The energy sector had a tough 2025. Oil prices spent much of the year under pressure as oversupply fears dominated the narrative. Even major geopolitical flashpoints failed to spark lasting rallies, reinforcing the idea that markets are now operating in an era of abundance. WTI crude slipped to levels not seen since 2022, and energy stocks struggled to keep pace with broader equity benchmarks. For many investors, the sector felt frustrating, stagnant and easy to overlook.

Yet periods like this often plant the seeds for the next opportunity. As the calendar turns toward 2026, energy growth stocks such as Cenovus Energy ((CVE Quick QuoteCVE - Free Report) ), TechnipFMC plc ((FTI Quick QuoteFTI - Free Report) ) and Valero Energy ((VLO Quick QuoteVLO - Free Report) ) are quietly moving back into focus.

Energy Sector's Struggles

While Wall Street celebrates a 20% surge in the S&P 500 this year, the Oil/Energy sector has faced a challenging journey, delivering just 7% returns. With crude oil prices near $60 per barrel — more than 20% below where it started the year — the sector reflects a supply-demand mismatch and vanishing geopolitical premium. Meanwhile, natural gas prices, hovering above $4, remain volatile, sensitive to weather patterns and the supply-demand balance.

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Why Growth Stocks Still Matter in Energy

Growth stocks are often associated with technology or consumer sectors, but they play a critical role in energy as well. These are companies focused on expanding volumes, improving efficiency, or tapping into structural demand trends rather than simply riding commodity price cycles. In a slower price environment, growth-oriented energy firms can still create value by executing well and capturing market share. In particular, innovation and strategic investments in clean energy, LNG exports and advanced drilling technologies position these companies for long-term gains. Investors betting on growth stocks are not just riding the wave of oil and natural gas price recovery. They are banking on forward-thinking strategies that align with global energy transitions.

What makes growth stocks compelling is their ability to surprise on the upside. When expectations are low, even modest improvements in margins, cash flow, or demand outlook can drive outsized stock performance. Investors willing to look beyond short-term commodity noise often find that growth stories develop quietly before the broader market catches on.

Underperformance Can Create Opportunity

History shows that prolonged underperformance frequently leads to opportunity. Energy stocks are no exception. When oil prices weaken, capital spending slows, weaker players fall away and balance sheet discipline improves across the sector. That shakeout process can leave stronger companies in a better competitive position when conditions stabilize.

Low prices also tend to accelerate market rebalancing. Oversupply encourages production cuts, delays new projects and eventually tightens fundamentals. For growth-focused investors, this transition period can be attractive. Valuations reset, risk premiums fade and companies with clear growth paths can re-rate quickly once sentiment turns. In other words, current volatility could serve as a strategic entry point, offering long-term opportunities in the evolving energy landscape.

Where Energy Growth Could Come From in 2026

The energy landscape heading into 2026 is more nuanced than it appears. While oil prices are expected to remain relatively subdued, demand for natural gas, LNG infrastructure, and efficiency-driven technologies continues to grow.

In this context, three energy companies worth monitoring in 2026 are Cenovus Energy, TechnipFMC and Valero Energy. These stocks could offer promising opportunities for growth-focused investors. These companies don’t rely on oil prices alone to tell their story. Their growth drivers are tied to structural shifts in how energy is produced, transported, refined and consumed.

Here are the Stocks

Now, selecting the right growth stock among the existing choices can really be a challenging task. Finding the correct growth stock for your portfolio is made easy by our new style score system.

In particular, our Growth Style Score condenses all the essential metrics from a company’s financial statements to get a true sense of the quality and sustainability of its growth. Our research shows that stocks with a Growth Style Score of ‘A’ or ‘B’, when combined with a Zacks Rank #1 (Strong Buy) or 2 (Buy), offer the best investment opportunities in the growth investing space. You can see the complete list of today’s Zacks #1 Rank stocks here.

Cenovus Energy: It is a Canada-based integrated oil and gas company with upstream operations centered in the Western Canadian Sedimentary Basin. Cenovus’ long-life oil sands assets provide decades of production, supported by low operating and sustaining costs. The company also owns downstream refining capacity across Canada and the United States, helping balance cash flows through commodity cycles.

Cenovus follows a disciplined growth strategy, investing efficiently while keeping a conservative balance sheet. Its projects are designed to work at lower oil prices, supporting steady cash generation. Strong free cash flow has allowed Cenovus to grow dividends consistently and return excess cash through share buybacks, reinforcing its focus on long-term shareholder value.

Cenovus beat the Zacks Consensus Estimate for earnings in three of the last four quarters and missed in the other, with the average being 26%. Over the past 60 days, the Zacks Consensus Estimate for the company’s 2026 earnings has gone up 22.4%. CVE carries a Zacks Rank of 1, with a Growth Score of B.

TechnipFMC plc: TechnipFMC is a global provider of subsea and surface technologies for oil and gas projects. The company operates through Subsea and Surface Technologies segments, delivering integrated engineering, equipment and installation services. Its iEPCI approach helps customers develop offshore fields faster, at lower cost, and with simpler project execution across deepwater and shallow-water developments.

TechnipFMC also supports emerging energy solutions, using digital tools and proprietary platforms to improve project economics and reduce carbon intensity. Strong subsea demand, a growing order backlog and disciplined execution support cash flow and balance-sheet strength. Backed by major customer wins and integrated solutions, the company is positioned for steady growth while advancing energy transition goals.

The Zacks Consensus Estimate for 2026 earnings of TechnipFMC indicates 20.5% growth. It beat the Zacks Consensus Estimate for earnings in three of the last four quarters and missed in the other, with the average being 20.2%. This Zacks Rank #2 firm has a Growth Score of A.

Valero Energy: Valero Energy, founded in San Antonio in 1980, is one of the world’s largest independent refiners. The company operates 15 refineries across the United States, Canada and the United Kingdom, with a combined throughput of about 3.2 million barrels per day. Its facilities produce gasoline, diesel, jet fuel, heating oil and other refined products sold across North America, Europe and parts of Latin America.

Beyond refining, Valero has a sizable renewables footprint. It owns 12 ethanol plants in the U.S. Midwest with a capacity of roughly 1.7 billion gallons per year. It holds a 50% stake in Diamond Green Diesel, North America’s largest renewable diesel producer, which also makes sustainable aviation fuel.

The Zacks Consensus Estimate for 2026 earnings of Valero indicates 25.1% growth. It beat the Zacks Consensus Estimate for earnings in each of the last four quarters, with the average being 138.8%. The #2 Ranked firm has a Growth Score of B.