We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
4 Value Energy Stocks to Buy As Oil Settles Above $100 a Barrel
Read MoreHide Full Article
Key Takeaways
WTI crude closed above $100 as Middle East tensions and supply disruptions tightened global oil supply.
Supply risks tied to Strait of Hormuz disruptions and escalating conflict are driving the oil rally.
DTI, CRC, E and MTDR stand out with strong value scores, earnings estimate revisions and growth drivers.
Oil prices pushed higher yesterday as geopolitical tensions in the Middle East showed little sign of easing. U.S. benchmark WTI crude jumped 3.25% to settle at $102.88 per barrel, marking its highest close since July 2022. Meanwhile, Brent crude—the global benchmark—ended at $112.78 per barrel, also its strongest settlement in nearly four years.
The surge comes as the conflict involving the United States, Israel and Iran enters its fifth week, with hopes of a near-term ceasefire fading. Instead, tensions appear to be escalating. Additional U.S. troops have been deployed to the region, Yemen’s Houthi forces have entered the conflict, and reports suggest that U.S. President Donald Trump is considering further military action targeting Iran’s uranium.
At the heart of the market’s concern is the growing disruption to oil flows from the Middle East. The closure of the Strait of Hormuz — a critical chokepoint for global crude shipments — has significantly constrained supply. If the disruption persists, analysts warn that oil prices could spike further.
While very high prices may eventually curb demand, the current supply-driven rally is boosting near-term prospects for energy producers, making select value stocks like Drilling Tools International Corp. (DTI - Free Report) , California Resources Corporation (CRC - Free Report) , Eni SpA (E - Free Report) and Matador Resources Company (MTDR - Free Report) worth a look.
Each of these stocks is favorably ranked, carries a Value Score of A or B, and has seen positive earnings estimate revisions over the past 30 days.
Drilling Tools
It is a global oilfield services provider that supplies specialized downhole tools used in horizontal and directional drilling. The company is steadily reducing its reliance on the U.S. land market by growing its presence across EMEA and APAC, which helps cushion cyclicality and support more stable revenues.
DTI’s expanding tool portfolio is another key strength. Recent additions like Deep Casing Tools and Titan Tools complement its proprietary offerings, improving utilization and pricing power over time. The company is also executing well on acquisitions. Since going public in 2023, it has completed four deals and fully achieved targeted synergies, with further upside expected. Backed by disciplined spending and steady cash flows, Drilling Tools appears well-positioned to benefit from sustained energy activity.
DTI stock sports a Zacks Rank #1 (Strong Buy) and has a Value Score of B. The Zacks Consensus Estimate for the company’s 2026 and 2027 EPS implies a year-over-year jump of 90% and 68%, respectively. See how the EPS estimates have been revised over the past 30 days. You can see the complete list of today’s Zacks #1 Rank stocks here.
Image Source: Zacks Investment Research
California Resources
It is an independent energy and carbon management company with a strong footprint in California. The company is benefiting from improving regulatory momentum in the state, with drilling permits resuming and approvals becoming more consistent after a period of constraints. This is enabling CRC to restart development activity and support production growth.
A key catalyst is its merger with Berry Corporation, which is expected to enhance scale, improve operational efficiency and boost cash flow. The deal is projected to deliver $80-$90 million in annual synergies within the first year through lower operating, administrative and financing costs.
California Resources also stands out for its solid balance sheet and shareholder-friendly approach, including dividends and buybacks. At the same time, its Carbon TerraVault platform offers long-term upside through carbon storage and low-carbon energy solutions. CRC stock sports a Zacks Rank #1 and has a Value Score of B. See how California Resources’ EPS estimates have been revised over the past 30 days.
Image Source: Zacks Investment Research
Eni
Itis a leading integrated energy company with a well-diversified global footprint. The company continues to strengthen its production profile through new project startups and ramp-ups across regions such as Norway, Côte d’Ivoire, Mexico and Angola, helping maintain stable output even in a volatile oil market.
At the same time, Eni is actively reshaping its business mix by expanding into cleaner energy. Its Enilive and Plenitude segments are driving growth in areas like biofuels, renewables, and gas and power marketing, supporting its long-term carbon neutrality goals. Eni is also optimizing its portfolio through selective acquisitions and divestments aligned with its strategy. Additionally, its move into digital infrastructure, including an AI data center project in Italy powered by low-carbon energy, highlights its evolving growth avenues.
Eni stock sports a Zacks Rank #1 and has a Value Score of A. The Zacks Consensus Estimate for the company’s 2026 and 2027 EPS implies a year-over-year uptick of 38% and 1%, respectively. See how the EPS estimates have been revised over the past 30 days.
Image Source: Zacks Investment Research
Matador Resources
It is a leading U.S. oil and gas explorer with a strong focus on shale and unconventional resources. Its core operations are concentrated in the Delaware Basin, one of the most prolific and cost-efficient regions in the country. The company holds 10-15 years of high-quality drilling inventory, providing solid visibility for future growth.
A key differentiator is its midstream business through the San Mateo unit, which supports efficient transportation and processing of oil, gas and water, helping control costs and improve margins. With a continued focus on cost discipline while maintaining production, Matador is well-positioned for long-term value creation. Matador Resources also maintains a strong liquidity position and consistently generates positive free cash flow, giving it flexibility to fund operations, reduce debt and return capital to shareholders.
MTDR stock has a Zacks Rank #2 (Buy) and a Value Score of A. The Zacks Consensus Estimate for the company’s 2026 and 2027 EPS implies a year-over-year jump of 225% and 19%, respectively. See how the EPS estimates have been revised over the past 30 days.
