5 Energy Stocks Set to Skyrocket: T. Boone Pickens’ Midas Touch Revealed!

There are plenty of hedge funds and institutional investors that dabble in the energy markets. However, there is only one BP Capital. Run by legendary Texas oil and gas executive T. Boone Pickens, BP Capital has transformed modest initial investments into a monumental $5 billion in earnings, cementing Pickens as one of the foremost authorities on global energy markets. His latest 13-F filing provides a treasure trove of insights into his investment strategies and the stocks he believes have the most potential.

So when Boone talks, investors should listen. This article delves into five of Pickens’ most promising energy stock picks, each bearing his indelible stamp of approval. If you’re considering entering or expanding your presence in the energy sector, these stocks deserve top billing on your radar.

Editor's Note: Analysis and insight for this article were originally sourced sourced from our friends at InvestorPlace 

General Electric (GE): The Transformation You’ve Been Waiting For

Transformation Beyond Imagination

Imagine a company historically known for consumer electronics making massive strides into energy services—it’s audacious and bold. Yet, that’s exactly what General Electric (GE) has accomplished. Over the last decade, GE has channeled over $15 billion into oil and gas, transitioning from “almost nothing” in this sector to an industry powerhouse. This strategic pivot alone makes GE a standout.

Strategic Acquisitions and Growth

One standout reason for Pickens’ interest: GE Oil & Gas has recorded a substantial 16% year-over-year increase in revenue. Their acquisition of Lufkin Industries, known for its prowess in artificial lift and pump-jack manufacturing, adds significant muscle to GE’s capabilities. These moves align perfectly with the industry’s demands, boosting GE’s prospects exponentially. Pickens holds a significant stake of 10,000 shares in GE, effectively banking on the company’s evolution and its ability to meet soaring global energy demands.

Back to Core Competencies

As GE distances itself from its troubled finance arm, the company is returning to its core strength—building things. This renewed focus is a reassuring signal to investors, highlighting that GE is preparing to capitalize on market needs for reliable, innovative energy solutions.

Analyst Ratings

Here is a table summarizing the analyst ratings and forecasts for General Electric (GE):

Consensus Rating	Average Price Target	Current Price	Potential Gain	Number of Ratings
Strong Buy	$190.82	$159.50	12.37%	11
Strong Buy	$165.92	$159.50	4.27%	26
Strong Buy	$187.29	$159.50	17.79%	14

Summary of Analyst Outlook

Analysts have a generally positive view of General Electric (GE) stock. The consensus rating is Strong Buy, indicating strong confidence in its future performance. The average price targets range from around $165 to $190, suggesting significant potential gains. The stock has been receiving strong support from top analysts, with many firms predicting substantial upside potentials.

Apache (APA): Undervalued Gem with Huge Upside

A Powerhouse of Proven Reserves

Apache Corporation (APA), one of the largest independent oil and gas companies in the U.S., boasts approximately 3 billion barrels of oil equivalent in proven reserves and a market cap of just over $32 billion. BP Capital’s substantial investment of around 120,000 shares highlights its confidence in Apache’s long-term value.

Navigating Geopolitical Landscapes

Despite recent geopolitical turbulence in Egypt, where Apache has significant operations, Pickens trusts in the company’s durability. About 20% of Apache’s production and 10% of its reserves are in Egypt, a factor that has weighed heavily on its performance. However, stability in the Middle East could translate to substantial upside for Apache. This company’s knack for exploiting new, unconventional resources grants it a compelling growth narrative.

Attractive Valuation

Apache’s forward P/E ratio stands at just 9, making it significantly undervalued compared to the double-digit ratios of competitors like ExxonMobil. This metric alone renders Apache an appealing option for investors seeking value coupled with growth potential.

Analyst Ratings

Here is the table summarizing the analyst ratings and forecasts for Apache Corporation (APA):

Source	Consensus Rating	Average Price Target	Current Price	Potential Gain	Number of Ratings
Benzinga	Hold	$40.16	$28.81	42.31%	27
MarketBeat	Hold	$28.72	$31.21	21.19%	30
TipRanks	Hold	$37.83	$31.21	21.21%	20
Zacks	Hold	$38.54	$31.21	25.21%	26

Summary of Analyst Outlook

APA has a consensus rating of “Hold” from most analyst firms. The average price target is around $37.83, with potential gains ranging from 21.21% to 42.31%. The current price of APA Corp is around $28.81 to $31.21, which varies between sources. The high and low price targets range from $27 to $57 among various analysts.

Gulfport Energy (GPOR): Dominating Ohio’s Hidden Energy Gem

Exploiting Ohio’s Hidden Gem

Ohio’s Utica Shale might have been a disappointment for many major producers, causing them to back out, but Gulfport Energy (GPOR) has found success here. Unlike its peers, Gulfport has zeroed in on natural gas liquids (NGLs) and shale oil, realizing a full 93% of its production from these sources. This strategic focus sets Gulfport apart and positions it as a key player in this region.

