14 Best Oil and Gas Stocks to Buy According to Hedge Funds

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6. Antero Resources Corporation (NYSE:AR)

Number of Hedge Fund Holders: 75

Antero Resources Corporation (NYSE:AR) is an independent natural gas and liquids company operating in the Appalachian Basin. It is one of the largest American suppliers of natural gas and LPG to the global export market.

On May 27, Mizuho bumped up its price target on Antero Resources Corporation (NYSE:AR) from $50 to $54, while maintaining an ‘Outperform’ rating on the shares. The target revision represents an upside potential of over 51% from the current share price.

Mizuho expects the global oil prices and refining margins to witness a prolonged impact from the Middle East conflict. As a result, the company lifted its oil price forecast for 2026 and 2027 by 25% and 6%, respectively. Moreover, it also raised its outlook for US refining cracks by 61% and 51%.

The analyst firm believes that a potential pullback in energy stock valuation, despite the high commodity prices, would create an opportunity for investors to seek “alpha” within the US oil sector. Mizuho updated its ratings and price targets across the group.

Aristotle Capital Management, LLC, an investment management company, stated the following regarding Antero Resources Corporation (NYSE:AR) in its Q1 2026 investor letter:

“Antero Resources Corporation (NYSE:AR) contributed to performance in the first quarter due to higher price levels for U.S. natural gas caused by cold winter weather temperatures, as well as increasing demand from AI data center power needs. Late in the quarter, Antero also benefited from a geopolitically driven natural gas price spike as Middle East supply disruptions pushed global liquified natural gas (LNG) buyers toward U.S. LNG cargoes. The company continues to demonstrate strong fundamentals, with strong free cash flow generation and a de-levered balance sheet.”

While we acknowledge the potential of AR as an investment, 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 AR and that has 100x upside potential, check out our report about the cheapest AI stock.

Click to continue reading and see the 5 Best Oil and Gas Stocks to Buy According to Hedge Funds.

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