Top Oil Stocks 2011 – Top Oil Stocks to Buy 2011

Below is a list of my latest oil stock picks for 2011.  These 2011 Oil Stock Picks are my favorite stocks to buy and some of the stocks I will be trading personally.  Last year, one of my top oil stock picks was Brigham Exploration (BEXP).  BEXP stock went from $15 to $27 from July to December of 2010 and was one of my biggest stock gainers of the year.   I feel 2011 will be a good year for stocks and the overall stock market.  Oil in 2011 should hit $110-$120 which would make the oil stocks rally even higher. 

#1 Top Oil Stock Pick 2011 – Oil Stocks – Hyperdynamics Corporation (HDY) – While Hyperdynamics (HDY) is my top stock pick of 2010, it is a risky one.  The company has no revenues and does not make any money but could be sitting on a very large pool of oil off the coast of Africa.  Drilling for oil is expected to begin in December 2011.  Hyperdynamics was headed into a downward spiral over the past couple years but changed the management team in 2010 who vowed to take the company in a new direction.  Hyperdynamics has a very large prospective leased area off the coast of the Republic of Guinea.  In November 2010, Hyperdynamics raised $30 million in a private placement from financial giant Blackrock (BLK) which will help in preperation costs to drill for oil in late 2011.  Hyperdynamics did a few surveys and believe they could be sitting on billions of barrels of oil.

As for HDY stock in 2011, It is my top stock to buy and my best trading idea.  I have been trading HDY since the stock was $1.60 in August 2010 and gave it a price target of $4 – $6 for 2011.  HDY hit a high of $3.63 in October 2010 and continues to trade around $3.00 as we head into 2011.  If everything goes as planned and the company does infact sit on top of a large oil pool, we could be looking at a $8-$10 stock by year end 2011 in my opinion.  I gave it a target of $4 – $6 when the stock was hitting $2.60 just to be on the conservative side.  Of coarse, if Hyperdynamics announces any delays or lesser oil reserves, all bets are off.  Pullbacks below $2.50 should be a great buy if you are looking for an entry point.  I currently own HDY stock for the long term and will buy more stock on pullbacks.  If you have any questions or feel like discussing HDY stock, visit my HDY message forum thread.

#2 Top Oil Stock Pick for 2011 – Kodiak Oil & Gas (KOG) – Kodiak Oil & Gas was another huge stock gainer for me at the end of 2010.  I bought KOG stock at $4.30 in mid November 2010 and sold between $5.00-$5.70 a month later.  KOG went on to hit $6.69 a few weeks later.  Kodiak Oil in Gas recently aquired additional acreage in the Bakken Shale.  This acreage is in some of the best zones in the Bakken which includes the Three Forks Oil zone.  When I originally bought KOG at $4.30, I placed a personal target of $8-$10 on it for 2011.  I am sticking with this and feel the stock could even hit $12.  A lot will depend on what oil does but ultimately the stock is going a lot higher.  While I don’t own KOG right now, I plan to buy the stock on any major correction.