Investing.com -- RBC Capital has released its latest Global Energy Best Ideas List, highlighting top performers across the energy sector. The list features companies with strong operational performance, robust financial metrics, and promising growth potential in today’s evolving energy landscape.
RBC’s carefully curated selection spans upstream producers, midstream operators, and renewable energy players, offering investors exposure to various segments of the energy market.
These companies have demonstrated resilience and strategic positioning that analysts believe will drive outperformance in the coming months.
Here are some of the top energy stocks currently featured on RBC Capital’s Global Energy Best Ideas List:
1. Permian Resources (PR): Added to the list this month, PR continues to demonstrate consistent operational and financial performance that analysts believe can be replicated in coming years.
The company recently achieved a strong step-up in organic production while maintaining unchanged capital spending. Management appears confident in generating strong free cash flow with dividend coverage even at oil prices as low as $40/bbl.
2. AltaGas Ltd. (ALA): RBC expects stronger price valuation as AltaGas progresses through derisking initiatives, including increased contracting, pursuit of contracted/regulated growth on an equity self-financed basis, and plans to reduce leverage to 4.0x debt/EBITDA. The company possesses medium-sized growth opportunities and an increasingly visible path to reaching long-term debt targets.
In recent news, AltaGas Ltd. reported third-quarter 2025 results that missed analyst forecasts, with both earnings per share and total revenue falling short of expectations.
3. Canadian Natural Resources (CNQ): Distinguished by its management committee structure and shareholder alignment, CNQ offers a long-life, low-decline portfolio anchored by low sustaining capital, affording free cash flow generation throughout market cycles.
The company recently closed its US$6.5 billion acquisition of Chevron’s western Canada assets and completed an asset swap with Shell, strengthening its position in oil sands operations.
4. Cheniere Energy (LNG): The company’s highly contracted nature provides a defensive setup supported by stable cash flows underpinned by long-term take-or-pay contracts with high-quality counterparties. LNG is returning significant cash to shareholders via dividends and share buybacks while driving longer-term growth with expansion opportunities at Corpus Christi and Sabine Pass.
5. Chord Energy Corporation (CHRD): RBC forecasts a peer-leading 10+% free cash flow yield with sustainability given 10+ years of economic inventory. The announced ERF merger provides better visibility for that runway, and with minimal debt, CHRD supports a minimum 75% return to shareholders.
6. ConocoPhillips (COP): The depth, quality, and diversity of COP’s global inventory is considered unmatched among E&P peers. Its strong balance sheet provides strategic advantage through commodity price cycles, with a low break-even point allowing it to fund production maintenance capital and dividends below $40/bbl WTI prices.
7. EDP Renováveis (EDPR): Currently trading at a discount to invested capital, EDPR is developing 1.5GW in the US through 2026-27. RBC expects recurring earnings growth of 20% in 2025, following periods with low load factors and lower average selling prices. Share buybacks could be possible as the balance sheet strengthens by year-end.
8. Enerflex Ltd. (EFXT): The company has made solid progress on leverage reduction and increased shareholder returns. RBC expects $180 million in free cash flow by FY26, mapping to an 11% FCF yield versus the coverage group average of 8%. Enerflex recently approved a share buyback program and increased its dividend by 50%.
9. SLB: With leading size, scale, and geographic reach, SLB is well-positioned to benefit from growth in international markets. Its digital evolution should drive margin accretion, while the CHX acquisition enhances exposure to future growth markets with expected annual synergies of $400 million within three years.
10. TotalEnergies (TTE): Known for its defensiveness through market turmoil, TTE offers differentiated growth potential with a balanced approach to EPS and FCF/share growth. The company shows growing volumes across liquids and gas into 2030, a strengthening LNG portfolio, and diversified growth in its power segment.
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