In this article, we are going to discuss the 12 best natural gas stocks to buy according to analysts.
The benchmark U.S. natural gas price at Henry Hub has surged by more than 10% over the last month, primarily due to the lower daily output and forecasts for hotter weather and higher demand over the next few weeks.
The global natural gas prices can also be significantly impacted by the growing escalations in the Middle East, especially after Iran’s parliament recently endorsed the closure of the Strait of Hormuz, a crucial choke point through which 20% of the world’s oil and natural gas shipments pass.
However, it is still unclear if Iran will actually attempt such a blockade, as the country has vowed to close the strait in the past but never successfully followed through. Also, most of the energy passing through the narrow stretch of water is delivered to Asia, and Iran is wary of alienating its allies, particularly China.
Moreover, with President Trump now announcing a ceasefire between Israel and Iran, there is a chance that the tense situation in the region will now begin to de-escalate.
With that said, here are the Best Natural Gas Stocks with the Highest Upside Potential.
Our Methodology
To collect data for this article, we examined all the companies in the natural gas sector that are listed on NASDAQ and NYSE and then compiled a list of the stocks with the highest upside potential according to Wall Street analysts, as of June 21, 2025. The following are the Best Natural Gas Stocks According to Analysts.
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12. Kinder Morgan, Inc. (NYSE:KMI)
Upside Potential as of June 21: 14.44%
Kinder Morgan, Inc. (NYSE:KMI) makes its money typically by charging fees for use of the capacity of its pipelines, terminals, and other assets. The company boasts very stable cash flows, as around 95% of its earnings come from predictable sources like take-or-pay agreements, fee-based contracts, or commodity price hedges.
Kinder Morgan, Inc. (NYSE:KMI) maintains a robust balance sheet, ending Q1 2025 with a Net Debt-to-Adjusted EBITDA ratio of 4.1 times. It also generated cash flow from operations of $1.2 billion and $0.4 billion in free cash flow after capital expenditures. The company is targeting to generate about $5.9 billion in cash flow from operations this year, up 5% from 2024.
Kinder Morgan, Inc. (NYSE:KMI) remains committed to its shareholders and paid dividends of around $650 million in the first quarter of 2025. The company recently announced a quarterly dividend of $0.2925 per share for Q1, up 2% YoY and marking the eighth straight year that Kinder Morgan has increased its payouts. With an annual dividend yield of 4.18%, KMI was recently included in our list of the 10 Energy Stocks with Fat Dividends.
Kinder Morgan, Inc. (NYSE:KMI) is one of the largest energy infrastructure companies in North America. With approximately 66,000 miles of pipelines, the company transports approximately 40% of the natural gas produced in the United States.
11. Duke Energy Corporation (NYSE:DUK)
Upside Potential as of June 21: 14.62%
Duke Energy Corporation (NYS:DUK) recently revealed that it intends to apply to the Public Service Commission of South Carolina (PSCSC) to construct a new natural gas-fired power plant in Anderson County. The company hopes to begin construction in 2027 and put the 1.4 GW facility into operation by 2031.
The gas turbines and related equipment for the Anderson plant will be provided by GE Vernova, which recently signed a partnership with Duke Energy Corporation (NYS:DUK) to provide the latter with up to 11 gas turbines and associated equipment for its future power plants. The deal is expected to help Duke meet an anticipated record increase in power demand from advanced manufacturing, data centers, and population growth.
The development is consistent with Duke Energy Corporation (NYS:DUK)’s Carolinas Resource Plan, in which the energy provider identified a need for 6.8 GW of new combined-cycle gas generation and about 2.125 GW of combustion turbine gas generation as part of its recommended portfolio.
Duke Energy Corporation (NYS:DUK) engages in the distribution of natural gas and energy-related services. The company’s electric utilities serve 8.4 million customers across six states, while its natural gas utilities provide gas to 1.7 million customers across five states in the US.
10. Gran Tierra Energy Inc. (NYSE:GTE)
Upside Potential as of June 21: 18.06%
Gran Tierra Energy Inc. (NYSE:GTE) is counted among the Best Natural Gas Stocks to Buy According to Analysts. GTE received a boost this week after Raymond James analyst Luke Davis initiated coverage of the stock with a ‘Market Perform’ rating and a price target of C$10.
