Don't just focus on the tech sector! Goldman Sachs is betting on these 10 energy stocks, with the highest surging 151% year-to-date, and it's still calling them a buy.

Entering the fourth quarter of 2026, Goldman Sachs Group, Inc. screened 10 stocks with attractive risk-reward profiles across the energy and power complex, centered on four investment themes: continued momentum in oil and gas exploration and production (E&P), American Electric Power Company, Inc. and the LNG theme, upside room in the refining sector, and sentiment-driven mispricing in the natural gas midstream and upstream space. Based on closing prices on October 7, these ten stocks offer an average total return potential of about 27% and an average year-to-date gain of 42%. Theme 1: Continued E&P momentum, focused on free cash flow inflection points Under this theme, Goldman Sachs Group, Inc.'s top pick is ConocoPhillips (COP.US), with a latest target price of $146. The company is set to reach a $7 billion free cash flow inflection point, with four major projectsNFE, NFS, Port Arthur, and Willowcoming online successively. Combined with $1 billion in cost reductions, it is expected to achieve 20%-25% compound annual growth in free cash flow per share under a long-term Brent crude assumption of $75 per barrel, and return about 45% of operating cash flow to shareholders, with the payout ratio expected to approach 50% in the second half of 2026; near-term catalysts include winter construction at the Willow project and first LNG production from Qatar's NFE train in early 2027. Occidental Petroleum Corporation (OXY.US) has a latest target price of $69. The bank upgraded it from "Neutral" to "Buy" on August 30 and added it to its Americas Conviction List: the company's average free cash flow yield for 2027/2028 is about 13%, above the 11% for large-cap peers, and it plans to add $4 billion in sustainable cash flow by 2030, with conventional and unconventional resources totaling more than 4 billion barrels of oil equivalent, and is expected to reach its $10 billion principal debt target by early 2027. Permian Resources (PR.US) has a latest target price of $27: the stock has already risen 58% year-to-date, but the bank still expects its free cash flow per share to compound at about 20% from 2025 to 2028, with a 16% free cash flow yield significantly above the 13% for oil-weighted peers, while $1.05 billion in bolt-on M&A during the year and a recovery in Permian Waha gas prices provide additional upside. Theme 2: Power and LNG theme, with grid and data center construction as core drivers Quanta Services (PWR.US) has a latest target price of $902: the bank views it as a core beneficiary of grid and data center construction, with 765-kilovolt large transmission projects continuing to be deployed, power-related business accounting for about 80% of revenue, and revenue expected to compound at about 15% annually through 2030, with the target price corresponding to 30 times forward enterprise value multiple. Duke Energy Corporation (DUK.US) has a latest target price of $147: it is relatively immune to election risk (its largest jurisdiction, North Carolina, has no gubernatorial election this year), with a high-confidence load pipeline of about 15.4 gigawatts in hand, of which about 7.8 gigawatts have signed power supply agreements and about 5.2 gigawatts are under construction. Management is expected to raise its earnings growth guidance from 5%-7%, and the bank expects its earnings per share to compound at about 8% annually, above the consensus of about 7%. Baker Hughes (BKR.US) has a latest target price of $71: the bank is bullish on synergies following the consolidation of Chart Industries and upside in aftermarket services, and expects the Industrial and Energy Technology (IET) business's EBITDA margin to rise to about 25% by 2031. Golar LNG (GLNG.US) has a latest target price of $67, implying total return potential of about 38%, the highest among the ten names: the bank expects its existing assets to generate about $1.2 billion in run-rate EBITDA around 2030 (versus about $260 million in 2025), with each additional MKII floating LNG vessel contributing about $400 million in EBITDA. A commercial contract for the fourth vessel is expected to be signed soon, and the ongoing strategic review may include a sale, representing an option the market underestimates. Theme 3: Refining sector still has upside room, favoring niche market leaders HF Sinclair (DINO.US) has already surged 151% year-to-date, yet the bank still gives a six-month target price of $142, implying total return of about 25%. The rationale is its deep presence in the Rocky Mountain and Mid-Continent niche markets, stable profitability in non-refining businesses, expected free cash flow yields of about 11% and 6% in 2027/2028, and additional option value from changes to small refinery exemption (SRE) rules; the bank believes recent market concerns over the CEO transition and falling refining margins have provided an entry window. Theme 4: Sentiment-driven mispricing in natural gas midstream and upstream, quality names offer entry points TC Energy (TRP.US) has a latest target price of $71: the stock has fallen 9% over the past three months (while the midstream index fell only 2% over the same period). The bank believes the value of its U.S. natural gas pipeline projects and Ontario nuclear power assets is undervalued, and that its 2025-2032 EBITDA compound growth rate of about 6% could be revised upward, with C$6 billion-C$11 billion in capital expenditure still awaiting approval before 2030; the current share price corresponds to 13 times forward earnings, below the peer level of about 16 times, with a dividend yield of about 4.5%. Antero Resources (AR.US) has a latest target price of $46: the company plans to reduce cash costs from $2.70 per thousand cubic feet equivalent in 2025 to $2.00 by the end of 2028. Terminating high-priced transportation agreements could bring about $300 million in margin improvement, potentially expanding to $600 million-$700 million in subsequent years. Its 14% free cash flow yield is well above the 9% for Appalachian peers, and it is in talks with power and data center customers for multi-year gas supply agreements.