Sustained Strategic Investments

Gulfport is significantly investing in the Utica Shale, dedicating nearly $500 million of its $580 million capex budget to develop its assets there. This commitment underlines its dedication to unlocking the potential of this promising region.

Pickens’ Vote of Confidence

Pickens’ faith in Gulfport is evident with his substantial addition of 125,000 shares. This isn’t just blind optimism; it’s a tactical move endorsing Gulfport’s market positioning and attractiveness as a potential buyout target. Even without a buyout, Gulfport’s lucrative production mix promises solid long-term returns.

Analyst Ratings

Here’s a table summarizing the analyst ratings and forecasts for Gulfport Energy Corporation (GPOR):

Source	Consensus Rating	Average Price Target	Current Price	Potential Gain	Number of Ratings
Nasdaq	Strong Buy	$185.17	N/A	N/A	6
Zacks	Strong Buy	$185.33	N/A	N/A	8
Fintel	Strong Buy	$200.43	N/A	N/A	N/A
Tipranks	Strong Buy	$196.00	$159.15	+23.15%	4
Benzinga	Strong Buy	$183.33	$148.49	+23.47%	7

Summary of Analyst Outlook

Analysts have a strong bullish sentiment toward Gulfport Energy Corporation (GPOR). The consensus across multiple sources suggests that the company’s stock is likely to outperform the broader market over the next 12 to 18 months. The average price targets range from $183.33 to $200.43, indicating a significant potential for price growth.

CONSOL Energy (CNX): Efficiency Crushing Market Biases

Balancing Act

CONSOL Energy (CNX) stands out by producing both coal and natural gas, making it resilient to market shifts. This dual capability ensures stability regardless of fluctuations between coal and natural gas, providing investors with a balanced energy play.

Unbeatable Efficiency

CONSOL’s operations span thermal coal for power generation, metallurgical coal for steel production, and natural gas extraction in the Marcellus and Utica shales. The firm’s cost-efficient operations enhance its appeal. BP Capital’s 213% increase in its CONSOL holding underlines its confidence in the firm’s dual-production model.

Undervalued Opportunity

Despite market biases against coal, CONSOL’s substantial natural gas assets offer a lucrative entry point for investors. This dual-focus approach ensures CONSOL remains a compelling investment, bolstered by its undervaluation.

Analyst Ratings

Here is a table summarizing the analyst ratings and forecasts for CONSOL Energy (CNX):

Source	Consensus Rating	Average Price Target	Current Price	Potential Gain	Number of Ratings
MarketBeat	Hold	$25.53	$25.53	0.27%	7
TipRanks	Hold	$25.50	$25.91	-1.58% (Down)	4
WSJ	Hold	$23.25	$20.84	NA	8
Zacks	Hold	$26.25	$25.46	3.10% (Up)	8

Summary of Analyst Outlook

Analysts have a consensus “Hold” rating for CNX Resources, indicating that they are not recommending significant changes to existing holdings. The average price target ranges from $23.25 to $26.25, with some forecasts suggesting moderate increases and others predicting modest decreases. Based on these projections, the stock’s future performance is expected to be relatively stable with minimal significant volatility.

Enterprise Products Partners LP (EPD): Leader in Pipe Dreams and Beyond

A Pillar in Energy Transportation

Enterprise Products Partners LP (EPD) excels in energy logistics, particularly pipeline transportation. BP Capital’s addition of 4,000 shares indicates Pickens’ optimism about EPD’s future. This firm’s strategic positioning in energy transportation is pivotal.

Innovative Growth in Marine Services

EPD’s crude-by-barge operations have witnessed significant growth, especially as E&P firms seek to move energy from new production regions to refineries. EPD’s investments in its marine services unit, including $25 million for fleet expansion, further underscore its commitment to this growth area. With 64 tugboats and 136 barges, 70% of which are active along the Gulf Coast and Mississippi River, Enterprise Products Partners is set to benefit profoundly from this burgeoning segment.

Analyst Ratings

Here is a table summarizing the analyst ratings and forecasts for Enterprise Products Partners LP (EPD):

Metric	Value
Consensus Rating	Buy
Average Price Target	$32.90
Current Price	$29.70
Potential Gain	9.89%
Number of Ratings	13 Buy, 4 Hold, 0 Sell

Summary of Analyst Outlook

– Consensus Rating: Analysts have a consensus of “Buy” for EPD.

– Average Price Target: The average price target for EPD is $32.90, which is expected to increase by 9.89% from the current price.

– Dividend Yield: Expectations for dividend yield are not directly specified but can be inferred from specific stock recommendations.

Aligning your investments with T. Boone Pickens’ strategic selections through BP Capital could guide your portfolio to success. These stocks, enriched by Pickens’ profound industry knowledge and foresight, offer a unique blend of stability and growth potential. Dive deeper into these recommendations and consider harnessing similar opportunities for an intelligent, well-informed investment journey.