TSE:SU

Suncor Energy Inc (SU.TO)

96.57
-0.44 (0.45%)
as of Sep 25, 2026, 8:00:00 pm Market Open.
1173 watching
0
DON'T BUY
Was supposed to the great Canadian company, but then the costs got way out of whack.
BUY
Likes this one. Has lagged the group. There is a lot more potential in its Petrocan acquisition than people realize. Assets are undervalued, particularly heavy oil. Put this away for the long term.
BUY
Has lagged a lot leading into the recent upside in the oil sector area. Still some challenges with the Petrocan integration. Need to shed some properties and integrate 2 vastly different cultures. Will be a long process. Good long-term hold.
COMMENT
Have to be patient with this because of their Petrocan acquisition plus all of the cost overruns in their heavy oil sands projects. Trading at about 6X cash flow, which is a little rich for the seniors. If you can hold it for the next 5 or 10 years, it should be fine.
TOP PICK
Expectations after the first 6 months of their merger with PetroCan (PCA-T) are rock bottom. Takes a long time to bring these together. In the meantime there are about $1.5 billion of synergies coming out. Refining margins are coming back. Upgrader that was having fires is coming back sooner.
COMMENT
When an acquisition of another company is of almost equal size, there is always some indigestion. Selling non-core assets. If you believe crude is going to $100, it is a Strong Buy but if you think crude is in a trading range then Buy on weakness.
BUY
Oil producer in the oil sands. If you are bullish on crude, this is a stock that you want to own. Acquired PetroCanada and have been selling off some of their assets and taking advantage of the stronger balance sheet to fund the oil sands projects. Likes this one longer term.
HOLD
Caller bought 20-25 year bonds at great rates. Certain risks when you start looking at long-term corporate bonds over 10 years. He tends to shy away from them but if they fit in your portfolio and you can hold till maturity, why not.
PAST TOP PICK
(A Top Pick Dec 17/09. Down 15.8%.) Inherited it from a client. Good proxy for Canadian oil industry and a good company in its own right. Very little risk to the gas price.
DON'T BUY
Doesn't like this one as a story. Too early after the acquisition of Petrocan.
BUY
It's been a huge under performer but a tremendous value opportunity for a value-oriented investor. It takes about 6-8 quarters for synergies to work normally. On proven and probable of $80 oil it is trading at 70% of its NAV, extremely cheap.
WEAK BUY
Prefers Canadian Natural Resources (CNQ-T) but holds this one also. Having significant production problems and missing targets. If you are a long-term investor, this is a good time to buy.
WATCH
Under performed. Has built a base in the last few months. Good risk/reward if it could get out of the current congestion zone.
BUY
Is really down but is improving and should continue. Political and royalty complexions are improving in Alberta for the whole industry.
BUY
Have had their share of disappointments. Missed on their latest quarter. Also had a fire at an upgrader. Can see a lot of room for improvement. 6-7X next year’s cash flow looks quite compelling.
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