JPM | US Energy: Megawatts, Molecules & Minerals: Subsector Thoughts, Positioning Considerations, & EPS Next Week

Research evidence excerpt

JPM | US Energy: Megawatts, Molecules & Minerals: Subsector Thoughts, Positioning Considerations, & EPS Next Week

Brendan Henrici - Specialist Sales - US Energy AC North America Specialist Sales J P M O R G A Nbrendan.henrici@jpmorgan.com

J.P. Morgan Securities LLC 19 July 2026

JPM | US Energy: Megawatts, Molecules & Minerals: Subsector

Thoughts, Positioning Considerations, & EPS Next Week

Brendan Henrici, CFA

+1 212 622 2729

brendan.henrici@jpmorgan.com

Hello! An update below on positioning & thoughts into prints. I have updated our positioning dashboards to give you an idea of

where things are skewing as we head into earnings. Obviously, the momentum unwind and the yo-yo macro means that the setup

is a lot cleaner for most parts of energy (the market at large) than it has been in some time. Primarily focused on O&G/metals

today. As always, the below is the view of sales and not that of research unless explictly stated.

Okay, I am also going to (shamelessly) remind you that I suggested on 6/28 that it was time to get tactically long oil (and broader

commodities). With oil on pace for its best July (+20%) since 1990 and commodities on pace for their best month since March, its

safe to say this is starting to play out…

Sections:

• Thoughts on the Momentum Unwind

• Sub-Sector by Subsector Positioning

• Name by Name Positioning Monitor Update

• Earnings Next Week

Detailed Commentary (Spec View):

We come into this earnings season in the midst of one of the largest factor drawdowns on record. Our momentum long short pair

is down ~20% in July. The last time we saw a momentum drawdown more than 20% in a single month? April 2009. Just

how close are we to the pain subsiding? Our Positioning Intelligence team has some clues. From Schlegel & team:

1.