RBC Capital Markets added two major global oil and gas companies to its Global Energy Best Ideas list. The investment bank's list has outperformed its benchmark by nearly 200% since its inception about a decade ago. The newly added companies are Shell , a multinational oil and gas giant listed in the U.S. , U.K. , and Europe , and Woodside Energy, an Australian petroleum exploration and production company.
"Clarity on the message from management as well as strong operational performance in recent quarters have driven sentiment positive, supported by a discounted valuation," the analysts said. RBC expects the stock to rise by 20% over the next 12 months. Last year, Shell CEO Wael Sawan said the company will ramp up its dividend by 15% and increase the rate of its share buybacks while keeping oil output steady into 2030.