JPMorgan adopted a more positive stance toward the integrated oils and major producers sector, while also upgrading several stocks within the sector in a research note on Thursday.

Within the integrated oils sector, JPMorgan's top picks are Nexen , Hess, Talisman Energy and Occidental Petroleum. The bank's analysts think these companies offer "the most attractive combinations of upside to price targets, downside protection, upcoming catalysts and growth in production."

The report downgraded Exxon Mobiland Chevron to "underweight" from "neutral." An underweight rating means that analysts expect the stock to underform the average total return of the other stocks that the analysts cover during the next six to 12 months.

Despite these stocks' defensive characteristics, analysts said they are now not as well positioned to outperform their group. During the past 12 months, both stocks have outperformed crude oil and the overall market.

"We stress that we would not short these names, but we would lock in recent outperformance, as we believe they have less to offer than the peers in terms of share price performance, underlying growth and valuations appeal in the near term," the report said.

Analysts also downgraded Cenovus Energy and Canadian Natural Resources to "neutral" from "overweight."

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