Suncor Energy Inc (SU.TO)

Over the last 12-18 months he has avoided oil sands companies. One of the issues was the very significant differential they were making on their oil versus West Texas. Recently the differential has been narrowing so it is becoming more profitable for them. Technically, this may have put in a double bottom and may be turning higher. Should energy firm up, this is a company he would take a good hard look at.

Seasonably speaking, this is the time of the year that you want to own oils, from September onwards. This has broken out above the 200 day moving average and the 50 day is just about to break above the 200 day.

At this price, it is definitely a long-term hold but is very dependent on what oil prices do. Has been recently adding to her holdings. Really likes how they handled the integration. They are able to defuse the differentials with some of their refining. Other companies are getting less of a price compared to WTI. Really compelling valuation.

Really cheap. Has visible growth. Had a bit of a rocky road with changes, fires, upgraders, etc. but this is a name that will definitely push much higher, certainly into the mid-$40s a year out.

(A Top Pick Aug 26/11. Up 5.96%.) Big exposure in the oil sands and there is a lot of controversy in this sector, which has hurt oil sands stocks. Really well-run company with great assets.

(Top Pick Aug 16/11, Flat) One of the core energy names in his portfolios. Pays a very modest dividend. Generates a tremendous amount of cash flow. Thinks we will see dividend increases as they match those of global players.

Suncor (SU-T) or Canadian Natural Resources (CNQ-T)? If he were going to own a 2^nd oil sands stock, it would be this one. These 2 are the cheapest. If things get tacky in the Middle East the price of oil will go up but markets could go down and he doesn’t see oil bucking the market (See Top Picks.).

Is one of her larges positions so it is still a buy in here. Way below where it was earlier this year. Did not participate in the rise of the commodity prices this year and yet the fundamentals are quite good. The downstream is helping them also. One of the leading in this space.

Tied into the oil sands in a big way and also has a network of gasoline stations so it is an integrated. Not a huge amount of risk and looks reasonably well priced at these levels. He is not particularly keen on integrateds these days. Would prefer Crescent Point (CPG-T) or Baytex (BTE-T), both of which have higher yields and are shipping heavy oil by rail.

(Market Call Minute.) Extremely cheap. Good production growth going forward. Great assets in the ground for the long-term.

This has 2 periods of seasonal strength. 1) From July right through until October and 2) from the end of January until April. Chart shows it has found support and is starting to show some early signs of recovery during the current period of seasonal strength. (See Top Picks.)

(Top Pick July 8/11, Down 19.45%) Model $54, 75% upside. Core position. Would love to have a pull back to $26 to buy.

(Market Call Minute.) Like this one, but Canadian Natural Resources (CNQ-T) looks cheaper on the price differential.