Energy stocks have had an inconsistent year in terms of performance, as last year’s immense oil market volatility has largely faded in 2023. The iShares Global Energy ETF (NYSEARCA:IXC) has only risen a tepid 2.2% year-to-date (YTD). However, the winter months are typically a bullish season for energy prices, as colder weather boosts heating demand and increases the risk of supply disruptions. Moreover, ongoing geopolitical events, such as the Ukraine-Russia war and the recent Israel-Hamas war, are likely to add more uncertainty and volatility to the energy markets going forward.

Investors looking for exposure to the energy sector may want to consider these three stocks which have strong fundamentals, attractive valuations and growth potential.

DHT Holdings (DHT)

DHT Holdings (NYSE:DHT) is a leading oil tanker company with a fleet of 21 very large crude carriers (VLCCs) that can each carry up to 2 million barrels of oil. Strong demand from East Asian countries, particularly from China, coupled with supply cuts from Russia and Middle Eastern petrostates, has spiked demand for crude from the United States, Brazil and Guyana. As more oil is being sourced from across the Atlantic, DHT is benefitting from higher ton-miles, driving strong financial results throughout 2023.

The oil tanker company recently reported its third-quarter financial results which beat Wall Street’s revenue estimates but missed EPS estimates by $0.01. The stock sold off slightly more than 10% since the earnings print was released. I believe there is a bit of an overreaction here as there is a lot of opportunity in the tanker company’s main transportation routes, which include from China to the U.S. Gulf. As China’s economy continues to regain momentum, there will probably be more demand and higher income for DHT in the near and medium term.

Antero Resources (AR)

Antero Resources (NYSE:AR) is an oil and gas exploration and production company primarily operating in the Appalachian Basin. The company focuses on unconventional resources, such as shale gas and liquids-rich natural gas, and boasts proven reserves of 17.8 trillion cubic feet equivalent (Tcfe) as of the end of 2022.

The company reported strong financial performance in 2022 due to not only increased prices for liquified natural gas (LNG) but also due to heightened demand for the energy product. Given where energy prices have landed in 2023, demand for Antero’s LNG product has waned throughout 2023, resulting in a year-over-year (YoY) revenue decline, but the company’s recent quarterly report could shed hope on future growth. Antero raised production guidance and the management team noted LNG demand in Mexico remained strong and that “U.S. production growth will be limited in the coming months following the dramatic decrease in drilling rigs.” That will have the effect of pushing LNG prices upward, which will help boost revenue and earnings.

EOG Resources (EOG)

EOG Resources (NYSE:EOG) is another oil and gas exploration and production company. However, this company primarily operates not only in Texas and New Mexico but also in Trinidad and Tobago. The company has focused on generating free cash flow and returning capital to shareholders. Last year was a record year for the company. EOG generated $25.7 billion in revenue and $7.8 billion in adjusted net income. With these hefty profits, EOG returned $5 billion to shareholders in the form of dividends and share repurchases.

In 2023, while revenue has generally declined YoY due to gyrations in the energy market, EOG has continued to exhibit capital and operational discipline. In its third-quarter earnings print, the oil and gas company beat Wall Street estimates due to higher production levels. The company also increased its regular annual dividend by 10% to $3.64/share, which implies a 3% yield at the EOG’s current share price.

Heading into the winter months, investors interested in solid operating performance and an attractive dividend should not leave out EOG.

On the date of publication, Tyrik Torres did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.