In this article, we will take a look at some of the most profitable oil stocks to buy now.
Often, industries like tech and AI attract all the attention, and rightly so, yet there exists another sector that hasn’t performed so poorly either. In this era of global demand uncertainty and price swings, investors are on the search for stocks that offer consistent dividends and high returns.
While there are many uncertainties when investing in the oil sector, particularly the price volatility, it’s one of the popular industries to consider due to the potential for high profits and strong liquidity. Although quite risky, such stocks create fast wealth accumulation for investors, given a favorable macroeconomic environment.
That being said, investing in oil companies isn’t a new concept; many previous studies have examined the impact of investing in these stocks. As stated by Mack Wilowski, oil and gas companies were among the biggest gainers in the S&P 500 during the third quarter of 2023 amid looming government shutdown and global economic uncertainty.
Our Methodology
We have compiled a list of the 9 most profitable oil stocks to buy now. Using Finviz’s stock screener, we have selected stocks in the energy sector that have a return on equity (ROE) of 30% or more, a positive net profit margin, and positive EPS growth over the past three years. The stocks are ranked in ascending order according to their trailing 12-month (TTM) EPS as of September 30, 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
9. Permian Basin Royalty Trust (NYSE:PBT)
EPS (TTM) as of September 30, 2025: 0.35
Number of Hedge Fund Holdings: 5
During the second quarter, Avondale Wealth Management reduced its position in Permian Basin Royalty Trust (NYSE:PBT) by 74.1% following the sale of 21,500 shares. According to the latest disclosure with the SEC, the wealth management firm now owns 7,500 shares of the company’s stock, valued at $93,000.
The company’s financials are a testament to its strong market position. While the market delivered year-to-date and five-year returns of 13.25% and 99.71%, respectively, Permian Basin Royalty Trust (NYSE:PBT) returned an attractive 64.43% and 751.83%, respectively.
Earlier on September 19, 2025, Argent Trust Company, a trustee of Permian Basin Royalty Trust (NYSE:PBT), announced a cash distribution of $0.115493 per unit to the unitholders of beneficial interest. Scheduled for payment on October 15, 2025, the amount will be paid to all unitholders of record on September 30, 2025.
Permian Basin Royalty Trust (NYSE:PBT), headquartered in Dallas, Texas, is a holder of royalty interests in various oil and gas properties. Founded in 1980, the company is committed to delivering consistent income to its shareholders.
8. Dorchester Minerals, L.P. (NASDAQ:DMLP)
EPS (TTM) as of September 30, 2025: 1.73
Number of Hedge Fund Holdings: 4
According to a recent disclosure with the SEC, Goldman Sachs Group Inc. raised its position in Dorchester Minerals, L.P. (NASDAQ:DMLP) by 6.3% during the first quarter. Following the acquisition of 2,101 shares, the global bank now owns 35,684 shares of the energy company’s stock, which translates to an investment of $1,073,000 and an ownership of nearly 0.08%.
The one thing that is truly interesting about Dorchester Minerals, L.P. (NASDAQ:DMLP) is its business model. This low-cost yet high-margin model enables the company to maintain its expansion and capitalize on emerging growth opportunities without draining a lot of capital at once.
Despite limited power over pricing, the solid liquidity position of Dorchester Minerals, L.P. (NASDAQ:DMLP) enables its operations to remain fruitful. In just five years, the company delivered a return of an impressive 322.44%, in contrast to the market’s return of mere 99.71%.
Dorchester Minerals, L.P. (NASDAQ:DMLP), headquartered in Dallas, Texas, specializes in the acquisition, ownership, and administration of royalty properties, including overriding royalty, net profits, and leasehold interests. Incorporated in 1982, the company is committed to maximizing value.
Hedge Fund Resource Center