In this article, we will take a look at the 5 best cheap oil stocks to buy in 2021. For a detailed analysis of the oil market and trends, go directly to the 10 best cheap oil stocks to buy in 2021.
5. Southwestern Energy Company (NYSE:SWN)
Number of Hedge Fund Holders: 21
Total Value of Hedge Fund Holdings: $148 Million
Share Price as of April 28: $4.25
Texas-based natural gas developer Southwestern Energy Company ranks five on the list of 10 best cheap oil stocks to buy in 2021. The company owns over 786,000 net acres in the Appalachia Basin. In 2020, the company purchased Montage Resources, an oil and gas company, in a $193 million deal. The acquisition resulted in over $30 million in general and administrative (G&A) synergies and retaining balance sheet resilience by stock market investments.
The company has a market cap of $2.6 billion. Shares of SWN surged 24.52% over the past twelve months. The company’s revenue in 2020 came in at $2.3 billion, a $700 million decrease compared to 2019 revenue. On April 23, Raymond James downgraded the stock from a “Market Perform” to an “Underperform.” At the same time, Morgan Stanley increased their price target on Southwestern Energy shares from $4.50 to $5.00.