Sectors & IndustriesEnergyOil & Gas E&P
Best Oil and Gas Stocks to Buy Now (2026)
Top oil and gas stocks in 2026 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best oil and gas stocks to buy now. Learn More.

Industry: Oil & Gas E&P
F
Oil and Gas is Zen Rated F and is the 125th ranked industry out of 145 stock market industries
Learn how the Zen Ratings work
Ticker
Company
DD Score
Valuation Score
Financials Score
Forecast Score
Performance Score
Dividends Score
KRP
KIMBELL ROYALTY PARTNERS LP
20
0
29
0
10
60
GPOR
GULFPORT ENERGY CORP
17
0
14
33
20
SD
SANDRIDGE ENERGY INC
49
43
100
22
40
40
REI
RING ENERGY INC
11
14
29
0
0
REPX
RILEY EXPLORATION PERMIAN INC
56
71
14
67
30
100

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Oil and Gas Stocks FAQ

What are the best oil and gas stocks to buy right now in Jan 2026?

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best oil stocks to buy right now are:

1. Kimbell Royalty Partners (NYSE:KRP)


Kimbell Royalty Partners (NYSE:KRP) is the #1 top oil and gas stock out of 74 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Kimbell Royalty Partners (NYSE:KRP) is: Value: D, Growth: B, Momentum: C, Sentiment: B, Safety: C, Financials: B, and AI: C.

Kimbell Royalty Partners (NYSE:KRP) has a Due Diligence Score of 20, which is -9 points lower than the oil and gas industry average of 29. Although this number is below the industry average, our proven quant model rates KRP as a "B".

KRP passed 6 out of 38 due diligence checks and has weak fundamentals. Kimbell Royalty Partners has seen its stock lose -28.02% over the past year, underperforming other oil and gas stocks by -11 percentage points.

Kimbell Royalty Partners has an average 1 year price target of $17.00, an upside of 45.8% from Kimbell Royalty Partners's current stock price of $11.66.

Kimbell Royalty Partners stock has a consensus Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Kimbell Royalty Partners, 50% have issued a Strong Buy rating, 0% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Gulfport Energy (NYSE:GPOR)


Gulfport Energy (NYSE:GPOR) is the #2 top oil and gas stock out of 74 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Gulfport Energy (NYSE:GPOR) is: Value: C, Growth: B, Momentum: C, Sentiment: C, Safety: C, Financials: B, and AI: C.

Gulfport Energy (NYSE:GPOR) has a Due Diligence Score of 17, which is -12 points lower than the oil and gas industry average of 29. Although this number is below the industry average, our proven quant model rates GPOR as a "B".

GPOR passed 6 out of 33 due diligence checks and has weak fundamentals. Gulfport Energy has seen its stock return 0.23% over the past year, overperforming other oil and gas stocks by 18 percentage points.

Gulfport Energy has an average 1 year price target of $232.17, an upside of 25.32% from Gulfport Energy's current stock price of $185.26.

Gulfport Energy stock has a consensus Buy recommendation according to Wall Street analysts. Of the 6 analysts covering Gulfport Energy, 50% have issued a Strong Buy rating, 0% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Sandridge Energy (NYSE:SD)


Sandridge Energy (NYSE:SD) is the #3 top oil and gas stock out of 74 with a Zen Rating of B. Stocks with a rating of B have had an average return of +19.88% per year. Learn more.

The Component Grade breakdown for Sandridge Energy (NYSE:SD) is: Value: B, Growth: D, Momentum: C, Sentiment: A, Safety: B, Financials: C, and AI: B.

Sandridge Energy (NYSE:SD) has a Due Diligence Score of 49, which is 20 points higher than the oil and gas industry average of 29.

SD passed 18 out of 38 due diligence checks and has strong fundamentals. Sandridge Energy has seen its stock return 13.7% over the past year, overperforming other oil and gas stocks by 31 percentage points.

What are the oil and gas stocks with highest dividends?

Out of 36 oil and gas stocks that have issued dividends in the past year, the 3 oil and gas stocks with the highest dividend yields are:

1. Txo Partners (NYSE:TXO)


Txo Partners (NYSE:TXO) has an annual dividend yield of 19.35%, which is 14 percentage points higher than the oil and gas industry average of 5.54%.

Txo Partners's dividend payout ratio of 548.8% indicates that its high dividend yield might not be sustainable for the long-term.

2. Mach Natural Resources (NYSE:MNR)


Mach Natural Resources (NYSE:MNR) has an annual dividend yield of 17.62%, which is 12 percentage points higher than the oil and gas industry average of 5.54%.

Mach Natural Resources's dividend payout ratio of 234% indicates that its high dividend yield might not be sustainable for the long-term.

3. Evolution Petroleum (NYSEMKT:EPM)


Evolution Petroleum (NYSEMKT:EPM) has an annual dividend yield of 14.37%, which is 9 percentage points higher than the oil and gas industry average of 5.54%. Evolution Petroleum's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Evolution Petroleum's dividend has shown consistent growth over the last 10 years.

Evolution Petroleum's dividend payout ratio of -4,800% indicates that its high dividend yield might not be sustainable for the long-term.

Why are oil and gas stocks down?

Oil and gas stocks were down -1.51% in the last day, and down -3.7% over the last week. Baytex Energy was the among the top losers in the oil & gas e&p industry, dropping -2.81% yesterday.

Shares of energy stocks are trading lower. Oil prices have pulled back as investors assess US operations in Venezuela while natural gas has dipped amid reports of warmer weather forecasts.

What are the most undervalued oil and gas stocks?

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued oil and gas stocks right now are:

1. Sm Energy Co (NYSE:SM)


Sm Energy Co (NYSE:SM) is the most undervalued oil and gas stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Sm Energy Co has a valuation score of 43, which is 11 points higher than the oil and gas industry average of 32. It passed 3 out of 7 valuation due diligence checks.

Sm Energy Co's stock has dropped -55.21% in the past year. It has underperformed other stocks in the oil and gas industry by -38 percentage points.

2. Riley Exploration Permian (NYSEMKT:REPX)


Riley Exploration Permian (NYSEMKT:REPX) is the second most undervalued oil and gas stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Riley Exploration Permian has a valuation score of 71, which is 39 points higher than the oil and gas industry average of 32. It passed 5 out of 7 valuation due diligence checks.

Riley Exploration Permian's stock has dropped -25.14% in the past year. It has underperformed other stocks in the oil and gas industry by -8 percentage points.

3. Apa (NASDAQ:APA)


Apa (NASDAQ:APA) is the third most undervalued oil and gas stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Apa has a valuation score of 43, which is 11 points higher than the oil and gas industry average of 32. It passed 3 out of 7 valuation due diligence checks.

Apa's stock has gained 0.93% in the past year. It has overperformed other stocks in the oil and gas industry by 18 percentage points.

Are oil and gas stocks a good buy now?

44.68% of oil and gas stocks rated by analysts are a strong buy right now. On average, analysts expect oil and gas stocks to rise by 29.18% over the next year.

0% of oil and gas stocks have a Zen Rating of A (Strong Buy), 4.84% of oil and gas stocks are rated B (Buy), 66.13% are rated C (Hold), 19.35% are rated D (Sell), and 9.68% are rated F (Strong Sell).

What is the average p/e ratio of the oil & gas e&p industry?

The average P/E ratio of the oil & gas e&p industry is 15.51x.
WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.