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12 Best Gas Stocks To Buy According to Hedge Funds

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In this article, we will look at the 12 best gas stocks to buy according to hedge funds.

The Future of Natural Gas: Sustained Growth Ahead?

The global gas industry plays a crucial role in the energy landscape, providing a relatively cleaner alternative to coal and oil. As countries aim to reduce carbon emissions and transition to more sustainable energy sources, natural gas has become increasingly important. According to a report by The Business Research Company, the global natural gas market was valued at $1.029 trillion in 2023. The market is expected to grow at a compound annual growth rate (CAGR) of 7.7% during 2024-2028 to reach a value of $1.518 trillion by the end of the forecast period. The Asia-Pacific region was the largest market for natural gas globally in 2023.

The International Energy Agency’s 2024 Global Gas Security Review indicates that natural gas consumption rose by 2.8% in the first three quarters of 2024 compared to the previous year, surpassing the average growth rate of 2% seen from 2010 to 2020. Most of this increase came from rapidly growing markets in Asia. However, estimates show that the growth rate slowed to below 2% in the third quarter of 2024, partly due to a recovery in demand that began in late 2023 and also because higher gas prices affected consumption.

For the full year of 2024, global gas demand is projected to increase by over 2.5%, reaching a record high of 4,200 billion cubic meters (bcm). The Asia-Pacific region is expected to contribute nearly 45% of this additional demand. A significant portion of this growth is driven by industrial and energy use, supported by ongoing economic growth in Asia. Additionally, Europe’s industrial gas demand is recovering. Looking ahead, global gas demand is anticipated to rise by another 2.3% in 2025, with Asia continuing to play a crucial role in driving this growth.

READ ALSO: 10 Undervalued Chemical Stocks to Invest In and 11 Small Cap EV Stocks to Invest In.

The demand for natural gas in the electric power sector is a major growth driver. Natural gas plants are more efficient and produce fewer emissions compared to traditional coal-fired plants. According to the US Energy Information Administration (EIA), in 2023, the United States consumed 32.50 trillion cubic feet of natural gas, which represents around 36% of the country’s total energy consumption. The electric power sector was the largest user, consuming approximately 40% of the total natural gas. Natural gas accounted for about 42% of the energy used in electricity generation in 2023.

In addition to this, innovations in extraction technologies, such as hydraulic fracturing and horizontal drilling, have made it easier and more cost-effective to produce natural gas. These advancements are enhancing supply capabilities and driving down costs, further supporting market growth.

With this background in mind, let’s take a look at the 12 best gas stocks to buy according to hedge funds.

An industrial facility emitting natural gas from large pipes, with workers in the foreground.

Methodology

To compile our list of the 12 best gas stocks to buy according to hedge funds, we used stock screeners from Finviz and Yahoo Finance. We sorted our results based on market capitalization and picked the largest gas companies by market cap. We also consulted various online resources and reviewed our own rankings. This exercise provided us with a list of more than 30 gas stocks. We focused on the top 12 gas stocks most favored by institutional investors. Data for the hedge fund sentiment surrounding each stock was taken from Insider Monkey’s Q3 2024 database of 900 elite hedge funds. The 12 best gas stocks to buy were then ranked in ascending order based on the number of hedge funds holding stakes in them.

Why do we care about what hedge funds do? 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 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

12 Best Gas Stocks To Buy According to Hedge Funds

12. Cenovus Energy Inc. (NYSE:CVE)

Number of Hedge Fund Holders: 48

Cenovus Energy Inc. (NYSE:CVE) is a Canadian oil and gas company with operations in Canada, the United States, and the Asia Pacific region. The company is a major producer of natural gas in the Western Canadian Sedimentary Basin, managing over 6 million net acres in Alberta and British Columbia. CVE ranks among the best energy stocks to buy.

In Q3 2024, the company demonstrated strong operational performance, generating nearly $2.5 billion in cash from operating activities. Cenovus Energy Inc. (NYSE:CVE) successfully completed its turnaround at the Christina Lake facility ahead of schedule, leading to an increase of 15,000 to 20,000 barrels per day. This efficiency showcases the company’s commitment to optimizing its operations. Additionally, Cenovus Energy Inc. (NYSE:CVE) completed a major turnaround at its Lima Refinery, ensuring continuous operations by connecting pipelines to the Toledo Refinery. The company also began production at two new well pads at the Sunrise project, which are expected to ramp up further in the fourth quarter.

Cenovus Energy Inc. (NYSE:CVE) continues to make progress on significant projects like the Narrows Lake tie-back pipeline, which is 93% complete and expected to add 20,000 to 30,000 barrels per day by mid-2025. The West White Rose project is also on track to resume production by the end of 2024. Cenovus Energy Inc.’s (NYSE:CVE) strong operational results and clear growth strategy make it an attractive investment opportunity.

11. Civitas Resources Inc. (NYSE:CIVI)

Number of Hedge Fund Holders: 48

Civitas Resources Inc. (NYSE:CIVI) is an independent oil and natural gas producing company. It is primarily focused on the Denver-Julesburg (DJ) Basin in Colorado and the Permian Basin in Texas and New Mexico. CIVI ranks among the best gas stocks to buy according to hedge funds.

