On April 12, Bill Perkins, Skylar Capital Management CEO, appeared on ‘Closing Bell Overtime’ on CNBC to talk about how the energy sector is struggling due to fears of decreased fuel demand. Perkins discussed that the trade policy majorly drives the sentiment across the energy landscape and hence affects natural gas, energy stocks, bonds, and other related assets. Noting the difficulty in predicting the long-term outcome of these policies, he questioned whether the tariffs are temporary. The conversation then shifted to the impact of recent tariff announcements. Perkins acknowledged that natural gas prices initially performed better than other commodities following the announcements, which gives rise to speculations that LNG could become a key bargaining chip in future trade negotiations. He explained that, at the time, natural gas fundamentals were strong, and the US had the potential to use LNG exports as a diplomatic tool to help reduce trade deficits with other countries.
However, Perkins acknowledged that the overarching macroeconomic fear of a global slowdown soon overshadowed these fundamentals, which affected both the crude oil and natural gas markets. As a result, prices dropped to levels that might stimulate some demand and offer a buffer against further declines, particularly if the tariff conflict drags on and risks pushing the economy into a recession or even a depression. Perkins also addressed the effect of price pressure on production, specifically referencing West Texas Intermediate (WTI) crude oil. He pointed out that WTI prices had reached a threshold (~$60 per barrel) where growth in the Permian Basin would likely halt or even decline. At these price levels, producers become reluctant to invest in new drilling, especially given the backwardated crude curve, which showed future prices at $58 to $59 per barrel. This scenario would not only limit oil production growth in the Permian but also reduce the output of associated natural gas from the region. Perkins described this production restraint as a bullish factor that could help offset some of the prevailing uncertainty.
Perkins predicted that oil and gas executives would adopt a cautious tone in their commentary. He explained that, due to the unpredictability of the global macro environment, executives would likely let market signals guide their decisions about ramping up or scaling back drilling programs. That being said, we’re here with a list of the 15 small-cap energy stocks hedge funds are buying.
An open market exchange floor, crowded with traders under the energy sector banner.
Our Methodology
We first sifted through the Finviz stock screener and Insider Monkey’s Q4 2024 hedge funds database. For this article, we define small-cap stocks as those that trade between $10 billion and $30 billion. We then selected the top 15 stocks according to hedge funds and ranked them in ascending order of the number of hedge funds that have stakes in them. In cases where an equal number of hedge funds held two or more stocks, we used the market cap as a tiebreaker.
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).
15 Small-Cap Energy Stocks Hedge Funds Are Buying
15. Woodside Energy Group Ltd. (NYSE:WDS)
Market Capitalization as of April 25: $24.45 billion
Number of Hedge Fund Holders: 10
Woodside Energy Group Ltd. (NYSE:WDS) explores, evaluates, develops, produces, markets, and sells hydrocarbons in the Asia Pacific, Africa, the Americas, and Europe. It produces liquefied natural gas, pipeline gas, crude oil and condensate, and natural gas liquids. It also develops new energy products and lower-carbon services.
Woodside’s strategic focus is its Louisiana LNG project. It has secured a $5.7 billion investment from Stonepeak for a 40% stake in the infrastructure for the Louisiana LNG project. This capital will cover 75% of the project’s capital expenditure in both 2025 and 2026, which will then enhance near-term capacity for shareholder distributions.
The project benefits from a Foreign-Trade Zone, which allows for the deferral of tariff payments until each LNG train is complete. Woodside Energy Group Ltd. (NYSE:WDS) also signed a long-term LNG sale and purchase agreement with Uniper for the supply of ~2 million tonnes per annum, which will commence with Louisiana LNG’s commercial operations date.
14. Ecopetrol (NYSE:EC)
Market Capitalization as of April 25: $19.1 billion
Number of Hedge Fund Holders: 13
Ecopetrol (NYSE:EC) is an integrated energy company that operates through four segments: Exploration & Production, Transport & Logistics, Refining & Petrochemicals, and Electric Power Transmission & Toll Roads Concessions. Its main refineries are the Barrancabermeja refinery and a refinery in the Free Trade Zone in Cartagena.
In mid-February, Citi upgraded the stock’s rating to Buy from Neutral, with a $14 price target, which was up from $9. Later in March, Ecopetrol announced plans to raise ~$2 billion in new debt to fund acquisitions, such as the potential deal for Enel’s Windpeshi wind project. In 2024, Ecopetrol (NYSE:EC) acquired the CPO-09 field from Repsol, which added 32 million barrels of oil equivalent to its reserves, and extended its JV in the Permian Basin.
