11 Most Undervalued Energy Stocks to Buy Now

Core Viewpoint - The article discusses the 11 most undervalued energy stocks to consider for investment, emphasizing the current market conditions and the potential for recovery following recent sell-offs [1][3]. Market Analysis - David Katz from Matrix Asset Advisors highlighted the negative sentiment in the market, stating that the news flow has been "absolutely miserable" and that the market is down about 4% to 5% [1][2]. - Historical trends suggest that markets typically bottom out 3 to 4 weeks into conflicts and recover within approximately two months [1]. Investment Strategy - Katz recommends buying individual stocks during the current sell-off and suggests that if the market declines further by another 4% to 5%, investors could become more aggressive [2]. - The focus should be on high-quality companies that are likely to withstand current market challenges [2]. Economic Outlook - Katz expresses confidence that both the United States and its economy will navigate through current issues, including transitory oil price problems, and anticipates a decrease in inflation and a market recovery [3]. Methodology for Stock Selection - The article outlines a methodology using the Finviz stock screener to identify energy stocks with a forward P/E below 15, focusing on those favored by elite hedge funds as of Q3 2025 [5][6]. Featured Energy Stocks - Eni S.p.A. (NYSE:E): - Price target raised by BofA to EUR 21 from EUR 18.50, maintaining a Neutral rating [8]. - Reported an adjusted net income of €1.20 billion for fiscal Q4, a 35% increase year-over-year, with cash flow from operations at €3 billion, up 4% year-over-year [9]. - Signed a binding agreement with Petronas for a jointly-controlled E&P satellite in Indonesia/Malaysia, targeting initial production of over 300 Kboe/d, expected to ramp up to over 500 Kboe/d [10]. - Equinor ASA (NYSE:EQNR): - Price target adjusted to NOK 345 from NOK 260, also maintaining a Neutral rating [12]. - Announced a bio-methanol agreement with Wallenius Wilhelmsen for use as bunker fuel in dual-fuel methanol vessels, with supplies starting in late 2026 [13][14].