In the third quarter of 2024, Civitas Resources Inc. (NYSE:CIVI) reported capital expenditures of $438 million, reflecting increased efficiency in its drilling and completion activities. The company successfully drilled 26 wells, completed 19, and turned 30 gross operated wells to sales in the Permian Basin. In the DJ Basin, Civitas Resources Inc. (NYSE:CIVI) drilled 14, completed 29, and turned 40 operated wells to sales. These achievements highlight the company’s commitment to enhancing production while managing costs effectively. Through the first nine months of 2024, Civitas Resources Inc. (NYSE:CIVI) has also expanded its portfolio by adding over 75 gross locations in the Delaware and Midland Basins through strategic transactions. This expansion positions the company for continued growth and improved production capabilities.

Production numbers indicate strong operational success, with Civitas Resources Inc. (NYSE:CIVI) expecting a 3% increase in oil volumes for the fourth quarter compared to Q3. In October, production averaged 165 MBbl/d, and the Blue 4AH well in the DJ Basin set a state record by producing 165 thousand barrels of oil within its first 90 days.

With its focus on efficient operations and growth, Civitas Resources Inc. (NYSE:CIVI) presents an appealing investment opportunity. The company is also notable for being Colorado’s first carbon-neutral oil and gas producer. The company’s commitment to sustainability, combined with its strategic expansions and operational efficiencies, makes it a solid choice for investors looking for a reliable energy stock with growth potential.

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The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

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AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

Even Sam Altman, the founder of OpenAI, issued a stark warning:

“The future of AI depends on an energy breakthrough.”

Elon Musk was even more blunt:

“AI will run out of electricity by next year.”

As the world chases faster, smarter machines, a hidden crisis is emerging behind the scenes. Power grids are strained. Electricity prices are rising. Utilities are scrambling to expand capacity.

And that’s where the real opportunity lies…

One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

As demand from AI data centers explodes, this company is gearing up to profit from the most valuable commodity in the digital age: electricity.

The “Toll Booth” Operator of the AI Energy Boom

  • It owns critical nuclear energy infrastructure assets, positioning it at the heart of America’s next-generation power strategy.
  • It’s one of the only global companies capable of executing large-scale, complex EPC (engineering, procurement, and construction) projects across oil, gas, renewable fuels, and industrial infrastructure.
  • It plays a pivotal role in U.S. LNG exportation—a sector about to explode under President Trump’s renewed “America First” energy doctrine.

Trump has made it clear: Europe and U.S. allies must buy American LNG.

And our company sits in the toll booth—collecting fees on every drop exported.

But that’s not all…

As Trump’s proposed tariffs push American manufacturers to bring their operations back home, this company will be first in line to rebuild, retrofit, and reengineer those facilities.

AI. Energy. Tariffs. Onshoring. This One Company Ties It All Together.

While the world is distracted by flashy AI tickers, a few smart investors are quietly scooping up shares of the one company powering it all from behind the scenes.

AI needs energy. Energy needs infrastructure.

And infrastructure needs a builder with experience, scale, and execution.

This company has its finger in every pie—and Wall Street is just starting to notice.

Wall Street is noticing this company also because it is quietly riding all of these tailwinds—without the sky-high valuation.

While most energy and utility firms are buried under mountains of debt and coughing up hefty interest payments just to appease bondholders…

This company is completely debt-free.

In fact, it’s sitting on a war chest of cash—equal to nearly one-third of its entire market cap.

It also owns a huge equity stake in another red-hot AI play, giving investors indirect exposure to multiple AI growth engines without paying a premium.

And here’s what the smart money has started whispering…

The Hedge Fund Secret That’s Starting to Leak Out

This stock is so off-the-radar, so absurdly undervalued, that some of the most secretive hedge fund managers in the world have begun pitching it at closed-door investment summits.

They’re sharing it quietly, away from the cameras, to rooms full of ultra-wealthy clients.

Why? Because excluding cash and investments, this company is trading at less than 7 times earnings.

And that’s for a business tied to:

  • The AI infrastructure supercycle
  • The onshoring boom driven by Trump-era tariffs
  • A surge in U.S. LNG exports
  • And a unique footprint in nuclear energy—the future of clean, reliable power

You simply won’t find another AI and energy stock this cheap… with this much upside.

This isn’t a hype stock. It’s not riding on hope.

It’s delivering real cash flows, owns critical infrastructure, and holds stakes in other major growth stories.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.

This isn’t just about making money – it’s about being part of the future.

So, buckle up and get ready for the ride of your investment life!

Act Now and Unlock a Potential 100+% Return within 12 to 24 months.

We’re now offering month-to-month subscriptions with no commitments.

For a ridiculously low price of just $9.99 per month, you can unlock our in-depth investment research and exclusive insights – that’s less than a single fast food meal!

Space is Limited! Only 1000 spots are available for this exclusive offer. Don’t let this chance slip away – subscribe to our Premium Readership Newsletter today and unlock the potential for a life-changing investment.

Here’s what to do next:

1. Head over to our website and subscribe to our Premium Readership Newsletter for just $9.99.

2. Enjoy a month of ad-free browsing, exclusive access to our in-depth report on the Trump tariff and nuclear energy company as well as the revolutionary AI-robotics company, and the upcoming issues of our Premium Readership Newsletter.

3. Sit back, relax, and know that you’re backed by our ironclad 30-day money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!


No worries about auto-renewals! Our 30-Day Money-Back Guarantee applies whether you’re joining us for the first time or renewing your subscription a month later!