Notably, the company produced a record 746,000 BOE per day in 2024, the highest level in the last 9 years. This contributed to the company’s total revenue of COP133.3 trillion. Furthermore, Ecopetrol achieved a reserve replacement ratio of 104% by adding 260 million BOE in proven reserves to 2x the 2023 addition. Ecopetrol is now allocating 60% of its 2025 investment towards energy security.
13. Pembina Pipeline Corp. (NYSE:PBA)
Market Capitalization as of April 25: $22.38 billion
Number of Hedge Fund Holders: 17
Pembina Pipeline Corp. (NYSE:PBA) provides energy transportation and midstream services. It has 3 segments: Pipelines, Facilities, Marketing & New Ventures, and Corporate & Income Tax. The Pipelines segment operates conventional, oil sands & heavy oil, and transmission assets with a transportation capacity of 3.0 million BOE per day, the ground storage capacity of 10 million barrels, and rail terminalling capacity of ~105 thousand BOE per day.
The company announced several important developments in Q4 2024, such as entering into agreements for a 50% interest in the Greenlight Electricity Centre Limited Partnership, which is developing a power generation facility to serve the ballooning data centers industry. Pembina’s Pipelines segment saw increased contributions due to the fully consolidated ownership of Alliance, which brought higher revenue from increased ownership and greater demand for seasonal contracts.
Overall, the Pipelines segment benefited from ~170,000 BOE per day of incremental or renewed transportation contracts, primarily on Alliance and Peace Pipeline, as well as 25,000 barrels per day on the NEBC pipeline. The company is now growing this segment through projects like the Taylor to Gordondale project (currently in the regulatory process).
12. YPF Sociedad Anonima (NYSE:YPF)
Market Capitalization as of April 25: $12.58 billion
Number of Hedge Fund Holders: 20
YPF Sociedad Anonima (NYSE:YPF) is an energy company. Its upstream operations include the exploration, exploitation, and production of crude oil and natural gas. The downstream operations include petrochemical production & crude oil refining, transportation & distribution of refined and petrochemical products, and the commercialization of crude oil, petrochemical products, & specialties.
On April 14, HSBC upgraded the stock from Reduce to Hold and raised its price target to $33 from $21. According to HSBC, this sentiment is attributed to an improved outlook for Argentina’s economy, energy sector, and YPF’s internal restructuring plan. Additionally, YPF recently signed an MOU with the Italian energy group Eni for its participation in an LNG project in the Vaca Muerta gas field in Argentina.
The company’s Upstream segment is focused on shale oil production in Vaca Muerta. In 2024, YPF achieved a shale oil production of 122,000 barrels per day, which was up 26% year-over-year. YPF Sociedad Anonima (NYSE:YPF) also tripled its oil export revenues in 2024, reaching ~$1 billion. YPF is developing the VMOS (Vaca Muerta Oil Sur) pipeline project to further increase export capacity. It aims for 180,000 barrels per day by H2 2026 and potentially exceed 500,000 barrels per day by H2 2027.
11. Plains GP Holdings (NASDAQ:PAGP)
Market Capitalization as of April 25: $14.74 billion
Number of Hedge Fund Holders: 22
Plains GP Holdings (NASDAQ:PAGP) owns midstream infrastructure systems in the US and Canada. It has two segments: Crude Oil and Natural Gas Liquids (NGLs). It gathers and transports crude oil using pipelines, trucks, and barges/railcars. It also provides terminalling, storage, and other related services.
The company’s All American Pipeline’s Crude Oil segment benefited from higher volumes transported and pipeline tariff escalation in 2024, which contributed to the company’s full-year adjusted EBITDA of $2.78 billion. In 2025, Plains anticipates growth in this Crude Oil segment from bolt-on acquisitions (like Ironwood Midstream Energy and Midway Pipeline).
Plains GP Holdings (NASDAQ:PAGP) expects Permian crude production to grow by 200,000-300,000 barrels a day year-over-year in 2025. This would lead to increased utilization of the company’s long-haul assets, particularly those serving Corpus Christi and the Basin Pipeline. In January, Plains announced three bolt-on acquisitions that totaled $670 million net. This includes Ironwood Midstream’s Eagle Ford assets and Medallion Midstream’s Delaware Basin operations.
