat Technologies, Inc. (NYSE:ORA)
YTD Gains as of December 26: 63.67%
Ormat Technologies, Inc. (NYSE:ORA) is a leading geothermal power company and the only vertically integrated company engaged in geothermal and recovered energy generation, as well as energy storage solutions.
Ormat Technologies, Inc. (NYSE:ORA) received a boost on December 18 when Piper Sandler raised its price target on the stock from $102 to $125, while maintaining an ‘Overweight’ rating on the shares. The revised target represents an upside potential of over 10% from the current share price.
Piper Sandler noted that while the energy sector had a tough year in 2025, it remained tenacious and focused on finding alternative growth avenues. While the firm continues to be selective in 2026, it sees various cyclical tailwinds beginning to mount, including Saudi Arabia/Mexico getting back to work and a bottoming land market in the US. However, the analyst doesn’t expect the offshore sector to recover before 2027.
Nearly every sub-sector of the power industry has posted significant gains this year, driven by record electricity demand due to the AI boom and its data centers. The rally has also extended to less conventional sources of electricity generation, including geothermal. As a result, the share price of Ormat Technologies, Inc. (NYSE:ORA) has surged by over 63% so far this year, helped by the company’s efforts to renew power-purchase agreements with data center operators at more favorable prices when the current contracts expire. Given the high demand, the geothermal energy operator aims to achieve a portfolio capacity target of 2.6-2.8 GW by the end of 2028.
4. Sunrun Inc. (NASDAQ:RUN)
YTD Gains as of December 26: 100.49%
Sunrun Inc. (NASDAQ:RUN) is America’s leading provider of clean energy as a subscription service, offering residential solar and energy storage with no upfront costs.
On December 23, Clear Street raised its price target on Sunrun Inc. (NASDAQ:RUN) from $21 to $23, while maintaining a ‘Buy’ rating on the shares. The target revision is driven by the contribution potential of the company’s recently announced ‘compelling’ partnership with NRG Energy in the second half of 2026 and 2027, as well as its continued success with new homebuilders.
Sunrun Inc. (NASDAQ:RUN) announced a multi-year partnership with NRG Energy on December 16, combining the former’s solar-plus-storage systems with optimized rate plans and smart battery programming through the utility’s retail electricity provider, Reliant. The agreement will allow participating customers to supply power to Texas’s electric grid to help meet the increased demand in the ERCOT market.
Clear Street increased its FY2027 cash generation forecast for Sunrun Inc. (NASDAQ:RUN) by 8% to $565 million. For reference, the energy operator generated $108 million in cash during Q3 2025, marking its sixth consecutive quarter of positive cash flow. The company also narrowed its cash generation guidance for FY2025 to $250- $450 million.
As of the writing of this piece, the share price of Sunrun Inc. (NASDAQ:RUN) has doubled since the beginning of 2025.
3. Par Pacific Holdings, Inc. (NYSE:PARR)
YTD Gains as of December 26: 109.77%
Par Pacific Holdings, Inc. (NYSE:PARR) is a growth-oriented company that owns and operates market-leading energy and infrastructure businesses in logistically complex markets.
Par Pacific Holdings, Inc. (NYSE:PARR) announced its 2026 capital expenditure and turnaround outlay guidance on December 22, projecting spending in the range of $190 million to $220 million. The company plans to spend $50-60 million on turnarounds, including approximately $10 million for planned maintenance at its Washington refinery. Meanwhile, maintenance and catalyst costs are expected to come in at $105-$115 million, including approximately $20 million in catalyst costs, $15 million for Hawaii single point mooring investments, and $10 million for Montana reliability investments. Lastly, the company has earmarked $35- $45 million for growth initiatives, including approximately $30 million for refining and logistics investments and $10 million for retail growth investments.
In other news, Par Pacific Holdings, Inc. (NYSE:PARR) received a boost on December 12 when Mizuho analyst Nitin Kumar raised the firm’s price target on the stock from $45 to $49, indicating an upside potential of almost 40% from the current share price. The firm also maintained its ‘Neutral’ rating on PARR.
The revised target follows Mizuho’s update to its ratings and targets in the E&P sector as part of its 2026 outlook. The analyst believes that while overall sentiment in the US oil and gas sector is negative, given the current oversupply and high storage concerns, there is still ‘underappreciated value’ in the group, particularly in E&P, which could begin to be realized next year.
2. Centrus Energy Corp. (NYSE:LEU)
YTD Gains as of December 26: 243.42%
Centrus Energy Corp. (NYSE:LEU) is a trusted supplier of nuclear fuel and services to the nuclear energy industry.
On December 22, B. Riley analyst Ryan Pfingst significantly raised the firm’s price target on Centrus Energy Corp. (NYSE:LEU) from $221 to $315, while maintaining its ‘Buy’ rating. The revised target indicates an upside potential of almost 24% from the current share price.
Riley acknowledged that while Centrus Energy Corp. (NYSE:LEU) has declined by over 40% since hitting its 13-year high in October, it has still performed better than its peers in the nuclear energy industry. Moreover, Centrus received a significant boost on December 19 when the company announced that it had begun domestic centrifuge manufacturing to support its commercial LEU (Low-Enriched Uranium) enrichment activities at its facility in Piketon, Ohio.
The strategic move is in line with the federal government’s efforts to accelerate the domestic production and enrichment of uranium and reduce reliance on Russian imports, given the current geopolitical landscape. As a result, the analyst believes that the company is well-positioned to receive ‘meaningful funding’ from the Department of Energy, given its ‘proven’ American-made technology.
Centrus Energy Corp. (NYSE:LEU) believes that the DOE funding is ‘imminent’ and puts the value of these contracts at approximately $900 million per task order, with separate task orders expected for the production of both LEU and HALEU.
1. Oklo Inc. (NYSE:OKLO)
YTD Gains as of December 26: 252.04%
Topping our list of the Best Performing Energy Stocks in 2025 is Oklo Inc. (NYSE:OKLO). Backed by OpenAI’s Sam Altman, the nuclear startup develops advanced fission power plants to provide clean, reliable, and affordable energy at scale to customers in the United States.
With gains of over 252% since the beginning of 2025, Oklo Inc. (NYSE:OKLO) has become the poster child for ‘data center nuclear’. While the company’s Aurora small modular reactor (SMR) is considered on the bleeding edge of nuclear technology, it still needs to get regulatory approval for deploying and operating its reactors, and the formal review process could take two to three years. This means that the powerhouse isn’t expected to come online before late 2027 or early 2028. As a result, Oklo isn’t expected to generate revenue until at least 2027, report its first GAAP profit until 2030, and generate positive free cash flow until 2033.
Nonetheless, Oklo Inc. (NYSE:OKLO) continues to attract significant investor attention, driven especially by the multiple contracts that the company has won from the Department of Energy. The bullish sentiment was further reinforced when Oklo received a notable stamp of approval from Cathie Wood on December 22, when ARK Investment acquired 107,321 shares of Oklo, valued at over $8.9 million. The stock also received positive analyst attention on December 8, when Seaport Research analyst Jeff Campbell upgraded OKLO from ‘Neutral’ to ‘Buy’, assigning a $150 price target to the shares.
While we acknowledge the potential of OKLO to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than OKLO and that has 100x upside potential, check out our report about this cheapest AI stock.
READ NEXT: 12 Best Crude Oil Stocks to Buy for Dividends and 11 Best Utility Stocks to Invest in According to Hedge Funds.
Disclosure: None. Insider Monkey focuses on uncovering the best investment ideas of hedge funds and insiders. Please subscribe to our free daily e-newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
