Iran, oil and crude tanker
Digest more
Oil prices have surged this year. Brent oil, the global price benchmark, is up more than 30% this year, rising from $60 a barrel to around $80. Concerns about how a prolonged war with Iran might impact oil supplies are the main factor fueling the surge in crude prices.
With that in mind, here are the top oil and gas stocks to buy for 2026:
The ongoing tensions between Washington and Tehran have caused significant volatility in global crude oil prices over the last few weeks.
These businesses are rock-solid bets for your portfolio, trading at low prices.
Volatility is again picking up, and it’s a good idea to focus more on safety. There’s no better way to do so than to buy Dividend Aristocrat stocks like Exxon Mobil (NYSE:XOM), PepsiCo (NASDAQ:PEP), and Johnson & Johnson (NYSE:JNJ).
Oil and gas stocks are on the move as a flare-up of tensions between the US and Iran threatens to disrupt shipping in the Strait of Hormuz.
While oil prices have rallied this year, there's uncertainty about where they go from here.
Morgan Stanley rates it overweight with a $408 price target (shares recently around $347–$278), highlighting expanding backlogs and a 1.5% dividend yield. Northrop has outperformed the S&P 500, up over 33% in the past year, as geopolitical strains drive spending.
Galp Energia (ELI:GALP) offers sustained, low-cost oil growth that commands a premium, according to JPMorgan. Recent restructuring initiatives create a more linear investment and growth profile and enhanced take-out optionality as the industry solves for 2030s production needs.
The blue chip oil company expects to add billions of dollars to its cash flow over the next four years.
Global investors reacted to the weekend strikes in the Middle East by selling U.S. stocks in futures markets. Some assets may benefit, however.