Paul Harris, CFA BP PLC BP-N DON'T BUY Mar 06, 2024

Sell shares and buy Canadian energy instead.
Conventional oil production falling.
Misguided investments in renewables.
Not a good long term investment.

Buying back shares, increased dividend, paying down debt. Returning free cashflow to shareholders. Will continue to do that. Trying to be more environmentally friendly, but can't avoid that they're oil & gas. Capex will slowly go up. Throws up a lot of cash. Dividend is well supported.

One of the best performing major energy companies in the world.
Trades at cheaper price than other names in the sector.
Very good oil marketing & trading group.
Good capital allocation at company with share buybacks and debt reduction.
Expecting recovery of oil price going forward.

He likes the energy space since there is a tight supply. You need to see a breakout above recent highs before buying. He prefers Shell on the international scale. Pays a 3.3% dividend.

Depends on price of oil. Why buy foreign? Great oil companies in Canada like CNQ and SU, which do very well. Difficult environment in the face of renewables. Buying back shares, reducing debt, increasing dividend.

Case for energy is still there. Transitioning toward more renewable energy, low-carbon solutions. Long term, can make some sense. Oil price has recovered since pandemic days. Nice yield of 4.5%. In the space, his favourite name is SHEL. 

It's the cheapest oil company. Are buying back stock an are increasing the dividend, but they let their debt get too high. Then, oil prices softened. We likes the new CEO, though, and will announce a new strategy. He expects asset sales to reduce debt and eventually raise share prices.