In this article, we will take a look at the 5 Best Energy Stocks to Buy Under $20 According to Billionaires. For deeper discussion and analysis, please refer to the 10 Best Energy Stocks to Buy Under $20 According to Billionaires.
5. Talos Energy Inc. (NYSE:TALO)
Share Price as of May 6: $15.31
Number of Billionaire Holders: 13
Talos Energy Inc. (NYSE:TALO) is a leading energy company focused on offshore oil and gas exploration and production in the United States Gulf Coast, the Gulf of America, and offshore Mexico.
Talos Energy Inc. (NYSE:TALO) reported better-than-expected results for its Q1 2026 on May 5, with the company’s adjusted loss per share of $0.07 beating estimates by $0.04. Revenue of $472.3 million also topped expectations of $22.3 million.
Talos Energy Inc. (NYSE:TALO)’s production of approximately 89,000 boepd exceeded first-quarter guidance, driven by the strong new well productivity at Cardona, continued solid base performance, and high facility uptime. The company generated adjusted EBITDA of $293.4 million in the first quarter, while its adjusted free cash flow came in at $113.2 million.
Talos Energy Inc. (NYSE:TALO) is targeting total production of 88,000 to 92,000 boepd in the second quarter, including oil production of 63,000 to 67,000 bpd. Meanwhile, total output for the full-year 2026 is expected at 85,000 to 90,000 boepd, including 62,000 to 66,000 bpd of oil. Meanwhile, capital expenditures for the year, excluding P&A, are forecasted to range between $500 million and $550 million.
4. Patterson-UTI Energy, Inc. (NASDAQ:PTEN)
Share Price as of May 6: $11.64
Number of Billionaire Holders: 13
Patterson-UTI Energy, Inc. (NASDAQ:PTEN) is a leading provider of drilling and completion services to oil and natural gas exploration and production companies in the United States and other select countries.
On April 27, Barclays boosted its price target on Patterson-UTI Energy, Inc. (NASDAQ:PTEN) from $8 to $10, while keeping an ‘Equal Weight’ rating on the shares. The revision comes after the company reported better-than-expected results for its Q1 2026 on April 22, beating estimates in both earnings and revenue.
The analyst firm noted that while Patterson-UTI Energy, Inc. (NASDAQ:PTEN)’s onshore rig count in the US remained relatively flat compared to pre-war levels, the company’s commentary indicated rig adds in the next few weeks. Patterson-UTI expects its rig count to average around 90 rigs in the second quarter, with adjusted gross profit in the Drilling Services segment targeted to be approximately $130 million. Barclays expects this to drive higher completion activity by the third quarter.
Patterson-UTI Energy, Inc. (NASDAQ:PTEN) also declared a quarterly dividend of $0.10 per share on April 23. PTEN currently boasts an impressive annual dividend yield of 3.46%, putting it among the 14 Best Oil and Gas Dividend Stocks to Buy Right Now.
3. Kosmos Energy Ltd. (NYSE:KOS)
Share Price as of May 6: $3.12
Number of Billionaire Holders: 14
Kosmos Energy Ltd. (NYSE:KOS) is a leading deepwater exploration and production company focused on meeting the world’s growing demand for energy.
Kosmos Energy Ltd. (NYSE:KOS) reported its Q1 2026 results on May 5. The company reported an adjusted loss per share of $0.07 for the quarter, falling behind expectations by $0.09. Revenue of $371 million also missed estimates by $36 million, despite a YoY growth of almost 28%.
That said, Kosmos Energy Ltd. (NYSE:KOS) achieved record daily and quarterly production in Q1, driven by GTA fully ramped up and new wells at Jubilee. The company reported net output of around 74,800 boepd, up almost 25% versus the first quarter of 2025. Moreover, the firm managed to cut its operating costs by approximately 22% YoY, in addition to reducing its net debt by around 7% compared to year‑end 2025. Kosmos intends to continue this momentum and raise its full‑year debt reduction target from 10% to approximately 20%.
Kosmos Energy Ltd. (NYSE:KOS) expects to deliver production growth of 15% YoY in FY 2026, coming predominantly from its core, Jubilee, and GTA assets. However, the company’s Q2 output is expected to be slightly lower than the first quarter, largely due to seasonality on GTA and the lower Gulf of America production on the back of Winterfell-2.
Kosmos Energy Ltd. (NYSE:KOS) was also recently included in our list of the 8 Best Oil and Gas Penny Stocks to Buy Now.
2. Transocean Ltd. (NYSE:RIG)
Share Price as of May 6: $6.36
Number of Billionaire Holders: 17
Transocean Ltd. (NYSE:RIG) is a leading international provider of offshore contract drilling services for oil and gas wells.
Transocean Ltd. (NYSE:RIG) slid after reporting its Q1 2026 results on May 4, with the company’s adjusted loss per share of $0.03 falling short of estimates by $0.11. However, the company’s revenue grew by over 19% YoY to $1.08 billion and managed to top expectations by $50 million.
Transocean Ltd. (NYSE:RIG) logged an average daily revenue of $476,000 in the first quarter, the highest in over a decade. Moreover, the company generated a free cash flow of $136 million, compared to a negative free cash flow of $34 million in the same period last year. Notably, Transocean managed to add $1.6 billion of new contracts and contract extensions on five rigs during the quarter, taking its total backlog to over $7 billion.
Transocean Ltd. (NYSE:RIG) reduced the upper end of its full-year 2026 revenue range by $50 million to $3.9 billion. Moreover, it increased its capital expenditure expectations for the year by $20 million. The company plans to retire at least $750 million in total debt in 2026, ending the year with a principal balance of around $4.9 billion.
It also needs mentioning that Transocean Ltd. (NYSE:RIG) is still seeking approval for its all-stock acquisition of Valaris. The deal will create a ~$20 billion enterprise value combined offshore drilling leader with enhanced scale and improved financial flexibility.
1. ProPetro Holding Corp. (NYSE:PUMP)
Share Price as of May 6: $16.61
Number of Billionaire Holders: 18
Topping our list of the Best Energy Stocks Under $20 is ProPetro Holding Corp. (NYSE:PUMP). The company provides hydraulic fracturing and other complementary services to leading upstream oil and gas companies engaged in exploration and production.
ProPetro Holding Corp. (NYSE:PUMP) received a boost on May 5 when Citi pumped up its price target on the stock from $16 to $20, while maintaining a ‘Buy’ rating on the shares. The target boost reflects an upside of over 20% from the current price levels.
The development comes after ProPetro Holding Corp. (NYSE:PUMP) reported mixed results for its Q1 2026 on April 30. The company posted a loss per share of $0.03 during the quarter, exceeding estimates by $0.06. However, its revenue of $270.7 was down by almost 25% YoY and fell short of expectations by around $6 million.
ProPetro Holding Corp. (NYSE:PUMP) also highlighted the recent deal that its PROPWR unit signed with Caterpillar to purchase up to 2.1 GW of power generation assets by 2031 in support of data center, oil and gas, and industrial customers. The business is now positioned to have around 2.6 GW of power generation capacity delivered by year-end 2031 and fully deployed in 2032.
Moreover, ProPetro Holding Corp. (NYSE:PUMP) raised its CapEx forecasts for 2026. The company now expects to spend between $540 million and $610 million during the year, up from the $390 million to $435 million range highlighted in its previous earnings report.
While we acknowledge the potential of PUMP to grow, 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 PUMP and that has 100x upside potential, check out our report about the cheapest AI stock.
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