David Taylor, MBA, CFA
Petro-Canada
PCA-T
BUY
Dec 20, 2005
A good place to enter if you have a long-term view. Well-run company. Probably the cheapest integrated in North America. Has been in a production declined, but feels this quarter will be the low point as they will be bringing on some significant projects in 2006. Pristine balance sheet.
Merging with Suncor (SU-T). The reason to buy either is that they have a production profile that could grow dramatically. If you are positive on energy over the next little while, it makes a ton of sense to have a senior company like this.
Merger with Suncor (SU-T) is pretty much a done deal. Doesn't think this will go any higher so he would sell and pick up more Suncor, which is in the penalty box right now.
Merger with Suncor (SU-T) makes all the sense in the world. Very good combination. You get the oil sands along with a cash flow that will come from their more conventional assets.
(A Top Pick Oct 16/08. Up 107%.) (Now Suncor (SU-T)) A dominant player. Well diversified across gas, oil, oil sands, upstream, downstream. Will be the bellwether stock in the oil/gas industry.