
TSE:SU
This summary was created by AI, based on 16 opinions in the last 12 months.
Suncor Energy Inc. (SU) has garnered praise for its remarkable corporate turnaround and strong performance under its current management, noted for streamlining operations and generating significant free cash flow. Despite recent challenges, including the stepping down of the CEO, experts see potential for substantial upside, with estimates of up to 40% growth in two years if the momentum continues. Many experts consider the stock's valuation as attractive, especially in comparison to peers like CNQ, suggesting that it remains a compelling option for income and growth as oil prices fluctuate. The company's long-life reserves and commitment to returning capital to shareholders through dividends and buybacks bolster its favorable standing in the energy sector, contributing to a generally positive outlook.
He owns CNQ-T instead. It has been a very difficult period for all oil companies. You are seeing bigger and bigger acquisitions happening in the sector. They have done well in buying up businesses that will do well within their company. Their oil sands productions are near normal global emission standards. There is a perception that Canadian oil is really very dirty.
It's in the doghouse and it has been an under-performer. The funds have been flowing towards CNQ. We're at the bottom of the cycle, so there are better companies to buy.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The stock price reflects a lot of concern and they cut their dividend. It’s currently down 56% ytd. However, the electric trend will take decades and they can convert their 1,500 gas stations to power stations eventually. You get a decent name for a good price. Unlock Premium - Try 5i Free
Suncor vs. CNQ Both great Canadian energy stocks. He has owned Suncor and currently owns CNQ as his only energy stock. CNQ maintained its dividend throughout the lockdown, while he believes Suncor lowered theirs to protect their balance sheet. He likes CNQ in energy---you still get a nice yield. Suncor and CNQ will do well long term. Suncor will do well if the energy space improves. He owns 3.5-4% energy on the low side, but you don't want to own too much or too little energy. About two years ago, SU's refining assets were doing really well and got a premium valuations, so maybe that's why the stock has unwound recently.
Doesn't hold producers, as oil price not favourable, especially in western Canada. SU doesn't qualify as an income stock, as cashflow of producers is predicated on the commodity price, which can be difficulty to forecast and may trend down. Prefers, and holds, ENB instead.