
TSE:CNQ
This summary was created by AI, based on 93 opinions in the last 12 months.
Canadian Natural Resources (CNQ) is regarded as one of the best-managed oil and gas companies in Canada, demonstrating solid operational performance and a commitment to returning capital to shareholders through dividends and stock buybacks. Experts highlight its significant reserve base, discipline in management, and ability to remain profitable even at lower oil prices, contributing to its attractiveness as a long-term hold. Despite some experts mentioning concerns regarding oil price volatility and the broader energy market outlook, many agree that CNQ's diversification and low-cost production make it a resilient player in the industry. The company has consistently raised dividends for over 25 years, reflecting strong cash flow generation and fiscal responsibility, with analysts projecting a positive long-term trajectory for the stock, particularly if oil prices stabilize or rise again.
Management always good at executing. Balance sheet allows them to make favourable acquisitions. He owns this instead of SU, because you only need to own one of the big oil companies in Canada.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Looks fine. Compared to peers in the sector, it has not cut its dividends in downturn. Raised dividends in March. It is good for sector exposure and is looking very cheap at 10x earnings. Unlock Premium - Try 5i Free
The whole reflation trade is a trade. Oil stocks have been beaten down for a while. For a trade, the energy price pop is good. However, as a long term trend, they are not investable since there is a move away from traditional energy. He has no preference between CNQ or SU. He is overweight energy right now.
The Painted Pony transaction is immaterial in the grand scheme of things for CNQ. CNQ is a well-run company. It could probably double from here with their cashflow break even being at $27 for maintenance cap-ex. A very well-run and cheap large cap. He just prefers small cap.