3 Oil-Linked Stocks to Buy Amid Brent and WTI Rally

Global oil prices have started the year with a mix of moderate gains and persistent volatility, deeply influenced by geopolitical tensions and underlying macroeconomic fundamentals. Both Brent crude, the global benchmark, and West Texas Intermediate (“WTI”) crude, the U.S. benchmark, have climbed from their late-2025 lows, with Brent trading around $71-$72 per barrel and WTI near $66-67 per barrel as of mid-February.

These are levels not seen at this strength since mid-2025. These recent gains have pushed prices toward six-month highs as markets react to heightened global risk, particularly around the Middle East. In such an environment, prudent investors may choose to invest in stocks like Sasol Limited SSL, National Energy Services Reunited Corp. NESR and Oceaneering International, Inc. OII.

The dominant factor this year has been the escalation of tensions between the United States and Iran. A sharp warning from U.S. leadership placing a 10-15 day deadline on Iran for nuclear negotiations has fueled fears of conflict that could disrupt flows through the Strait of Hormuz, a chokepoint responsible for a significant share of global crude exports. This geopolitical risk premium has periodically lifted both Brent and WTI, even as underlying physical supply remains ample. Iran’s military drills and planned joint naval exercises with Russia have amplified those concerns.

However, despite the year-to-date gains, structural fundamentals continue to temper expectations. Ample supply and sluggish demand growth suggest that without a sustained reduction in output or a material shock to availability, the geopolitical-driven rallies may prove short-lived.

Geopolitics is not the sole factor driving the sector. Inventory data and supply dynamics have also supported prices. Reports of a significant drawdown in U.S. crude stocks, in some weeks falling by millions of barrels, have lent bullish credence to the market and partially offset worries about weak demand growth and persistent oversupply from OPEC+ and U.S. shale production.

Our Choices

The stocks below flaunt a Zacks Rank #1 (Strong Buy) or Rank #2 (Buy). The search was also narrowed down with a VGM Score of A or B. Here, V stands for Value, G for Growth and M for Momentum. The score is a weighted combination of these three metrics. Such a score allows you to eliminate the negative aspects of stocks and select winners. You can see the complete list of today’s Zacks #1 Rank stocks here.

Sasol Limited is a Johannesburg-based integrated energy, chemicals and fuels company. SSL’s expected earnings growth rate for the next year is 4.3%. The Zacks Consensus Estimate for its next-year earnings has improved 9.4% over the past 60 days. This Zacks Rank #1 company has a VGM Score of B.

National Energy Services Reunited delivers comprehensive oilfield, drilling and production solutions in the Middle East and North Africa region. NESR’s expected earnings growth rate for the current year is 87.8%. The Zacks Consensus Estimate for its current-year earnings has improved 4.1% over the past 60 days. This Zacks Rank #2 company has a VGM Score of A.

Oceaneering International provides subsea robotics, installation and integrity solutions for offshore energy producers globally. OII’s expected earnings growth rate for the next year is 5.9%. The Zacks Consensus Estimate for its next-year earnings has improved 23.1% over the past 60 days. This Zacks Rank #2 company has a VGM Score of B.

Bottom Line

In summary, Brent and WTI have risen in early 2026 largely on geopolitical anxiety and inventory shifts, but a backdrop of abundant supply and demand uncertainty is likely to keep the oil market volatile as prices balance risk premiums against fundamental pressures.

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This article originally published on Zacks Investment Research (zacks.com).

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