10. Petroleo Brasileiro (NYSE:PBR)
Market Capitalization as of April 25: $28.47 billion
Number of Hedge Fund Holders: 31
Petroleo Brasileiro (NYSE:PBR) explores, produces, and sells oil and gas in Brazil and internationally. It operates through three segments: Exploration & Production; Refining, Transportation & Marketing; and Gas & Power. It also engages in R&D, production, transport, distribution, and trading of energy.
On March 10, HSBC analyst Liyanna Yang upgraded the stock from Hold to Buy, while setting a $15 price target. Yang’s confidence in the company is based on projections of a great performance in 2025, despite current challenges. Petrobras made over BRL 200 million in cash and paid BRL 102 billion in dividends despite lower Brent and diesel crack prices.
In 2024, Petroleo Brasileiro (NYSE:PBR) achieved significant milestones, such as the start of operations at FPSO Almirante Tamandare in the Buzios field, which has a capacity of 225,000 barrels of oil per day. The Buzios field is the largest deepwater operations field globally and is expected to produce about 200 million barrels a day by 2030. For 2025, management plans to increase production by 100,000 barrels per day and will have 3 new producing units becoming fully operational throughout the year.
9. Tenaris (NYSE:TS)
Market Capitalization as of April 25: $18.56 billion
Number of Hedge Fund Holders: 33
Tenaris (NYSE:TS) manufactures and supplies steel pipe products and related services for the energy industry and other industrial applications in North America, South America, Europe, the Middle East, and Africa, and the Asia Pacific. It manufactures and markets welded and seamless steel pipes.
The company also offers oilfield services and coating solutions. In December 2024, ExxonMobil named Tenaris its 2024 Supplier of the Year and recognized its strong performance and reliability. Tenaris supplies OCTG solutions and Rig Direct services for ExxonMobil’s US operations and supports its drilling projects worldwide, which include deepwater exploration.
In Q42024, Tenaris (NYSE:TS) made sales of $2.8 billion, which was a 17% drop year-over-year and a 2% drop sequentially. This decline came from lower volumes and selling prices, although a favorable product mix offset some of the price declines in North America. By the end of 2024, the company recorded an EBITDA of $3.1 billion and a net income of $2.1 billion on total sales of $12.5 billion.
8. DT Midstream Inc. (NYSE:DTM)
Market Capitalization as of April 25: $10.03 billion
Number of Hedge Fund Holders: 40
DT Midstream Inc. (NYSE:DTM) provides integrated natural gas services in the US. The company operates in two segments: Pipeline and Gathering. It serves natural gas producers, local distribution companies, electric power generators, industrials, and national marketers.
In 2024, DT Midstream’s Pipeline segment’s adjusted EBITDA grew by 7% year-over-year, which contributed to the company’s overall adjusted EBITDA of $969 million, which itself was a record high. This was fueled by new LEAP (Louisiana Energy Access Project) expansions and higher storage revenue. In 2025, the Pipeline segment anticipates 18% growth from the original 2024 guidance.
The company recently completed the Midwest pipeline acquisition (One Oak), which expanded its FERC interstate natural gas pipeline network. DT Midstream Inc.’s (NYSE:DTM) overall project backlog has increased by ~$1 billion to $2.3 billion for the 2025-2029 period, with pipeline projects comprising ~70% of this opportunity set.
7. Coterra Energy Inc. (NYSE:CTRA)
Market Capitalization as of April 25: $19.39 billion
Number of Hedge Fund Holders: 48
Coterra Energy Inc. (NYSE:CTRA) is an independent oil and gas company that explores, develops, and produces oil, natural gas, and natural gas liquids in the US. The company sells its natural gas to industrial customers, local distribution companies, oil and gas marketers, energy companies, pipeline companies, and power generation facilities.
In 2024, Coterra’s oil production exceeded the high end of its initial guidance by ~4% and achieved a 13% organic year-over-year growth. This averaged 108.8 thousand barrels of oil per day (MBopd). Oil contributed to 50% of the company’s pre-hedge revenue during Q4. This growth is attributed to the integration of newly acquired Permian assets from Franklin Mountain and Avant, where Coterra is increasing activity and capital investment.
On February 27, JPMorgan raised the stock’s price target to $36 from $35, while keeping an Overweight rating. This sentiment followed the company’s announcement of oil & gas volume exceeding forecasts and remarkable capital efficiency. Coterra projects oil production to average between 152 and 168 MBopd for the full year 2025, which represents a 47% year-over-year increase at the midpoint of guidance.