Image Source: Zacks Investment Research
Zacks' 7 Best Strong Buy Stocks (New Research Report)
Valued at $99, click below to receive our just-released report
predicting the 7 stocks that will soar highest in the coming month.
View the Zacks #1 Rank List
Image: Bigstock
4 Value Energy Stocks to Buy As Oil Settles Above $100 a Barrel
Key Takeaways
Oil prices pushed higher yesterday as geopolitical tensions in the Middle East showed little sign of easing. U.S. benchmark WTI crude jumped 3.25% to settle at $102.88 per barrel, marking its highest close since July 2022. Meanwhile, Brent crude—the global benchmark—ended at $112.78 per barrel, also its strongest settlement in nearly four years.
The surge comes as the conflict involving the United States, Israel and Iran enters its fifth week, with hopes of a near-term ceasefire fading. Instead, tensions appear to be escalating. Additional U.S. troops have been deployed to the region, Yemen’s Houthi forces have entered the conflict, and reports suggest that U.S. President Donald Trump is considering further military action targeting Iran’s uranium.
At the heart of the market’s concern is the growing disruption to oil flows from the Middle East. The closure of the Strait of Hormuz — a critical chokepoint for global crude shipments — has significantly constrained supply. If the disruption persists, analysts warn that oil prices could spike further.
While very high prices may eventually curb demand, the current supply-driven rally is boosting near-term prospects for energy producers, making select value stocks like Drilling Tools International Corp. (DTI - Free Report) , California Resources Corporation (CRC - Free Report) , Eni SpA (E - Free Report) and Matador Resources Company (MTDR - Free Report) worth a look.
Each of these stocks is favorably ranked, carries a Value Score of A or B, and has seen positive earnings estimate revisions over the past 30 days.
Drilling Tools
It is a global oilfield services provider that supplies specialized downhole tools used in horizontal and directional drilling. The company is steadily reducing its reliance on the U.S. land market by growing its presence across EMEA and APAC, which helps cushion cyclicality and support more stable revenues.
DTI’s expanding tool portfolio is another key strength. Recent additions like Deep Casing Tools and Titan Tools complement its proprietary offerings, improving utilization and pricing power over time. The company is also executing well on acquisitions. Since going public in 2023, it has completed four deals and fully achieved targeted synergies, with further upside expected. Backed by disciplined spending and steady cash flows, Drilling Tools appears well-positioned to benefit from sustained energy activity.
DTI stock sports a Zacks Rank #1 (Strong Buy) and has a Value Score of B. The Zacks Consensus Estimate for the company’s 2026 and 2027 EPS implies a year-over-year jump of 90% and 68%, respectively. See how the EPS estimates have been revised over the past 30 days. You can see the complete list of today’s Zacks #1 Rank stocks here.
California Resources
It is an independent energy and carbon management company with a strong footprint in California. The company is benefiting from improving regulatory momentum in the state, with drilling permits resuming and approvals becoming more consistent after a period of constraints. This is enabling CRC to restart development activity and support production growth.
A key catalyst is its merger with Berry Corporation, which is expected to enhance scale, improve operational efficiency and boost cash flow. The deal is projected to deliver $80-$90 million in annual synergies within the first year through lower operating, administrative and financing costs.
California Resources also stands out for its solid balance sheet and shareholder-friendly approach, including dividends and buybacks. At the same time, its Carbon TerraVault platform offers long-term upside through carbon storage and low-carbon energy solutions. CRC stock sports a Zacks Rank #1 and has a Value Score of B. See how California Resources’ EPS estimates have been revised over the past 30 days.
Eni
Itis a leading integrated energy company with a well-diversified global footprint. The company continues to strengthen its production profile through new project startups and ramp-ups across regions such as Norway, Côte d’Ivoire, Mexico and Angola, helping maintain stable output even in a volatile oil market.
At the same time, Eni is actively reshaping its business mix by expanding into cleaner energy. Its Enilive and Plenitude segments are driving growth in areas like biofuels, renewables, and gas and power marketing, supporting its long-term carbon neutrality goals. Eni is also optimizing its portfolio through selective acquisitions and divestments aligned with its strategy. Additionally, its move into digital infrastructure, including an AI data center project in Italy powered by low-carbon energy, highlights its evolving growth avenues.
Eni stock sports a Zacks Rank #1 and has a Value Score of A. The Zacks Consensus Estimate for the company’s 2026 and 2027 EPS implies a year-over-year uptick of 38% and 1%, respectively. See how the EPS estimates have been revised over the past 30 days.
Matador Resources
It is a leading U.S. oil and gas explorer with a strong focus on shale and unconventional resources. Its core operations are concentrated in the Delaware Basin, one of the most prolific and cost-efficient regions in the country. The company holds 10-15 years of high-quality drilling inventory, providing solid visibility for future growth.
A key differentiator is its midstream business through the San Mateo unit, which supports efficient transportation and processing of oil, gas and water, helping control costs and improve margins. With a continued focus on cost discipline while maintaining production, Matador is well-positioned for long-term value creation. Matador Resources also maintains a strong liquidity position and consistently generates positive free cash flow, giving it flexibility to fund operations, reduce debt and return capital to shareholders.
MTDR stock has a Zacks Rank #2 (Buy) and a Value Score of A. The Zacks Consensus Estimate for the company’s 2026 and 2027 EPS implies a year-over-year jump of 225% and 19%, respectively. See how the EPS estimates have been revised over the past 30 days.