Crescent Point Energy Corp (CPG.TO)

This is a good name. Feels the Street has missed when they bought some assets in the US. Did particularly well in Saskatchewan where their water flooding did quite well.

(A Top Pick April 17/13. Up 19.07%.) Still likes this. It is a frustrating name because it feels like the name is kind of stuck. Very well owned in Canada and they really need to rely on the incremental buyer from the US coming into the name. Have a very sustainable dividend becoming more sustainable in time as their capital efficiencies improve and their decline rates fall with the implementation of water flood. Just listed in New York.

CEO is one of Canada’s more remarkable and not well known entrepreneurs in the oil patch. A very conservative company. Street developed a lack of affection because they kept raising equity. Acquired an extraordinarily valuable and oil production area in Utah. Built its own transportation facilities so it can move 100% of its oil by rail and is not dependent on pipelines. 7% dividend yield.

Gets up to $40 and then trades down a bit. Not sure why. Maybe we need a more sustained movement in Crude. She owns it because it has low exploration risk due to high inventory. It is an exploitation strategy. Yield is very safe although she sees little increase in it. She expects 10% return per year.

There doesn’t seem to be a lot of growth. It never shows up when he does a screening because there is always some problem with it. Others have not performed all that well either. CPG has fantastic properties, great yield. You have nothing to worry about. If you buy an oil stock make sure it pays a dividend, so this one is okay. He also has White Cap.

(Market Call Minute) Nothing wrong with it. Only concern is that it is a light oil producer and there is a ton of light oil coming on in the next twelve months in the US.

He has taken money off the table along the way. You get a pretty good yield. It has become a pretty mature company so any new barrels coming on board won’t have such a big impact on cash flows. If you want growth look more at junior companies like Whitecap.

He has trimmed his position by a half recently. They changed what they were doing in their DRIP, which he thought was dilutive. The energy sector is not one of the leading ones. This pays a nice yield of 7%. A good company but other sectors are more attractive.

One of his key long term holdings. It disappointed last year, but you got your yield. Likes the growth in production from new fields and companies purchased, as well as the recovery rates. Will be a preeminent producer in Canada. Their production rates should be going up at least 5% per year. The breakout point could be sooner rather than later.

There has been big selling in some of his favourite oil stocks. Buy this one under $40, which he has. Increasing production and cash flow on a regular basis.

Lot of hallmarks of a company you want to own for the dividend. Light oil weighted inventory. Well run company with diversified asset base. Typically they fund dividend with DRIP. He thinks the need for this will decline in the next two years. Don’t expect more than high single digits of production growth.

(A Top Pick June 20/13. Up 14.1%.) Liked that it was a former trust paying a high amount of dividend income. Also, its focus on light oil was an area of interest. Believes the dividend is sustainable, growth prospects are strong and their assets are strong sources of growth for their target of 150,000 barrels per day.

Not a bad name, but something he has never felt compelled to add to his holdings. Stock really hasn’t done much. They issue shares and they pay a nice dividend but it just kind of muddles around. Prefers growthier names or names that generate a lot of cash flow and can cover the dividend nicely.

(Market Call Minute.) Has been in the doghouse for some time. A lot of US investors have fled this name but if you look at cash flow per share, it is very strong.

Doing a great job of driving the type of production to support the payout. It is a way to add pretty decent yield into your portfolio. He owns a different one, see Top Picks.