Best ASX Energy Stocks for 2026

The following 3 ASX energy companies are some of the best run  in the sector and their stocks have surged recently due to higher energy prices caused by the Middle East conflict which pushed oil and LNG prices higher.

If energy prices remain high, these stocks can rise further as higher oil and gas prices directly improve their margins.

Woodside Energy Group Limited (ASX: WDS)

Woodside Energy Group Limited (ASX: WDS) is considered one of the best ASX energy stocks and the stock has risen 22.83% in the past one month because energy prices were elevated.

The company in FY25 reported operating revenue of US$12,984 million which declined 1% from the prior corresponding period while NPAT was US$2,718 million which fell 24% because realised prices were lower although EBITDA was stable at US$9,277 million.

Operating cash flow increased 23% to US$7,192 million and free cash flow improved to US$1,889 million while current annual yield is 4.81%.

Recent developments include the Louisiana LNG project which is targeting first LNG in 2029 and the Scarborough project which is 94% complete and targeting first LNG in Q4 2026 and the Trion project which is targeting first oil in 2028.

Santos Limited (ASX: STO)

Santos Limited (ASX: STO) is a solid pick among ASX energy stocks and the stock has risen 16.79% in the past one month due to the middle east conflict.

The company in FY25 reported sales revenue of about US$4.9 billion and underlying NPAT of US$898 million while free cash flow from operations was US$1.8 billion which shows strong cash generation despite softer commodity prices than the previous period.

The current market capitalisation is $25.5 billion and the Pikka Phase 1 project is targeting first oil in 2026 which is expected to increase future production.

Production was 87.7 mmboe for FY25 and the company declared total dividends of US$770 million for 2025 while the current annual yield is 4.43%.

Ampol Limited (ASX: ALD)

Ampol Limited (ASX: ALD) is definitely one of the most well run ASX energy stocks and the stock has risen 21.73% in the past one month because of higher energy prices.

The company in FY2025 reported strong financial results where Group RCOP EBITDA was $1.4 billion while RCOP EBIT was $947 million and RCOP NPAT was $429 million.

The net borrowings are at $2.9 billion and a leverage ratio of 2.3 times indicates that the balance sheet is manageable and the financial position is stable.

Total sales volumes were reported at 25.2 billion litres which were supported by strong diesel demand and jet fuel demand because these are key profit drivers for the business.

Recent developments include the EG Australia acquisition which is expected to complete in mid-2026 and this is expected to create synergies and increase earnings over time.

(Source: Company Reports)