Is Shell plc (SHEL) One of the Best Commodity Stocks to Buy for the Supercycle?

Shell plc (NYSE:SHEL) is one of the best commodity stocks to buy for the supercycle. Berenberg cut the price target on Shell plc (NYSE:SHEL) to EUR 46 from EUR 47 on May 12, maintaining a Buy rating on the shares. The rating update came after the company announced financial results for fiscal Q1 2026, reporting that adjusted earnings for the quarter reached $6.9 billion, reflecting solid business performance. CFFO excluding working capital was $17.2 billion for the quarter, with a working capital outflow of $11.2 billion in the quarter, which reflects the impact of unprecedented volatility in commodity prices.

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The company’s cash capex outlook for 2026 is in the $24 – $26 billion range, which includes ~$4 billion for the ARC acquisition. Shell plc’s (NYSE:SHEL) 2027 – 2028 outlook remains unchanged at $20 – $22 billion, adding that the ARC Resources acquisition is expected to add 370 kboe/d, leading to a 4% production CAGR through to 2030 (from 2025). Shell plc (NYSE:SHEL) is also commencing a $3.0 billion share buyback program for the next 3 months, along with a 5% increase in the dividend to $0.3906.

Headquartered in London, Shell plc (NYSE:SHEL) produces oil and natural gas. The company’s operations are divided into the following segments: Integrated Gas, Upstream, Marketing, Chemicals and Products, Renewables and Energy Solutions, and Corporate.

While we acknowledge the risk and potential of SHEL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SHEL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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