6. Halliburton Co. (NYSE:HAL)
Market Capitalization as of April 25: $17.97 billion
Number of Hedge Fund Holders: 49
Halliburton Co. (NYSE:HAL) provides products and services to the energy industry. It operates in two segments: Completion & Production and Drilling & Evaluation. The company offers a range of products/services, such as production enhancement services, cementing services, electrical submersible pumps, performance additives, completion fluids, specialized testing equipment, and others.
Halliburton’s International markets segment generated $3.2 billion in revenue in Q1 2025, which was a solid contribution to the total company revenue of $5.4 billion. While this figure reflects a slight 2% year-over-year decrease due to lower activity in Mexico, the underlying strength of the international business is evident, as excluding Mexico, international revenues grew by mid-single digits.
The company also secured meaningful contract awards in this segment, extending through 2026 and beyond, particularly with Shell in Brazil, Suriname, and West Africa. While there’s increased uncertainty in the overall international outlook due to the dynamic trade environment and OPEC production, Halliburton Co. (NYSE:HAL) anticipates its year-over-year international revenue to be flat to slightly down for the remainder of 2025.
5. Devon Energy Corp. (NYSE:DVN)
Market Capitalization as of April 25: $20.35 billion
Number of Hedge Fund Holders: 55
Devon Energy Corp. (NYSE:DVN) explores, develops, and produces oil, natural gas, and natural gas liquids. It operates in the Delaware Basin located in southeast New Mexico and west Texas, Eagle Ford located in North America, Anadarko Basin located in western Oklahoma, Williston Basin located in North Dakota, and Powder River Basin located in Wyoming.
In Q4 2024, Devon’s oil production reached an all-time high of 398,000 barrels per day, which was driven by its Eagle Ford wells. The company also finalized an agreement with BPX to dissolve its partnership in the Blackhawk field, which consolidates Devon’s control over ~46,000 net acres in DeWitt County. The Eagle Ford asset holds about 550 of the company’s 700 remaining undrilled locations. Devon’s overall oil and gas production hit 848,000 BOE per day in Q4.
The total company revenue came in at $4.4 billion, which was up 6.22% year-over-year. and above estimates by over $155.3 million. The company’s adjusted EPS of $1.16 also topped expectations by $0.16. The 2025 production outlook for Eagle Ford is projected to be 383,000 BOE per day, while the overall company target stands at 815,000 BOE per day. On February 19, Mizuho Securities raised Devon’s price target to $49 from $47 while keeping an Outperform rating.
4. TechnipFMC (NYSE:FTI)
Market Capitalization as of April 25: $11.88 billion
Number of Hedge Fund Holders: 56
TechnipFMC (NYSE:FTI) engages in energy projects, technologies, systems, and services businesses. It has two segments: Subsea and Surface Technologies. It offers the design, engineering, procurement, manufacturing, installation, and life of field services for subsea systems, subsea field infrastructure, and subsea pipeline systems, which are used in oil & natural gas production and transportation.
The company’s Subsea segment made $1.9 billion in Q1 2025 revenue, which was a significant portion of the total company revenue of $2.2 billion. While this reflects a 5% sequential decrease due to typical offshore seasonality and lower activity in certain regions, the segment secured strong inbound orders of $2.8 billion. This drove the Subsea backlog to $14.9 billion, within a total company backlog of $15.8 billion. The adjusted EBITDA for the Subsea segment was $335 million, with a strong margin of 17.3%.
TechnipFMC (NYSE:FTI) now anticipates low double-digit sequential revenue growth for the Subsea segment in Q2 2025, with an expected increase in adjusted EBITDA margin of ~4%. The company expects to deliver ~$10 billion of Subsea inbound orders in 2025, driven by the adoption of its integrated iEPCI model and Subsea 2.0 tech. These are gaining traction with clients for deepwater developments.
3. Cameco Corp. (NYSE:CCJ)
Market Capitalization as of April 25: $19.15 billion
Number of Hedge Fund Holders: 65
Cameco Corp. (NYSE:CCJ) provides uranium for the generation of electricity. The company’s Uranium segment explores, mines, purchases, and sells uranium concentrate. The Fuel Services segment refines, converts, and fabricates uranium concentrate. The Westinghouse segment operates as a nuclear reactor technology OEM and provides products/services to commercial utilities and government agencies.
On March 12, Stifel Canada started coverage of Cameco with a Buy rating and a price target of C$90. Stifel is positive on the company due to the rising uranium prices and Cameco’s solid financial performance. Cameco’s revenue increased by over 33% year-over-year to $834.83 million, which exceeded estimates by $68.38 million. The full-year 2024 revenue also shot up 21% due to higher prices. The company’s average realized price rose 17% to $58.34 per pound while its sales volumes grew 5%.