According to the analyst, the energy company’s recent repositioning and entrance into the Canadian market provides ‘a platform for differentiated growth across multiple plays combined with geographic diversification’. However, despite the bullish aspects, Davis noted that investors are currently more focused on the integration of i3 Energy and enhancements to the company’s balance sheet.
Gran Tierra Energy Inc. (NYSE:GTE) rallied earlier this month after Equinox Partners Investment Management LLC, a major shareholder, notably increased its stake in the company. Additionally, Gran Tierra also reported transactions involving the acquisition of common shares by its directors and key managerial personnel through the Employee Share Savings Plan, further increasing investor confidence in the company.
Gran Tierra Energy Inc. (NYSE:GTE) is an independent international energy company currently focused on oil and natural gas exploration and production in Canada, Colombia, and Ecuador.
9. ConocoPhillips (NYSE:COP)
Upside Potential as of June 21: 21%
ConocoPhillips (NYSE:COP) has transformed itself into a low-cost oil and gas producer, with a cost-to-supply of less than $40 a barrel in the U.S. and internationally, allowing it to not only survive but thrive in the recent market volatility. The company’s disciplined capital allocation strategy also enabled it to recently reduce its FY 2025 capital spending guidance by $500 million without impacting production levels, reiterating that it will deliver the same amount of oil and gas but for less money.
However, the global crude oil prices have witnessed a sharp rise since then, allowing ConocoPhillips (NYSE:COP) to reap the maximum benefits from its low-cost portfolio. As a result, the share price of COP has surged by almost 10% over the last month.
ConocoPhillips (NYSE:COP) also remains strongly committed to its shareholders and distributed $2.5 billion in Q1 2025, consistent with its long-term track record of distributing 45% of its annual CFO.
ConocoPhillips (NYSE:COP) is one of the world’s largest independent E&P companies based on oil and natural gas production and proved reserves. The company explores for, produces, transports, and markets crude oil, bitumen, natural gas, NGLs, and LNG on a worldwide basis.
8. Permian Resources Corporation (NYSE:PR)
Upside Potential as of June 21: 21.65%
Permian Resources Corporation (NYSE:PR) recently announced that it has completed the acquisition of Delaware Basin leasehold and royalty interests from APA Corporation. The $608 million deal, which was first announced earlier this year, includes approximately 12 Boe a day, 13,320 net acres, and 8,700 net royalty acres in Eddy and Lea counties, New Mexico.
Moreover, due to the strong well productivity combined with high NRIs and low development costs, these acquired locations have a breakeven price of as low as $30 per barrel. Permian Resources expects the deal to generate in excess of 5% free cash flow per share accretion in the near-term, midterm, and long-term.
With approximately 450,000 net acres following this strategic acquisition, Permian Resources Corporation (NYSE:PR) is one of the largest pure-play exploration and production companies in the Permian Basin.
The share price of Permian Resources Corporation (NYSE:PR) has surged by an eye-watering 1,500% over the last five years.
Artisan Partners stated the following regarding Permian Resources Corporation (NYSE:PR) in its Q1 2025 investor letter:
“We made one new purchase this quarter, adding Permian Resources Corporation (NYSE:PR), an independent oil and gas company. PR is focused solely on the Delaware Basin of West Texas and southwestern New Mexico—the most prolific oil-producing region in the US. The founders and co CEOs, who also have large ownership interests in the business, have sought to build a business that can produce substantial free cash flow, return capital to shareholders and generate attractive equity returns across varied commodities price environments. To achieve these goals, PR has pursued best-in-class operations and responsible capital stewardship by thoughtfully acquiring assets it believes are undervalued and divesting acreage it believes would be better in someone else’s hands, while meaningfully returning capital to shareholders in the form of dividends. We always seek to align ourselves with shareholder-oriented management teams, but this is even more critical when investing in mid-sized energy companies given their dependence on the underlying commodity prices and minimal diversification by business and geography as well as the sector’s general predilection for reinvesting capital for growth rather than returns. Shares were rangebound for much of 2024 as macro fears have weighed on oil prices and energy sector stocks, giving us an opportunity to purchase a strong operator at a favorable price.”
Permian Resources Corporation (NYSE:PR) is an independent oil and natural gas company with operations focused in the Permian Basin, with assets concentrated in the core of the Delaware Basin.
