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.
4. Halliburton Co. (NYSE:HAL)
Halliburton Co. (NYSE:HAL) is one of the 10 best oil and gas equipment & services stocks to buy according to hedge funds.
On April 7, Charles Minervino from Susquehanna increased the price target on Halliburton Company (NYSE:HAL) from $40 to $45 while maintaining a Positive rating on the stock. This upward revision is backed by the comprehensive first-quarter results, which led the analyst to adjust targets for the oilfield services segment. According to Minervino, the ongoing conflict between the U.S. and Iran has acted as a positive catalyst for the increased prices of general commodities alongside oil and natural gas equities.
Simultaneously, Minervino has reduced estimates for entities exposed to the Middle East, citing increased operational expenses, ongoing disruptions, and potential project delays. However, tightening supply conditions ultimately creates a substantially more positive outlook for the industry across the medium and extended timelines.
On April 6, Halliburton Co. (NYSE:HAL), along with PETRONAS Suriname Exploration & Production BV and Valaris Limited, signed a Strategic Collaboration Agreement to support the growth of the assets of PETRONAS Suriname. The strategic collaboration allows Halliburton, PETRONAS Suriname, and Valaris to collaborate during all phases of asset development.
The strategic collaboration is an expression of unity in creating strong project preparation, better execution, and value. According to Shannon Slocum, Chief Operating Officer at Halliburton Company, the agreement demonstrates the belief of PETRONAS Suriname in the benefits of early collaboration, which allows executing projects with readiness from the start.
Slocum stressed that the integration of subsurface knowledge and well engineering will improve alignment and ensure efficient project execution by working closely with PETRONAS Suriname and Valaris.
Halliburton Co. (NYSE:HAL) operates within the energy sector, offering various production enhancement solutions as well as electrical submersible pumps, artificial lift services, and more. Its portfolio also includes various drilling services, AI solutions, subsea services, and more.
3. Baker Hughes Co. (NASDAQ:BKR)
Baker Hughes Co. (NASDAQ:BKR) is one of the 10 best oil and gas equipment & services stocks to buy according to hedge funds.
On April 7, San Matias Pipeline placed a major equipment order with Baker Hughes Co. (NASDAQ:BKR). According to the agreement, it will supply three different gas compression units for a major natural gas pipeline construction in Argentina. This includes three NovaLT 16 gas turbines equipped with three centrifugal compressors, necessary commissioning services, as well as spare parts and specialized tools.
It will also deliver remote monitoring capabilities along with advanced diagnostic support. The company will install this hardware at a compressor station near Allen within Rio Negro to facilitate natural gas transportation from the Vaca Muerta formation to the Gulf of San Matias via a dedicated pipeline. In the longer run, this operation will supply gas for two floating liquefied natural gas vessels owned by Southern Energy.
On April 7, Susquehanna increased the price target on Baker Hughes Company (NASDAQ:BKR) from $65 to $70 while maintaining a Positive rating on the stock. The revision is part of broader adjustments to the Oilfield Services segments, as part of the first quarter earnings preview.
The firm noted that the conflict in Iran has served as a major positive catalyst for commodities as well as oil and gas equities. The estimates for oilfield services companies having exposure to the Middle East have been lowered by Susquehanna due to higher costs, operational disruption, and some delays in projects. Nevertheless, the impact is increasingly positive in the medium-to-long term as supply becomes tighter.
Baker Hughes Co. (NASDAQ:BKR) offers a range of solutions to the energy and industrial value chain. It is engaged in development, production, and decommissioning products and services for onshore and offshore oilfield functions. It also sells software for optimization, climate technology solutions, after-market support, and more.
2. Solaris Energy Infrastructure Inc. (NYSE:SEI)
Solaris Energy Infrastructure Inc. (NYSE:SEI) is one of the 10 best oil and gas equipment & services stocks to buy according to hedge funds.
On March 16, Solaris Energy Infrastructure Inc. (NYSE:SEI) announced that it has closed two transactions, which will add approximately 900MW of new, natural gas-fueled turbine capacity between 2026 and 2029. The company will now operate approximately 3,100MW of total power generation capacity by the end of 2029. The company has also closed a new $300 million credit facility to support ongoing growth.
The Solaris acquisition of Genco Power Solutions is expected to increase the company’s incremental power generation capacity by 400MW, starting from 2026 up to 2028 inclusive, including the currently operated and contracted 100MW. Additionally, the company has bought 30 turbine delivery slots, which are expected to contribute an incremental capacity of around 500MW between 2027 and 2029.
The total payment made at closing was about $240 million in cash, and the issuance of approximately 4 million shares in Solaris class A, valued at about $215 million, in addition to the assumption of indebtedness of about $165 million. Additional payments of about $935 million will be made within the next three and a half years.
Solaris Energy Infrastructure Inc. (NYSE:SEI) offers equipment-based, modular, and scalable systems for power production, raw material management, and control and distribution for the development of oil and natural gas wells. It helps data centers, energy, and other industrial sectors. It also produces and develops specialized equipment and software solutions.
1. SLB N.V. (NYSE:SLB)
SLB N.V. (NYSE:SLB) is one of the 10 best oil and gas equipment & services stocks to buy according to hedge funds.
On April 8, SLB N.V. (NYSE:SLB) disclosed the signing of a strategic collaboration agreement between PETRONAS Suriname E&P B.V., a subsidiary of PETRONAS, and Subsea Integration Alliance, comprising SLB OneSubsea and Subsea7. This partnership is set to release the potential in the new frontier basin of Suriname by deploying economical subsea technologies.
The partnership sets up a long-term framework for cooperation throughout the project cycle. Through this method, early collaboration is possible for joint development and creation of cost-efficient solutions that would help to expedite the development of the field and improve the economic viability of the project.
Mads Hjelmeland, the Chief Executive Officer of SLB OneSubsea, noted that cooperation and simplification would be crucial to releasing resources at a much quicker pace. According to Hjelmeland, this framework would solidify the longstanding relationship between PETRONAS Suriname and his company, which will ensure the achievement of common objectives in terms of enhancing the performance of the projects, increasing safety, and securing sustainable results.
On April 7, Charles Minervino from Susquehanna increased the price target on SLB N.V. (NYSE:SLB) from $56 to $60, resulting in an adjusted upside potential of almost 16%. The analyst also reiterated a Positive rating on the stock.
SLB N.V. (NYSE:SLB) provides technological solutions for the energy sector. Its portfolio includes carbon management and production, stimulation services, various drilling services, and more. It is also involved in the development and production of roller cone and fixed cutter drill bits and several tech-based intelligent systems.
While we acknowledge the potential of SLB 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 SLB and that has 100x upside potential, check out our report about the cheapest AI stock.
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