TSE:SU

Suncor Energy Inc (SU.TO)

90.81
+1.69 (1.90%)
as of Aug 13, 2026, 5:46:41 pm Market Open.
1171 watching
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Investor Insights
star iconAug 13, 2026, 12:00 am

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.

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Consensus
Positive
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Valuation
Fair Value
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Similar
CNQ
DON'T BUY

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.

PAST TOP PICK
(A Top Pick Nov 13/19, Down 60%) Still likes the company. They've controlled what they can such as cutting the dividend. Still financially strong, generates free cashflow at $35 and above, payout ratio is manageable. Stampede into ESG investing has impacted share price. Oil will come back when the economy does. Good entry point here.
BUY

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.

DON'T BUY
Shorting this has been a good play. There have been operational challenges and there were mine depletions. ESG forces are also a headwind. A well-owned company still being the largest in Canada. If oil prices inflect soon, Suncor will be a beneficiary.
PARTIAL BUY
Oil companies are moving towards renewables. SU is underappreciated given its assets. Operating costs for the oil industry are around $15/barrel, so they can still make money even at these oil prices. There are 20-30 years of oil reserves. SU is a good low-cost play for the long term that he's comfortable to hold for the long term.
DON'T BUY
No matter how great the managers are, commodity companies are at the mercy of others for the pricing of their commodity. Maybe oil bobbles up to $55, then there's a wide wash-out and plunges to $10-15. Then, at some point, commodities will do very, very well in 3+ years. It's going to take some time to work through this oil trough, but it will bounce back.
DON'T BUY
The company is probably still profitable. It did cut the dividend earlier this year. The share price has really been beaten down. If things continue to improve, there may be some major upside, but he would prefer higher quality businesses.
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Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Stockchase Research Editor: Michael O'Reilly We have stayed on the sidelines regarding Canadian energy companies, but the time has come to select SU as a Top Pick. The stock has come under pressure lately from a potential lawsuit regarding a mine outage following a fire in August. We believe the potential litigation is unfounded and opportunistic. The worst of the impact from the pandemic is behind it now. When oil prices recover further heading into normal seasonal winter demand increases, the cashflow outlook will also be revised up. We would trade this with stop-loss at $13.50. Yield 5.23% (Analysts’ price target is $30.32)
HOLD
The energy space in Canada is seen quite negatively. You will probably not see an immediate big decline in fossil fuels. Their projects are large and could generate some positive cash flow. The push for renewables is stronger. It is the best in a bad lot.
COMMENT

It's hard to compare AQN to SU. He owns CNR and not SU. He is underweight in gas. He does own AQN as well as BIP. Energy pays a good dividend and in a low interest environment, they can do well.

DON'T BUY

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.

COMMENT
Overall, the sector will be fundamentally under pressure since the world is moving to cleaner energy. The sector is now tradeable but not investable.
DON'T BUY
Oil is a sunset industry, not a growth industry. Price of oil volatile. He doesn't like companies that can't set the price of the product they sell. SU has vertical integration, so it's not a bad one to own, but he doesn't like the industry.
HOLD

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

COMMENT

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.

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