5 Best Oil and Gas Equipment & Services Stocks to Buy According to Hedge Funds

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In this article, we will list the 5 Best Oil and Gas Equipment & Services Stocks to Buy According to Hedge Funds. Please visit 10 Best Oil and Gas Equipment & Services Stocks to Buy According to Hedge Funds if you’d like to see an extended list and the methodology behind it.

5. Liberty Energy Inc. (NYSE:LBRT)

Liberty Energy Inc. (NYSE:LBRT) is one of the 10 best oil and gas equipment & services stocks to buy according to hedge funds.

On March 31, Liberty Energy Inc. (NYSE:LBRT) successfully priced its private placement of $475 million of its 0.00% Convertible Senior Notes due 2032. This was done following the exercise of the initial purchasers’ option for an additional $50 million investment in the deal, resulting in total net proceeds of about $511.3 million.

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The notes are convertible bonds that will be issued to qualified institutional buyers under Rule 144A and are senior unsecured obligations, with an initial conversion price at around a 30% premium over the price of Liberty’s shares on March 25, 2026.

The maturity date is in 2032, and the notes have standard features such as redemption, conversion, and fundamental changes. Additionally, there is a well-defined provision for events of default to provide a clear payment mechanism.

Liberty Energy used about $77.2 million of the proceeds to conduct capped call transactions, with the cap price initially set at around $72 per share, aimed at mitigating dilution effects to common equity holders and compensating for any extra costs from conversion.

Liberty Energy Inc. (NYSE:LBRT) delivers hydraulic fracturing technologies and solutions to onshore oil, gas, and advanced geothermal exploration and production organizations. Its services portfolio includes wireline services, proppant delivery solutions, and more. It caters to several locations, including the Permian Basin and the Appalachian Basin, to name a few.

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