Cameco Corp. (NYSE:CCJ) delivered 33.6 million pounds of uranium at $79.70 per pound last year and expects 36 million pounds in total in 2025. The fuel services segment delivered 12.1 million kgU at an average price of $37.87 per kgU. The company’s long-term contracts stood at ~220 million pounds at the end of 2024, and it already has a large pipeline under discussion.
Aristotle Capital Management, LLC’s International Equity Strategy highlighted the company’s strong performance and stated the following regarding Cameco Corporation (NYSE:CCJ) in its Q4 2024 investor letter:
“Cameco Corporation (NYSE:CCJ), one of the world’s largest uranium producers, was a major contributor during the period. With the continued focus on artificial intelligence and clean energy, the demand for nuclear energy remained robust. Some of the largest companies in the world, such as Amazon, Google and Meta, announced nuclear power agreements in the quarter. Given Cameco’s tier-one assets in reliable jurisdictions, proven operating experience and strong reputation, we believe the company is in a unique position to benefit as various industries and governments pursue clean, reliable and scalable sources of energy. Correspondingly, Cameco increased its production outlook, having already secured commitments that net an average of 29 million pounds per year over the next four years. We believe Cameco’s continued ability to efficiently increase production while securing long-term contracts will lead to sustainably higher levels of normalized FREE cash flow. While its Canada-based mines and Westinghouse unit are executing well, production was recently suspended at Cameco’s Inkai joint venture in Kazakhstan. We believe production will restart soon and note that Cameco’s share of Inkai’s production amounts to less than 10% of total Cameco volumes, a figure that can be offset with increased production at the company’s MacArthur River and Key Lake mines in Canada.”
2. Antero Resources Corporation (NYSE:AR)
Market Capitalization as of April 25: $10.99 billion
Number of Hedge Fund Holders: 66
Antero Resources Corp. (NYSE:AR) is an independent oil and natural gas company that develops, produces, explores, and acquires natural gas, NGLs, and oil properties in the US. It operates in three segments: Exploration & Production, Marketing, and Equity Method Investment in Antero Midstream.
Antero Resources Corporation’s (NYSE:AR) domestic marketing efforts add to its pricing. It sells products to key distributors and end-users, which ensures premium pricing. In 2024, it realized a $1.41 per barrel premium over Mont Belvieu for its C3 plus NGLs, which was the highest in the company’s history. This was amplified in Q4, with premiums averaging $3.09 per barrel. For 2025, Antero Resources Corporation (NYSE:AR) anticipates even higher annual export premiums and projects a range of $1.50-$2.50 per barrel premium to Mont Belvieu prices for its C3 plus NGLs.
Antero Resources Corporation (NYSE:AR) also invested $22 million in land during the quarter, adding ~4,200 net acres and representing 15 incremental drilling locations. In 2025, the company has notably secured favorable pricing for almost all domestic propane sales and a substantial portion of export sales. A long-term butane contract, which was previously priced at a steep discount, has also been renegotiated to nearly Mont Belvieu flat pricing.
1. Expand Energy Corp. (NASDAQ:EXE)
Market Capitalization as of April 25: $24.5 billion
Number of Hedge Fund Holders: 71
Expand Energy Corp. (NASDAQ:EXE) is an independent natural gas production company in the US. It acquires, explores, and develops properties to produce oil, natural gas, and natural gas liquids. It holds interests in the Marcellus Shale in the northern Appalachian Basin in Pennsylvania, the Marcellus & Utica Shales in Ohio & West Virginia, and the Haynesville & Bossier Shales in Louisiana.
In Q4 2024, Expand Energy operated an average of 12 rigs to drill 44 wells and brought 41 wells online. This helped the company achieve a daily production of about 6.41 billion cubic feet equivalent (Bcfe). 91% of this was natural gas. Recently, the company approved a new $1 billion share buyback program.
In 2025, Expand Energy aims to run 12 rigs and invest ~$2.7 billion to increase production to about 7.1 Bcfe/d. The company plans to build incremental productive capacity by allocating an additional $300 million to run 15 rigs in H2 2025. Expand Energy Corp. (NASDAQ:EXE) aims to achieve a production rate of ~7.2 Bcfe/d by the end of 2025 and further grow to an average of 7.5 Bcfe/d in 2026. The company is also committed to achieving net-zero emissions by 2035.
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