13 Best Energy Stocks to Buy Right Now

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6. ConocoPhillips (NYSE:COP)

No. of Hedge Fund Holders: 86

ConocoPhillips (NYSE:COP) is one of the world’s largest independent E&P companies based on oil and natural gas production and proved reserves.

ConocoPhillips (NYSE:COP) announced the $22.5 billion acquisition of Marathon Oil last year, significantly boosting its presence in the Permian, Eagle Ford, and Bakken basins. However, COP also took on about $5.4 billion of Marathon’s debt as part of the deal and is now looking to offload some assets to help strengthen its balance sheet. The company has already disposed of assets worth more than $1 billion since the acquisition and has also announced plans to reduce its workforce as part of a broader initiative to cut costs and streamline operations.

That said, the deal also added over 2 billion barrels of oil and gas resources to COP’s portfolio with an average cost of supply below $30 to its portfolio. As a result, ConocoPhillips (NYSE:COP) posted strong results in Q4 2024, reporting an adjusted EPS of $1.98 and beating forecasts by $0.15. The company’s revenue of $14.74 billion also topped expectations by almost $515 million. Moreover, the oil and gas giant’s production rose 14.8% YoY to 2.183 million boe/d in Q4 2024.

ConocoPhillips (NYSE:COP) is known for its commitment to shareholders, boasting a streak of 10 consecutive years of dividend growth. The company returned $9.1 billion to its shareholders in the form of buybacks and dividends in 2024, with plans to return $10 billion this year.

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