National Fuel Gas Company (NYSE:NFG) is one of the best stocks to buy according to billionaire Mario Gabelli.
National Fuel Gas Company (NYSE:NFG) is one of Mario Gabelli’s strongest investment ideas in the utilities sector. According to the 13F filings available in the Insider Monkey database, GAMCO Investors has held a position in the stock since at least Q3 2012, when it held around 3.84 million shares, valued at $207.4 million. While the hedge fund has reduced its position over the years, as of the end of Q4 2025, National Fuel Gas still accounts for 1.11% of the portfolio, with 1.45 million shares, up slightly from Q3’s 1.41 million shares.
National Fuel Gas Company’s (NYSE:NFG) stock has performed strongly with a solid 16% return in 2026 so far, after already appreciating 32% in 2025.
In Gabelli’s Q4 2025 Shareholder Commentary published in January 2026, Mario Gabelli said, “There are two reasons” to like the stock. First, he pointed to National Fuel Gas Company’s (NYSE:NFG) roughly 1.2 million acres in the Appalachian Basin and argued that “the value of gas reserves strategically located near population centers is unappreciated.” He highlighted two important factors—33% of U.S. gas comes from Appalachia, and natural gas provides 40% of the U.S.’s electric power, which justified his point. In a mid-2025 CNBC interview, Gabelli called these assets “fundamental to the U.S.”
Second, Gabelli said that the company’s “private market value” is “50% higher than the current price.” He believes the stock could command a much higher valuation if the market correctly factors in its value drivers. He argued,
NFG can use increasing levels of free cash flow to invest in the regulated utility business or split up the company. NFG is expected to earn around $7 a share in this fiscal year. It could earn $9 a share the following year. We put the company’s private market value at 50% higher than the current price. If analysts who follow utility stocks put a 16 multiple on NFG’s pro forma utility earnings, the stock will trade even higher.
The commentary also mentions that:
NFG’s pending $2.6 billion acquisition of CenterPoint Energy’s Ohio gas utility will roughly double NFG’s regulated utility rate base, expand its customer footprint, and increase the percentage of earnings derived from regulated operations.
All in all, National Fuel Gas Company (NYSE:NFG) appears to be a robust asset-value play, and Gabelli remains confident in the stock, as evidenced by the modest increase in the fund’s position as per the 13F filings. In the commentary, Gabelli also highlighted the 2.14% annual dividend yield, which supports long-term investors.
At the institutional level, Gabelli Funds LLC (2.48%) and GAMCO Investors (1.52%) hold approximately 4.0% stake in the company, making them the fourth-largest shareholders. Vanguard Group (12.81%) and BlackRock (9.29%) are the largest shareholders, according to Yahoo Finance data.
National Fuel Gas Company (NYSE:NFG) is a diversified U.S. energy company engaged in the production, gathering, transportation, storage, and distribution of natural gas.
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