7. Devon Energy Corporation (NYSE:DVN)
Upside Potential as of June 21: 22.06%
Devon Energy Corporation (NYSE:DVN) generated an impressive $1 billion in free cash flow in the first quarter of 2025, returning nearly half to shareholders through dividends and share buybacks. Moreover, the company boasts an impressive corporate breakeven of $45, positioning it well to generate value even in a low-price environment that we witnessed over the last couple of months.
Devon Energy Corporation (NYSE:DVN) announced earlier this year that it is on track to deliver recently announced plans to boost its annual free cash flow by $1 billion by the end of 2026 by reducing drilling and completion costs and improving operating margins. At the company’s current valuation multiples, capitalizing the after-tax impact of the targeted $1 billion of additional free cash flow could translate to an estimated $10 per share in value.
With a current Forward P/E ratio of 8.88, Devon Energy Corporation (NYSE:DVN) is included among the 10 Cheap Energy Stocks to Buy Now.
Devon Energy Corporation (NYSE:DVN) is a leading independent energy company engaged in finding and producing oil and natural gas, with operations focused onshore in the United States.
6. Chord Energy Corporation (NASDAQ:CHRD)
Upside Potential as of June 21: 23.51%
Chord Energy Corporation (NASDAQ:CHRD) ranks among the Best Natural Gas Stocks to Buy According to Analysts.
Chord Energy Corporation (NASDAQ:CHRD) maintained shareholder returns at 100% of free cash flow for the second consecutive quarter in Q1 2025, repurchasing $216.5 million worth of its stock during the quarter. Since closing its Enerplus transaction last year, the company has reduced its share count by approximately 9% through the end of April 2025.
Chord Energy Corporation (NASDAQ:CHRD) also declared a quarterly cash dividend of $1.3 per share in May, which equates to approximately $75 million. The energy stock currently boasts an impressive annual dividend yield of 6.3%.
Following a significant uptick in global crude oil prices, the share price of Chord Energy Corporation (NASDAQ:CHRD) has increased by more than 16% over the last month.
Chord Energy Corporation (NASDAQ:CHRD) is an independent oil and gas company engaged in the exploration, development, production, and acquisition of crude oil, NGLs, and natural gas.
5. Coterra Energy Inc. (NYSE:CTRA)
Upside Potential as of June 21: 24.26%
Coterra Energy Inc. (NYSE:CTRA) received a boost recently after Raymond James analyst John Freeman raised the stock’s price target from $33 to $38, while maintaining an ‘Outperform’ rating on its shares.
The development follows Coterra’s performance in the first quarter of 2025, which saw production levels at the upper end of expectations and capital expenditure surpassing estimates. However, the company is pausing development in the Eastern Culberson Harkey to address wellbore cement issues caused by elevated water volumes.
Additionally, Piper Sandler maintained an ‘Overweight’ rating on Coterra Energy Inc. (NYSE:CTRA), with a price target of $36. The analyst highlighted the company’s enhanced reinvestment opportunities following its recent acquisitions in the New Mexico Delaware Basin.
The share price of Coterra Energy Inc. (NYSE:CTRA) has grown by 10% over the last month.
Coterra Energy Inc. (NYSE:CTRA) is a premier, diversified energy company that engages in the exploration, development, and production of oil, natural gas, and NGLs in the United States.
4. Baker Hughes Company (NASDAQ:BKR)
Upside Potential as of June 21: 25.22%
Baker Hughes Company (NASDAQ:BKR) recently announced that it has agreed to acquire Continental Disc Corporation, a leading provider of safety-critical pressure management solutions, in an all-cash transaction for approximately $540 million. The transaction is set to close in the fourth quarter of 2025, pending customary conditions and regulatory approvals.
Lorenzo Simonelli, Chairman and CEO at Baker Hughes Company (NASDAQ:BKR), stated:
“We are excited to enhance our industrial portfolio and expand our addressable market with the addition of CDC’s well-established critical pressure management solutions. Together with the recently announced SPC and PSI transactions, this acquisition sets the blueprint for our portfolio optimization strategy – focused on driving higher returns and creating long-term value for our shareholders.”
