TSE:SU

Suncor Energy Inc (SU.TO)

86.85
-4.16 (4.57%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
1173 watching
0
Investor Insights
star iconJun 6, 2026, 12:00 am

This summary was created by AI, based on 17 opinions in the last 12 months.

Suncor Energy Inc. has garnered positive attention from various analysts who appreciate its solid turnaround under new management and its strong position in the Canadian oil sands sector. Experts highlight the company's potential for significant free cash flow generation over the coming decades due to its long-life reserves and efficient operations. While some analysts express caution regarding short-term oil price fluctuations, the general sentiment leans towards holding the stock for its long-term growth prospects. The company is seen as a stable investment due to its robust dividend policy and ongoing share buybacks. However, comparisons with other Canadian energy firms, particularly CNQ, indicate that while Suncor remains a viable option, it may not necessarily be the top pick for all investors.

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Consensus
Hold
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Valuation
Fair Value
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Similar
CNQ
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.

PAST TOP PICK
(A Top Pick Aug 23/19, Down 41%) Doesn't love energy, but if he had to buy, this would be one. Better spots to put money now than in energy. Perfectly good company, but the industry is in the penalty box. Well run. If you're down, don't rush out to sell. It will inch its way back.
COMMENT

He would compare it with Canadian Natural Resources which has a greater chance of upside. Suncor wasn't beaten down as much as CNR. They have good free cash flow and executes well. Energy stocks in general are still at risk since institutional money is avoiding the sector.

WAIT

SU cut their dividend. It is a bellwether energy stock. Refining margins are tough which hurts SU. He owns CNQ instead; it didn't cut its dividend. SU stock is okay now with oil prices in the low-$40s, but could weaked in the fall. He's not adding his energy exposure. The bigger picture is: how much oil do you want in your portfolio. He owns CNQ and recommends that in the mid-$20s. Oil offers decent risk/reward given base demand, but wait till the fall to see if demand declines due to a COVID uptick. Oil depends on whether shale oil receives capital support and shale decline has been the game-changer in the last few months. Overall, SU is fine, but if you're switching into CNQ, now's the time to do it.

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