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

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1. Chevron Corporation (NYSE:CVX)

Number of Hedge Fund Holders: 103

Topping our list of the Best Oil and Gas Stocks is Chevron Corporation (NYSE:CVX). The company manufactures and sells a range of high-quality refined products, including gasoline, diesel, marine and aviation fuels, premium base oil, finished lubricants, and fuel oil additives.

Chevron Corporation (NYSE:CVX) has received significant positive attention from analysts over the last week. On May 27, Mizuho analyst Nitin Kumar raised the firm’s price target on the stock from $225 to $230, while maintaining an ‘Outperform’ rating on the shares. The revised target, which reflects an upside of 26% from the current levels, comes after the analyst firm raised its outlook on global oil prices and US refining margins amid the Middle East crisis.

Similarly, earlier on May 26, Barclays also upped its price target on Chevron Corporation (NYSE:CVX) from $192 to $213, but kept an ‘Equal Weight’ rating on the shares. The analyst firm believes that the depleting inventories, shrinking spare capacity within OPEC, and a “muted” US supply response to the Middle East disruptions are contributing to a tighter oil macro environment that is not yet fully reflected in the valuations of energy stocks.

Lastly, on May 22, Morgan Stanley also boosted its price target on Chevron Corporation (NYSE:CVX) by $2, while keeping its ‘Overweight’ rating (read more details here).

While we acknowledge the potential of CVX 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 CVX and that has 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 15 Best Nuclear Power Stocks to Buy According to Wall Street Analysts and 12 Best LNG Stocks to Buy in 2026

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