
TSE:SU
This summary was created by AI, based on 16 opinions in the last 12 months.
Suncor Energy Inc (SU) has garnered attention for its significant turnaround under the current management, which has streamlined operations and improved financial performance. Experts note that the company has strong prospects due to its profitable oilsands operations, which are expected to generate cash flow for many years, bolstering both income and growth potential. There is a prevailing optimism about its future, with predictions of substantial upside in stock value, even amidst concerns regarding recent CEO changes. However, there are suggestions to consolidate positions or reassess targets in light of fluctuating oil prices and market conditions, reflecting a cautious yet favorable view on the company's long-term trajectory.
The composition of this ETF has become highly concentrated. Five names account for 78% of its value. CNQ and SU account for most it. Both of those names have rallied well compared to their peers as buyers in the US have been stepping in. However, their hedge books are naked to oil prices right now. He would prefer to own small cap names with good hedge books, if you select the right ones he thinks.
He owns CNQ instead. These two are the ones you want to own with the volatility in the oil market. They both have the ability to manage through this and have a chance to buy a bunch of assets. The smaller caps are just fighting to live another day. Risk that oil can go lower.