Oil Price Crash: 1 Top Oil Stock to Buy Now

Global oil markets have whipsawed this year amid rising geopolitical tensions. In late February, oil prices soared following U.S. and Israeli military strikes on Iran, sending shockwaves through the market. Brent crude surged as high as $138 per barrel as shipping lanes through the Strait of Hormuz came to a halt.

The prospect of a peace deal between the U.S. and Iran has sent oil prices plummeting over the past several weeks, and Brent crude is now hovering around $71 per barrel. Despite the crash, uncertainty surrounding the peace deal and future transit through the Strait of Hormuz remains; investors can take advantage of the recent dip to scoop up one oil stock right now.

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SLB has tumbled 23% from its recent high

SLB (NYSE: SLB) provides oilfield services and technology, in other words, the equipment and software that is used by companies to find and extract oil and gas. While the company doesn't own physical drilling rigs itself, its stock price is highly correlated with commodity price cycles, and the recent dip in oil prices has sent the stock down 23% from its recent high.

The company's first-quarter results were dragged down by the conflict in Iran. While revenue increased 3% year over year, it fell 11% compared to the fourth quarter. Meanwhile, net income fell 6% year over year to $752 million. The decline was driven by disruptions in the Middle East as the company had to halt or scale down operations across the region to ensure the safety of its personnel and assets.

That said, management at SLB views the disruptions in the Middle East as temporary and has chosen not to reduce its cost base, preserving operational capacity as it prepares for a rebound. Management projects a broad-based recovery driven by structural supply rebalancing and remains optimistic about its outlook through the rest of this year and into 2028.

Longer-term demand is robust

Management anticipates that commodity prices will settle at higher levels than before the conflict. That's because of supply-and-demand imbalances, with more than 500 barrels of production loss noted during its late-April earnings call. The company projects that the conflict could drive significant investment in building supply redundancies, inventory replenishment, and the development of local resources to boost resilience.