3 Oil & Gas Stocks in Focus for May Some of these stocks are even breaking out of nice bases and could be poised to outperform in the short term. Let's take a look at 3 oil & gas stocks in focus for May.

The energy sector has certainly been strong in 2021 thanks to a rebound in oil & gas prices and rising demand as the economy recovers from the impacts of the pandemic. You also have recent events like the hacking of a major U.S. pipeline company that could cause supply chain issues across the East Coast and result in a short-term increase in gas prices. All of this adds up to the possibility for a rally in oil & gas stocks during May.

While many of these companies have already moved considerably off of their pandemic lows, that doesn't necessarily mean that they don't have more upside. Some of these stocks are even breaking out of nice bases and could be poised to outperform in the short term. Let's take a look at 3 oil & gas stocks in focus for May.

EOG Resources Inc (NYSE:EOG)

First up is EOG Resources, which is one of the largest independent crude oil and natural gas companies in the world. With proven reserves in the U.S., Canada, offshore Trinidad, the U.K., and China, this is a fine way to gain exposure to the energy sector with a tried and true business model. EOG also has been known to exceed industry averages in production rates from its shale wells and the company projects it will complete 500 net wells in 2021. It's a company that is a major player in The Permian Basin and Eagle Ford Shale, which are two of the most oil-rich areas of land in the United States.

EOG Resources delivered Q1 earnings that beat estimates with adjusted EPS of $1.62 and adjusted EBITDA of $2.18 billion. The stock has rallied over 10% following the report last week and could be in for more upside if oil and natural gas prices continue heading higher in the coming weeks. This stock also offers investors a 1.99% dividend yield and the company declared a special dividend of $1.00 per share last week, making it a solid option for dividend investors at this time.

Petroleo Brasileiro SA Petrobras (NYSE:PBR)

Another interesting oil & gas name to check out in May is Petroleo Brasileiro SA Petrobras, which offers investors exposure to an emerging market in addition to energy. PBR is a mixed joint-stock corporation that is controlled by Brazil's federal government and is another one of the largest oil & gas companies in the world. The company operates in five different segments that include exploration & production, refining, transportation & marketing, distribution, gas & power, and international. Since Brazil is such a massive country and Petrobras operates 13 refineries in Brazil with a capacity of 2.2 million barrels a day, investors can potentially capitalize on the country's recovery from the impacts of COVID-19.

One of the important things to note about this company is the fact that it has access to pre-salt reservoirs that allow Petrobras to take advantage of a low-cost supply of oil that other global companies simply cannot match. The stock recently reclaimed its 200-day moving average and offers investors a 4.26% dividend yield, additional reasons why PBR is worth watching going forward. Just keep in mind that there is added risk here due to uncertainty surrounding Brazil's economy and pandemic recovery at this time.

Devon Energy Corp (NYSE:DVN)

Devon Energy Corp is certainly another high-quality oil & gas name to consider in May, especially due to the recent acquisition of WPX Energy that could dramatically boost the company's cash flows going forward. The acquisition should be applauded by investors because it greatly expands the company's footprint in the productive Delaware Basin without adding a lot of debt to Devon's balance sheet. The company also has assets in Eagle Ford, STACK, Powder River Basin, and Bakken, which are some of the best locations for oil and gas in the United States.

The stock has been trending nicely after the company reported earnings that were slightly better than expected and could be a great option to capitalize on the strength in the energy sector this month. Devon Energy stock also offers investors a 1.68% dividend yield and recently increased its fixed-plus-variable dividend payout by 13%, which shows that the company is committed to rewarding long-term shareholders.

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