5 Best Oil and Gas Stocks to Buy According to Hedge Funds

4. Expand Energy Corporation (NASDAQ:EXE)

Number of Hedge Fund Holders: 81

Formed in 2024 by the merger of Chesapeake Energy Corporation and Southwestern Energy Company, Expand Energy Corporation (NASDAQ:EXE) operates as an independent natural gas production company in the United States.

On May 26, Barclays analyst Betty Jiang downgraded Expand Energy Corporation (NASDAQ:EXE) from ‘Overweight’ to ‘Equal Weight’, while also trimming the firm’s price target on the stock from $127 to $110. The lowered target still indicates an upside of over 18% from the current levels.

According to Barclays, the downgrade was driven by its reduced outlook for natural gas, as well as the “less visible path” for near-term catalysts for expansion. The analyst highlighted that the company’s value creation is increasingly reliant on gas marketing and commercial optimization, which increases its exposure to market conditions and timing.

Expand Energy Corporation (NASDAQ:EXE) exceeded Wall Street estimates in its Q1 2026 report in April, driven primarily by the higher natural gas prices ​during Winter Storm Fern. The company reaffirmed its full-year 2026 target to deliver 7.5 Bcf a day of natural gas at $2.85 billion of CapEx.

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