3 Energy Stocks Investors Are Watching As Strait Of Hormuz Risks Return

The latest escalation in the US Iran conflict, with new airstrikes and closure of the Strait of Hormuz, has pushed energy security and supply risk back to center stage for investors. Shipping attacks and supply chain uncertainty can change how capital flows across the entire energy sector, especially for larger, financially stable oil and gas producers and service companies. This article focuses on how that backdrop could matter for stock selection and highlights 3 stocks from our Energy Sector Stocks screener that appear more positively exposed to the current news shock.

National Energy Services Reunited (NESR)

Overview: National Energy Services Reunited provides a wide range of oilfield services across the Middle East and North Africa, including hydraulic fracturing, drilling, well intervention, and production chemicals that help keep wells running efficiently. The company also supports customers with water sourcing and treatment, safety systems, and equipment manufacturing from its base in Houston, serving national oil companies across the region.

Operations: NESR generates about US$869m from Production Services and US$557m from Drilling and Evaluation Services, with almost all revenue, around US$1.42b, coming from the Middle East and North Africa and only a small portion, about US$8m, from the Rest of World.

Market Cap: US$2.89b

Investors watching the US Iran tensions and the closure of the Strait of Hormuz may find NESR especially interesting because it sits at the heart of MENA oilfield activity, where energy security and keeping wells online are top priorities. The company is tightly linked to long term contracts with regional national oil companies. At the same time, NESR carries meaningful concentration and financing risks, and depends heavily on continued spending in a region exposed to geopolitical shocks and decarbonization policy. That mix of potential opportunity and very real risk is what makes NESR a stock some investors may choose to research more closely.

National Energy Services Reunited sits at the center of MENA oilfield spending, but contract strength and regional exposure may not be fully reflected in the story yet. Start with the analysis report for National Energy Services Reunited that also surfaces one risk investors often underestimate.

Tourmaline Oil (TSX:TOU)

Overview: Tourmaline Oil is a Canadian oil and gas producer focused on acquiring, developing, and operating natural gas and liquids rich assets across the Western Canadian Sedimentary Basin, with key positions in the Alberta Deep Basin, Northeast British Columbia Montney, and the Peace River High oil complex.

Operations: Tourmaline generates about CA$4.64b in revenue from its petroleum and natural gas properties, all from operations within Canada.

Market Cap: CA$23.19b

The US Iran flare up and risks around the Strait of Hormuz put a spotlight on suppliers that sit outside key shipping chokepoints, which is where Tourmaline Oil stands out. It is one of Canada’s larger natural gas producers with firm access to LNG export routes and contracts that tie part of its sales to global pricing, so supply driven price shocks can matter. Recent Q1 2026 results showed solid production and earnings. However, the stock has lagged the broader Canadian market and carries concerns around gas price volatility, capital spending and dividend cover. That mix of LNG leverage, Canadian jurisdiction and real risk is why Tourmaline is attracting attention from both cautious and return seeking investors.

Tourmaline Oil’s mix of LNG leverage, Canadian assets and recent Q1 2026 strength has investors asking what the market might be missing. The analyst forecasts for Tourmaline Oil lays out one forward looking twist that could change how you see the risk reward balance.

Transocean (RIG)

Overview: Transocean is a specialist offshore drilling contractor that supplies high specification rigs, equipment, and crews so oil and gas companies can drill complex wells in ultra deepwater and harsh environments around the world.

Operations: Transocean generates about US$4.14b from contract drilling services, with revenue concentrated in the U.S. at roughly US$1.67b and the rest spread across Brazil, Norway, and other countries.

Market Cap: US$5.81b

The current US Iran tensions and threats to the Strait of Hormuz put Transocean in focus because offshore drilling is one of the ways energy companies try to secure supply outside vulnerable shipping routes. The company already has more than US$7b of backlog across ultra deepwater and harsh environment rigs. At the same time, Transocean carries heavy debt, relies on solid dayrates to support refinancing, and remains exposed to swings in offshore spending and energy transition policy. That mix of energy security exposure, sizeable contracted work, and a still fragile balance sheet is why investors looking at Transocean may feel they are only seeing part of the story from the share price alone.

Transocean’s growing backlog and fragile balance sheet can tell two very different stories, and the share price may not capture either clearly. Start with the 2 key rewards and 2 important warning signs that hints at what could tip the balance next

The three stocks covered here are only a starting point, as the full Energy Sector Stocks screener surfaced 45 more companies with equally compelling stories across oil and gas producers and services, all filtered for size and financial strength. To identify the setups that best match the catalysts and narratives discussed here, such as supply security, contract visibility, and balance sheet resilience, analyze the full Energy Sector Stocks (Oil & Gas Producers and Services) screener.

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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.

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