TSE:SU

Suncor Energy Inc (SU.TO)

97.01
+1.25 (1.31%)
as of Sep 24, 2026, 8:00:00 pm Market Open.
1173 watching
0
PAST TOP PICK
(A Top Pick Sep 09/19, Up 9%) He likes the oil space and would buy SU now. SU has good volumes.
BUY
The chart is not very good as a cup and handle pattern since July. Where we are now, if we can get through that, then the highs of $45 will be challenged. This will be one of the leaders in the space.
HOLD
Doesn't have a lot in energy, but follows it. If you're going to buy energy, buy this or CNQ. Sector seems to be bottoming out. Stick with the big guys. A capital allocator that you buy and hold for 10 years.
PAST TOP PICK
(A Top Pick Dec 04/18, Up 2%) Top of the heap in a very tough space. But he sees more in the tank--SU remains very undervalued. He feels oil stocks are oversold and due to rise.
TOP PICK
Canada's largest integrated oil company, operates in the Oil Sands--that oil will last 36 years. He likes their upstream assets (Oil Sands), four world-class refineries and 715 gas stations, which insulate SU from steep discounts in heavy crude. SU pays a yield over 4%. Heavy cash flow allows them to break even at $30 oil. Big share buybacks and growing dividend. (Analysts’ price target is $49.40)
COMMENT
SU vs PKI? The two go to stocks in the energy space are CNQ and SU. We are eventually going to have a big consolidation in the energy space, there are too many small players now. SU is a solid company, he would prefer it.
COMMENT
Politically we threw fuel on the fire in a weak commodity market. You have to be positive on the forward energy price to like anything. SU is a safer bet than WCP as they can make money at current prices. He is not sure WCP will be able to benefit. He expects more consolidation of smaller players in this space going forward.
DON'T BUY
The earnings were good where they slightly beat. Their cash flow is improving. The 4% dividend is pretty safe. It's not cheap of a stock and trades at a premium. Bottom line, this company will have negative cashflow unless oil prices go up higher. He wouldn't buy here.
HOLD
An integrated major in Canada. If investors ever come back into the energy space, they are going to buy the bigger companies first. Plus it pays just under a 4% dividend. He would not expect a big move higher anytime though. It trades generally between $40-$48.
TOP PICK
Buy below $40; it rarely stays below $40. It's integrated $1 billion of free cash flow, so they can buy back stock and raise the dividend. 12x PE and a 4% dividend. The top way to play energy. (Analysts’ price target is $49.78)
PAST TOP PICK
(A Top Pick Oct 24/18, Down 4%) He'd still buy it today. Not as much torque as in other oil names, but SU is widely held and pays a safe 4% yield. It's the top energy company in Canada, both upstream and downstream. Their refining profits will improve going forward.
TOP PICK
Oil stocks are cheap, providing that at some point oil pricing comes through. This isn't trading far from book value now, and didn't fall to book value when the oil price plunged earlier. Now, the oil price is not there. (Analysts’ price target is $51.41)
DON'T BUY

CNQ and SU He owns no oil stocks, but CNQ and SU are good. He sees no relief for oil stocks after the election, which could result in a coalition government. Doesn't see pipeline problems lifting.

BUY
They need more pipeline capacity to grow. Debt has come down. They will have a massive ability to increase the dividend.
WATCH
They just beat on Q2. They are focusing on higher value production and offshore developments. Should get decent cash flows at 5%, trading at 1.3x with a safe dividend. It’s not particularly cheap, and it’s oil but other than that, it is good name. He wouldn’t buy today at these prices.
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