Oil Price Shock Ignites Interest in Granite Ridge Resources, Topaz Energy, and Helmerich & Payne

Oil prices have surged to multi-month highs following strikes on Iranian assets and rising tensions in the Strait of Hormuz. This development is having a ripple effect across global markets, with some energy-related stocks gaining attention from investors.

One such stock is Granite Ridge Resources (GRNT), a non-operated oil and natural gas exploration and production company that provides direct upstream exposure to U.S. crude and gas pricing. The company generates $472 million in revenue from oil and natural gas development, exploration, and production in the United States.

Granite Ridge Resources has a market cap of about $663 million and offers a pure play on U.S. upstream volumes at a time when higher crude prices are back in focus. However, investors need to weigh the company's high headline dividend against weaker coverage, reliance on external funding, and earnings volatility highlighted by recent impairments and swings between profit and loss.

Another stock catching attention is Topaz Energy (TSX:TPZ), a Canadian royalty and infrastructure energy company that provides indirect exposure to oil and gas production volumes and pricing through its royalty interests and processing assets. The company generates $275 million in revenue from royalties and has a market cap of about $5 billion.

Topaz Energy's asset-light royalty model and infrastructure portfolio convert a large share of revenue into cash, supporting a mid-single-digit dividend yield. However, the company leans heavily on a small group of operators for production, uses external borrowing to fund its liabilities, and pays a dividend that is not fully covered by earnings or free cash flow.

Helmerich & Payne (HP) is another energy-related stock that provides direct exposure to drilling activity at a time when higher crude prices and concern about supply routes are putting rig capacity back in the spotlight. The company generates $4 billion in revenue from its North America Solutions segment, International Solutions, and Offshore Solutions.