Oil and energy stocks are back in focus as renewed conflict in Iran, rising oil prices above $100 a barrel and fresh uncertainty around the Federal Reserve’s next move put inflation risks front and center again. For investors, this kind of macro shock can quickly reshape which companies look resilient and which look exposed. This article walks through three large oil and energy stocks from our sector screener that appear more directly exposed to these news driven catalysts. You will see how each stock might be affected and what type of investor attention that could attract.

Kolibri Global Energy (TSX:KEI)

Overview: Kolibri Global Energy is a small upstream oil and gas producer focused on developing its Caney Shale acreage in the Tishomingo field in Oklahoma, where it produces oil, natural gas and natural gas liquids. The company was founded in 2008, is based in Thousand Oaks, California, and rebranded from BNK Petroleum to Kolibri Global Energy in 2020.

Operations: Kolibri Global Energy generates about US$60.6m of revenue from oil and gas exploration and production activities, entirely from the United States.

Market Cap: CA$255.1m

Kolibri Global Energy sits at the intersection of rising crude prices and a business model that converts higher pricing directly into upstream cash flow, which is central to this oil and energy sector theme. Analysts expect strong earnings and revenue growth, yet the stock trades on a P/E below the wider Canadian market and oil and gas industry, which may catch the eye of value focused investors. Recent guidance points to higher production and revenue in 2026, supported by a focused drilling program and comments about potential extra cash flow being available for new wells, debt reduction or buybacks. The trade off is margin pressure, relatively low ROE, reliance on borrowing and a relatively inexperienced board, which means investors need to weigh growth potential against balance sheet and governance risk.

Kolibri’s low P/E, along with planned production increases and flexible cash use, suggests a potentially underappreciated setup. Before assuming the market has it wrong, review the 3 key rewards and 1 important warning sign

Ovintiv (OVV)

Overview: Ovintiv is a large North American oil and gas producer that explores for, develops, and sells oil, natural gas and natural gas liquids across major shale basins including the Permian and Anadarko in the US and Montney in Canada, with headquarters in Denver and roots that trace back to Encana before rebranding in 2020.

Operations: Ovintiv generates about US$6.0b from USA Operations and US$3.6b from Canadian Operations, with a small segment adjustment of US$73m.

Market Cap: US$16.6b

Ovintiv sits squarely in the crosshairs of rising oil prices and supply concerns, which puts more attention on its large-scale production, strong recent free cash flow of US$682m in Q2 2026 and ongoing debt reduction to below US$3.0b. Investors watching inflation and a more hawkish Federal Reserve may see a business that benefits from higher commodity prices but still faces cost pressure from steel, fuel, trucking and labour, as management has highlighted on past calls. With an upgraded BBB credit rating, a focus on returning at least 60% of free cash flow to shareholders through buybacks and dividends, and exposure to premium shale plays, the key question is how long Ovintiv can keep balancing higher cash returns with the risks of service cost inflation and reliance on North American shale.

Ovintiv’s accelerating cash returns and upgraded BBB rating have investors rethinking its profile, yet the real story lies in how those moves compare with the full risk and opportunity set in the analysis report for Ovintiv

Murphy Oil (MUR)

Overview: Murphy Oil is a mid sized oil and gas exploration and production company that focuses on finding and producing crude oil, natural gas and natural gas liquids across the United States, Canada and select international offshore basins, with its head office in Houston and roots dating back to 1950.

Operations: Murphy Oil generates about US$2.2b from exploration and production in the United States and US$521.4m from Canada, with a smaller segment adjustment of US$32.4m.

Market Cap: US$5.4b

Murphy Oil is closely tied to crude prices and geopolitical shocks, so renewed conflict in Iran and oil above US$100 put its oil weighted portfolio and recent Bubale 1X light oil discovery offshore Côte d’Ivoire in sharper focus. The company has been working to keep offshore service costs in check through favourable rig contracts and structural cost reductions, while still leaning into high impact exploration in places like the Gulf of Mexico and West Africa. At the same time, investors may want to consider its high P/E, thinner 3% margins, a dividend that is not fully covered by earnings or free cash flow, and heavy reliance on capital intensive offshore projects that could be pressured if oil prices or well results disappoint.

Murphy Oil’s offshore push and recent Bubale 1X discovery suggest a developing story that many investors may be only partially seeing. Get the full risk reward picture in the 2 key rewards and 2 important warning signs (1 is major!)

The three oil and energy stocks covered here are just a starting point, since the full Oil and Energy Sector Stocks screener surfaces 34 more companies that pair similar exposure to oil pricing and macro catalysts with detailed fundamental data and context rich narratives. Use Simply Wall St to identify, filter and analyze the specific catalysts and storylines that matter to you, so you can focus on the opportunities in this sector that best match your own views and criteria.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.