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3 Oil Stocks to Invest in Now as Crude Tumbles to 2025 Lows
AMPYAmplify Energy (AMPY) ZACKS·2025-03-10 14:30

Industry Overview - Crude oil prices are experiencing a downturn in 2025, with WTI crude dipping below $70 per barrel, the lowest since December, and Brent crude following a similar trend [2][3] - Contributing factors include tariff concerns, weakening consumer confidence, and an increase in production by OPEC+ [1][3] OPEC+ Production Decisions - OPEC+ has decided to resume previously halted production, with eight member nations set to increase output starting April 1, initially adding 138,000 barrels per day, with plans to ramp up to 2 million barrels per day by 2026 [3] Investment Opportunities - The current slump in oil prices is viewed as a potential buying opportunity for long-term investors, as historical trends suggest that downturns in commodities can create attractive entry points [4] - Energy demand remains robust, and evolving geopolitical factors may lead to a rebound in oil prices, rewarding investors who capitalize on current low valuations [4] Stock Selection Criteria - Investors are encouraged to select beaten-down stocks, as stressed valuations do not necessarily indicate a total loss of potential [5] - Adequate research is essential before investing in these stocks [5] Recommended Stocks - Matador Resources Company (MTDR): A leading oil and gas explorer in the U.S. with a Zacks Rank of 2, focusing on the Delaware and Midland basins. The 2025 earnings growth estimate is 15.2% [9] - Permian Resources (PR): Headquartered in Midland, TX, with a Zacks Rank of 2, producing around 150,000 barrels of oil equivalent per day. The 2025 earnings per share growth estimate is 15.8% [10] - Amplify Energy (AMPY): A Houston-based operator with a Zacks Rank of 2, diversified across five U.S. basins. The 2025 earnings growth estimate is 66.7% [11]