Baytex Energy Corp (BTE.TO)

They bought into an oil field and are not the operator. They just get sent a cheque. The deal was a huge success. It is a little rich, but a well managed company. He thinks you can own it, but there are other names he prefers, such as CPG. He is not a big fan of dividend energy stocks because they keep issuing equity to pay for acquisitions. They should plow profits back into the ground.

Great on execution. Made a great acquisition. Market is working through the value of it. Exposed to the differential with the US and should benefit from the XL pipeline and refineries coming online in the US.

Stock is starting to break out. Yield is nice, 6% and 5% growth rate in the yield over the next 3 years.

Have issued licenses so Canadians can export Canadian oil through US ports and he wants to see how this all plays out. If that does, we are in even better shape. The company has been running well for years. In the Seal area. Very predictable flat line. Heavy oil which they are great at extracting. Pays a good dividend.

Great dividend of around 5.5%. Mostly oil and liquids. Besides all the fundamentals which are in good shape and the wind at its back with the Cdn currency, it clearly has an excellent management team. Focused in Dakota, Saskatchewan and Alberta.

His model price is $51.72, a 15% upside. Has a dividend of $2.64 and it might earn $2.38, so they pay out everything that they have. If it could come back to $36, that would be his Buy level.

A very blue chip Canadian oil/gas. Likes it. Recently made an opportunistic approach to Aurora Oil & Gas (AEF-T) that owns a significant Eagleford oil and gas project, which is one of the best gas plays going in North America right now. Aurora had struggled for several years. This will be an accretive acquisition for them. A solid investment.

(A Top Pick April 10/13. Up 11.85%.) Just made a deal to acquire Aurora (AEF-T) and he thinks there was value there before this. Feels this is a transformative deal for them. He boosted his target price from $50 to $57.50. Sees their cash flow growing now at 13.5% for each of the next 2 years if the deal closes. Company will be a lot more diversified going from 75% heavy oil to 53%. Also, their production base almost rises by about 50%. Balance sheet was very clean before the deal. Not quite as clean now, but still very reasonable.

Company is executing very well, however we are at the top end of the range for the industry. Oil could dip below 90 second half of this year and then you could get in.

Recently added this to his positions. Very nice dividend that he believes is sustainable and will grow over time. A heavy oil provider and should benefit as the heavy oil differentials narrow in over the course of the next 5 years.

(Market Call Minute.) Large dividend payout by percentage. Heavy oil trying to buy Aurora (AEF-T) in order to diversify a little bit.

Energy group is showing some life. Old support became new resistance. Would like to see the old lid taken out. Buy on the breakout, not on the low.

Cream of the crop. Fantastic properties. A core holding for oil and gas parts of portfolios. Balance sheet superb. They beat on cash flow, production and earnings. Signed on to oil by rail first.

Owned in the past. The low cost production the oil business. Light oil is what you have a lot of in the US, but refiners refine heavy oil. BTE produces heavy oil. He has GXE.

(Top Pick Mar 4/13, Up 3.44% Total Return) Over a longer time, say 15 years, you see it compounded about 15% but it was less the last couple of years. With the acquisition it bought, it was brilliant because it was the end of the chain of the whole heavy oil story. They have diversified in markets, products and geographies making them poised to turn. A year from now you will see it being one of the top performers.