15 Stocks with Buy Ratings that Hedge Funds Love

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4. ConocoPhillips (NYSE:COP)

No. of Hedge Funds: 86

Value of the hedge funds: $7.23 billion

ConocoPhillips (NYSE:COP) is a Texas-based company positioned as a major independent oil and gas explorer and producer. Operations of the company span North America, Asia, Europe, and Australia. Focusing on shale, LNG, and deepwater assets, the company produces crude oil, natural gas, and NGLs. Despite the competition from tough players like Chevron, ConocoPhillips accumulates market share by prioritizing capital discipline, asset optimization, and carbon reduction initiatives. The company’s low-cost resource base provides the benefit of scale in a volatile energy pricing environment.

ConocoPhillips (NYSE:COP) is supported by substantial hedge fund backing, with 86 funds holding $7.23 billion in shares, as per Insider Monkey’s Q4 2024 database. By the end of 2024, the company achieved a production growth of 4% year-over-year. It also closed the acquisition of Marathon, resulting in a refined portfolio that includes high-quality and low-cost supply inventory. $9.1 billion in capital has been returned to shareholders, elevating the shareholder value. For 2025, the company has set a production target between 2.34 and 2.38 million barrels of oil equivalent per day (MMBOED). It has also announced a target to return $10 billion to shareholders in 2025: $4 billion in dividends and $6 billion in share repurchases.

ConocoPhillips (NYSE:COP) has maintained a 4.06% EPS growth over five years, reflecting slow growth within the industry. Having trust in the company’s future growth, backed by the strong support of hedge funds, analysts have assigned a Strong Buy rating for the stock.

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