3 High‑Conviction Energy Stocks on Wall Street's Radar as the Iran War Keeps Oil Markets on Edge

By Keith Speights – Apr 16, 2026 at 4:41AM ESTKey PointsChevron is a direct beneficiary of the disruption of Middle East oil and gas.ExxonMobil expects significant growth over the next few years that's unrelated to the Iran war.Energy Transfer is profiting from higher demand for U.S. oil and gas.Nearly seven weeks have passed since the U.S. and Israel attacked Iran. The war with Iran has caused turmoil for global energy markets. Traffic through the critical Strait of Hormuz has been disrupted, first by Iran and now by the U.S. Perhaps a peaceful resolution can be found quickly. However, there's no guarantee that a lasting agreement satisfactory to all parties will be reached anytime soon. What should investors do? Here are three high-conviction energy stocks on Wall Street's radar as the Iran war keeps oil markets on edge. Image source: Getty Images. 1. Chevron Chevron (CVX 1.13%) is an unsurprising choice for Wall Street analysts amid the current uncertainty.

When Middle East oil supplies are at risk, the company's strong Permian Basin operations in the U.S. make it an automatic winner.

The Permian Basin isn't Chevron's only major focus, though. The oil and gas giant is a leader in the Gulf of Mexico. It produces oil in the Bakken Basin and Denver-Julesburg (DJ) Basin. Chevron also has significant operations outside the U.S. (but well away from the Middle East), including those in Argentina and Guyana. ExpandNYSE: CVXChevronToday's Change(-1.13%) $-2.11Current Price$184.91Key Data PointsMarket Cap$369BDay's Range$184.04 - $187.2452wk Range$132.33 - $214.71Volume7.7KAvg Vol13MGross Margin14.66%Dividend Yield3.74% Wall Street especially likes Chevron's low-cost production. The oil and gas giant can fully fund its dividends and planned capital expenditures if oil fell below $50 per barrel. The price is nearly twice that level now. Speaking of dividends, Chevron's forward dividend yield tops 3.8%. The company has increased its dividend for 39 consecutive years. Management ranks growing the dividend among the top financial priorities. Chevron expects to grow its earnings per share and adjusted free cash flow by more than 10% per year. With this strong growth combined with a juicy dividend, this oil stock should be on more than just Wall Street's radar. 2. ExxonMobil Analysts like ExxonMobil (XOM 0.15%) for many of the same reasons they like Chevron. But ExxonMobil has even more expansive operations than Chevron. It ranks as the world's second-largest energy company by market cap, trailing only Saudi Aramco. ExxonMobil has been the top-performing energy-sector investment over the past few years, based on total shareholder return. It has also delivered higher cash flow growth than its rivals. As a bonus, ExxonMobil boasts one of the strongest balance sheets. ExpandNYSE: XOMExxonMobilToday's Change(-0.15%) $-0.23Current Price$149.01Key Data PointsMarket Cap$621BDay's Range$146.90 - $150.2352wk Range$101.19 - $176.41Volume19KAvg Vol23MGross Margin21.56%Dividend Yield2.71% The company is well-positioned for future growth. ExxonMobil expects to increase its earnings by $25 billion compared to its 2024 level by the end of the decade. It projects an additional $35 billion of free cash flow by 2030. Looking further into the future, ExxonMobil expects its total addressable market, including both new and existing businesses, to double from 2030 to 2050 to roughly $8 trillion. This stock has been a longtime favorite for income investors. ExxonMobil has increased its dividend for 43 consecutive years. Its dividend yield currently stands at 2.8%. 3.

Energy Transfer Wall Street analysts don't just have integrated oil giants like Chevron and ExxonMobil on their radar. They also view midstream energy leader Energy Transfer (NYSE: ET) highly. Of the 21 analysts surveyed by S&P Global (NYSE: SPGI) this month, 18 rated the pipeline stock as a "buy" or "strong buy." Energy Transfer's business isn't price-driven, so soaring oil and gas prices don't boost revenue. However, the supply disruption in the Middle East has driven demand for U.S. oil and gas higher. And that does directly benefit Energy Transfer. ExpandNYSE: ETEnergy TransferToday's Change(-0.11%) $-0.02Current Price$18.71Key Data PointsMarket Cap$64BDay's Range$18.67 - $18.8852wk Range$15.80 - $19.86Volume75Avg Vol17MGross Margin12.27%Dividend Yield7.08% The company owns more than 140,000 miles of pipeline spanning the U.S. It transports around 32 million BTUs per day of natural gas and 7 million barrels per day of crude oil. In addition, Energy Transfer fractionates (separates hydrocarbons into their components) roughly 1.1 million barrels per day of natural gas liquids (NGLs). This midstream leader offers a distribution yield of 7.1%. Management expects to increase the distribution by 3% to 5% per year over the long term. Read NextApr 15, 2026 •By Matt DiLallo5 Best High Dividend Mutual Funds to Buy in 2026Apr 14, 2026 •By Matt DiLalloBest Energy Stocks for 2026 and How to InvestApr 14, 2026 •By Reuben Gregg BrewerThe Oil Price Rollercoaster Probably Isn't Ending Soon. 3 Moves for the Savvy Energy Investor to Make Now.Apr 13, 2026 •By Matt DiLalloBest Fusion Energy Stocks for 2026 and How to InvestApr 11, 2026 •By Lee SamahaAnother Day of Iran-Led Volatility: Why the Case for Staying Invested Remains IntactApr 11, 2026 •By Lee SamahaHere's What the Futures Markets Are Saying About Oil and the Conflict in the Persian GulfAbout the AuthorKeith Speights is a contributing Motley Fool healthcare analyst covering publicly traded companies across pharmaceuticals, biotechnology, medical devices, technology, and marijuana. Prior to The Motley Fool, Keith was CEO of Constant Care Technology, a healthcare technology company; vice president of American HealthTech, a healthcare software company; and a director of operations for Blue Cross Blue Shield of Mississippi, a health insurer. He holds a B.S. in Industrial Engineering from Mississippi State University.TMFFishBizStocks MentionedChevronNYSE: CVX$184.91(-1.13%)-$2.11ExxonMobilNYSE: XOM$149.17(-0.05%)-$0.07Energy TransferNYSE: ET$18.71(-0.11%)-$0.02*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.