Baker Hughes Company (NASDAQ:BKR) is heavily involved in the natural gas sector, particularly in LNG and gas processing. Last month, the company announced an award from Frontier Infrastructure Holdings for 16 NovaLT™ gas turbines to power its data center projects in Wyoming and Texas, delivering up to 270 MW of efficient, reliable power.
Earlier this year, Baker Hughes also signed an agreement with Venture Global to support its LNG projects in the United States with technology and equipment. The energy technology firm also finalized a services frame agreement to support phases 1 and 2 of Venture Global’s Plaquemines LNG project in Louisiana.
Baker Hughes Company (NASDAQ:BKR) is an energy technology company that provides solutions for energy and industrial customers worldwide.
3. Cenovus Energy Inc. (NYSE:CVE)
Upside Potential as of June 21: 26.91%
Cenovus Energy Inc. (NYSE:CVE) recently revealed that it has now safely restored production at its Christina Lake oil sands asset following wildfire activity in the area. The company restarted operations on June 3 and successfully ramped up production over the following week.
Cenovus confirmed that there was no damage to the site’s infrastructure and that all workers were safely evacuated and accounted for, with no reported injuries. 100% owned by Cenovus, Christina Lake had a production of 238,000 barrels per day in the first quarter of 2025.
Earlier this month, Cenovus Energy Inc. (NYSE:CVE) announced that it would exercise its right to redeem the company’s 3.935% Series 7 preferred shares on June 30, 2025, at a price of $25 per share, totaling $150 million. Moreover, Cenovus will distribute a final quarterly dividend of $0.24594 per share on the same date, marking the final dividend payment for these preferred shares.
Cenovus Energy Inc. (NYSE:CVE) is an integrated oil and natural gas company, based in Calgary, Alberta, with operations that span Canada, the United States, and the Asia Pacific region.
2. ONEOK, Inc. (NYSE:OKE)
Upside Potential as of June 21: 30.7%
ONEOK, Inc. (NYSE:OKE) recently announced that it has acquired the remaining 49.9% interest in its Delaware Basin JV from NGP XI Midstream Holdings for $940 million. The deal includes $530 million in cash and $410 million in ONEOK common stock, positioning the energy infrastructure company as the sole owner of the joint venture, which boasts a total processing capacity exceeding 700 million cubic feet per day.
ONEOK, Inc. (NYSE:OKE) is well-positioned to benefit from the increasing natural gas demand and remains engaged in active negotiations across its system related to power demand for data centers in Oklahoma and Texas. The company recently completed its Oklahoma and natural gas storage expansion project, adding 4 Bcf of working storage capacity, which is 80% committed with third-party contracts.
Moreover, the company’s Jefferson Island storage hub expansion project in Louisiana is also underway, which will increase its total storage capacity by approximately 8.5 Bcf.
ONEOK, Inc. (NYSE:OKE) is one of the largest diversified energy infrastructure companies in the US, owning and operating an extensive network of NGLs, natural gas, refined products, and crude oil assets.
1. Venture Global, Inc. (NYSE:VG)
Upside Potential as of June 21: 92.63%
Venture Global, Inc. (NYSE:VG) tops our list of the Best Natural Gas Stocks to Buy According to Analysts.
Venture Global, Inc. (NYSE:VG) recently made headlines when it was revealed that the company has initiated full mobilization and started site work at its CP2 LNG plant in Louisiana. Progress on the 28 million metric tons per annum (mtpa) project had been delayed pending approval from the Federal Energy Regulatory Commission. This approval, originally provided in June 2024, was reinstated in May 2025.
Only a startup three years ago, Venture Global, Inc. (NYSE:VG) already boasts two operational facilities in Louisiana with a combined capacity to produce 38.5 mtpa. So the latest CP2 plant will lift the company’s total capacity to 66.5 mtpa and begin delivering LNG to customers in 2027, potentially turning Venture Global into the largest LNG exporter in the United States.
The share price of Venture Global, Inc. (NYSE:VG) has more than doubled since hitting its bottom in April, but still remains well below its January IPO level.
Venture Global, Inc. (NYSE:VG) develops and constructs LNG export projects to provide clean, affordable energy to the world. The company is currently the second-largest LNG exporter in the United States.
While we acknowledge the potential of VG 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 VG and that has 100x upside potential, check out our report about this cheapest AI stock.
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