12 Best Performing Energy Stocks to Buy Now

In this article, we will take a look at the 12 Best Performing Energy Stocks to Buy Now.

As the United States looks at rising power demand and attempts to bolster its grid to meet the demands of artificial intelligence data centers, some energy sub-sectors appear to be undergoing interesting developments, including battery power storage, one of the key technologies required for grid stability, which might witness a slowdown in momentum.

Trump’s One Big Beautiful Bill Act kept the energy storage industry’s full tax credits in place until the end of 2032, though the industry is also governed by stringent “foreign entity of concern” regulations that prevent incentives from going to projects that are owned or controlled by particular nations, such as China.

Broadly speaking, energy stocks outperformed the market and kept the S&P 500 up early on July 28 after the European Union announced over the weekend that European businesses would purchase about $750 billion worth of US energy products, including gas and oil, over the next three years as part of a draft EU-US trade agreement. Nevertheless, some of the early robust increases in these US energy stocks have faded amid growing doubt that the EU could achieve such a high target for US energy imports.

Our Methodology

For this list, we used stock screeners and identified energy stocks that were popular among elite hedge funds and favored by analysts. We then checked their year-to-date performance and selected the 12 best performing stocks from our initial pool. The names on this list appear in ascending order of their year-to-date performance, as of July 30.

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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).

12. Enbridge Inc. (NYSE:ENB)

Year-to-Date Performance: 4.63%

Number of Hedge Fund Holders: 34

Enbridge Inc. (NYSE:ENB) ranks among the best performing energy stocks to buy now. On July 23, Jefferies raised its price target for Enbridge Inc. (NYSE:ENB) from C$65 to C$72, upgrading the stock from Hold to Buy. Jefferies noted Enbridge’s “widest opportunity set across both oil and gas pipelines,” which gives the company a great deal of flexibility to explore a range of projects and boosts confidence in its EBITDA growth potential.

According to Jefferies, Enbridge’s primary assets that put the company in a favorable competitive position include its ownership of the TETCO pipeline system, its leading role in the transportation of crude oil in Canada, and its growing presence in the Permian Basin.

Despite admitting that “the magnitude of the gap isn’t incredibly wide,” Jefferies stated it favors Enbridge Inc. (NYSE:ENB) due to its stronger screening across a number of key metrics.

Enbridge Inc. (NYSE:ENB) is a midstream energy company that specializes in the distribution and transportation of natural gas, oil, and natural gas liquids.