Northside Capital Dumps $6.1 Million EOG Shares

Northside Capital Management significantly reduced its stake in EOG Resources during Q3 2025, divesting 51,383 shares worth $6.13 million, which cut its position by approximately 30% and lowered EOG's portfolio weighting to 1.6% of AUM. Despite this sale, the fund retains nearly $18 million in EOG shares and appears to be rebalancing its energy exposure rather than exiting the sector, having increased positions in other energy-related companies like Enterprise Products Partners and Energy Transfer, with energy stocks still constituting about 20% of its total AUM. This portfolio adjustment occurs as EOG shares have underperformed, declining 17.7% year-on-year, despite the company's Q2 earnings exceeding expectations and recent strategic acquisitions.

Analysis

Northside Capital Management reduced its EOG Resources (NYSE:EOG) stake by approximately 30% in Q3 2025, selling 51,383 shares valued at $6.13 million. This transaction lowered EOG's weighting to 1.6% of the fund's AUM, moving it outside the top five holdings, though Northside retains $17.93 million in EOG shares. This move suggests a strategic portfolio adjustment rather than a complete exit from the energy sector.

The fund's overall energy exposure remains significant at approximately 20% of AUM, with increased positions in Enterprise Products Partners (NYSE:EPD) and Energy Transfer (NYSE:ET), and a new $8.4 million position in Duke Energy (NYSE:DUK). This rebalancing occurs as EOG shares have underperformed, declining 17.7% year-on-year and trailing the S&P 500 by 31.1 percentage points, largely due to falling crude oil prices.

Despite share price struggles, EOG reported strong Q2 earnings that exceeded analyst expectations, driven by higher production volumes. The company maintains a 3.8% dividend yield and recently acquired Encino Acquisition Partners, adding over 2 billion barrels of undeveloped oil potential. These operational strengths contrast with the negative market sentiment reflected in its stock performance and Northside's partial divestment.

Key Decisions for Investors

• Investors should assess Northside Capital's portfolio rebalancing as a potential signal for sector rotation within energy, favoring midstream and utilities over pure upstream E&P.
• Consider EOG Resources' operational strengths, including strong Q2 earnings and strategic acquisitions, against its recent stock underperformance and the impact of falling crude oil prices.
• Monitor crude oil price trends and EOG's integration of the Encino Acquisition Partners, as these factors will be critical determinants of future share price performance.