TSE:SPB

Superior Plus Corp (SPB.TO)

8.38
-0.06 (0.71%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
248 watching
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Investor Insights
star iconJun 5, 2026, 12:00 am

This summary was created by AI, based on 5 opinions in the last 12 months.

Superior Plus Corp (SPB-T) operates primarily in the propane logistics space and has recently faced significant challenges, including a drastic 18% drop in share prices following disappointing earnings results. The company's dependency on weather patterns for propane, which is considered more volatile than natural gas, poses a risk due to seasonal pressures on margins. While there have been positive signals, such as a new data center contract in the US and recent acquisitions into compressed and renewable natural gas sectors, questions remain regarding management's credibility and the effectiveness of their efficiency programs. Despite the potential for growth in alternative energies, erratic earnings and long-term returns have left investors cautious, leading to a yield of approximately 2.5%. The general sentiment suggests that while the business provides some stability, it has struggled to deliver consistent shareholder value over time.

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Consensus
Cautious
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Valuation
Overvalued
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Similar
ENB
PAST TOP PICK
(A Top Pick Dec 3/09.) 8.25% corporate bond due October 27/16. Collected 2 coupons but they went on a Buying spree in the US so he Sold his holdings. Debt levels were way too high.
BUY
(Market Call Minute) Profit warning, cheap at this price.
WAIT
Likes the management. They know what they are doing, are a smart company. Are an energy play. Likes them, but would not buy them at this level. Look in a few months buying.
DON'T BUY
Great dividend but the question is whether it is sustainable. Losing market share in some of their key markets.
COMMENT
11.8% dividend should be safe for the next couple of years. Not sure he can see any long-term stability in the business model. Doesn't show up on his radar screen from a valuation perspective.
DON'T BUY
Very old trust with the original business being propane. Diversified into drywall, pulp chemicals and energy contracts. Were paying down debt about 18 months ago but started making acquisitions in propane. Feels they are too risky for him.
BUY
(Market Call Minute.) Likes the name and the yield.
BUY
Have several businesses. Weakness in the stock is because of the mild winter, which affected their propane business. The business tends to have a slow decline of about 2%-3% per year but there could be a big swing factor if we had a colder winter in the Western provinces.
BUY
Converted to a corp. They have been really coming out of the gate. 3 Business: Sodium Chloride; Construction Chemicals; and Propane. The first two are where the growth is. The payout ratio and yield is ok. It’s a prudent name to own I you think the construction business in the US will turn around. 11.6% sustainable.
DON'T BUY
Started in propane and then took on more. Debt went up when they went on an acquisition spree in the US. Is higher than his threshold for debt. There might be a problem 5 years from now.
DON'T BUY
(Market Call Minute) Ugly balance sheet.
TOP PICK
Propane distributor with a huge yield of over 10%.
HOLD
Dividend should be sustainable. This is a good time to hold it because propane tends to do well in the wintertime. Had some problems earlier on and didn't have a focused management team but looking pretty good right now.
TOP PICK
8.25% corporate bond due October 27/16. More debt than he likes with senior debt at 2.4X EBITDA, so prefers bonds to the equity.
BUY
Here is a company that straightened up their act. Propane distribution business has been weak. But they have a whole bunch of construction chemicals they deal in. He thinks it still has some upside.
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