TSE:TOU

Tourmaline Oil Corp (TOU.TO)

63.73
-1.69 (2.58%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
831 watching
0
Investor Insights
star iconJun 6, 2026, 12:00 am

This summary was created by AI, based on 58 opinions in the last 12 months.

Tourmaline Oil Corp (TOU) is recognized as Canada’s largest natural gas producer, reflecting strong management and significant capital discipline. Experts express optimism regarding TOU’s strategic positioning, particularly as it expands access to Asian markets through LNG exports. However, there is consensus that the stock has been performing sideways amid heavy capital expenditures and fluctuating natural gas prices. While some analysts believe its long-term fundamentals remain sound, many suggest a cautious approach, with price targets hovering around $70-$76. Overall, the sentiment is mixed, with an inclination toward potential growth once natural gas demand tightens and infrastructure projects bear fruit.

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Consensus
Hold
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Valuation
Undervalued
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Agnc
HOLD
They are making the transition from moving from dry natural gas into more liquids. The market has not bought into it yet. At these commodity prices the liquids business is cash flow positive and in two years time it should be trading at 2 times cash flow. Very well run company producing close to 300,000 boed. (Analysts’ price target is $23.00)
DON'T BUY

Trading at half book value! She has not held any Canadian oil & gas producers over the past two years. Takeaway issues and LNG projects need to be resolved first. Show would not recommend it.

DON'T BUY

Well-managed that's executed as they promised, but the stock has been destroyed. Good balance sheet and pays a small dividend, but the bottom line is: nobody wants Canadian energy. This may change, though. By the time their LNG projects are built in two years, the tide could change.

PARTIAL BUY
A well managed company and he is looking to purchase it soon. He would consider it a hold and maybe adding to a position at this point.
PAST TOP PICK
(A Top Pick Sep 28/18, Down 22%) A core holding that is liquids rich as a natural gas producer. The second largest natural gas producer in Canada, producing over 300,000 barrels per day equivalent. They are keeping natural gas production flat, buy growing the liquids output by over 30% this year. This will generate improved cash flow.
WAIT
Holding up not badly in a sad industry. Don't buy right now. Rally this past week has pivoted quite a bit and volume is low. Lot of resistance around $17.50. Avoid right now. Looks as though it's headed down. Can probably pick it up in the $16 range. If it stayed sustainably above $17.60, he'd be a buyer.
TOP PICK
A nat. gas producer, the premium company. They are moving more towards liquids. It has an excellent balance sheet. A year from now they will be able to raise the dividend yet again. It has a lot of free funds flowing. He has a target of $24 in one year. (Analysts’ price target is $26.96)
WATCH
One of the top 5 mid-cap great western Canadian companies. He bought ARC instead. TOU isn't over-dividending. Going to be almost 30% LNG going forward. You'd want some sort of technical bounce before going in. (Analysts’ price target is $27.00)
BUY

It is one of his favourite names. The liquids will go up a little this summer. They are talking about 300 BOEs this year. This company is one of the largest he covers. 2% yield. It is the cheapest he has ever seen for one of these companies. Book is $28 and it got to $20. Below $18 it is a table pounding buy. This is a name you want own at under 20% debt.

COMMENT
Too big to be taken over, except by a major, and it's quite independent, so that's a very low chance. Pure gas play, well run, profitable, has growth. Chart is pretty good for an energy stock. But valuations are still extremely low. It's in upper 5% of names, but whole group is out of favour. It will be a long process to make money.
BUY
Natural gas producer. It is a top pick on his action alert buy list. You get a dividend yield. They are moving to add more liquids. They are talking about having more cash flow. They may add to their dividend or to stock buy backs.
PAST TOP PICK
(A Top Pick Mar 08/18, Down 8%) One of the biggest gas producers in Canada. He is surprised it has been as stable as it has. It has done a good job with hedging and market diversification. Still a core holding.
STRONG BUY
It is the classic premier story. They are doing over $4 a share in cash flow. Liquids volumes are increasing. It is on his action alert buy list. (Analysts’ price target is $34.00)
COMMENT
He is not enamored with natural gas right now. He feels management is able to beat expectations, which should allow them to get re-rated going forward by the analysts.
COMMENT
All energy stocks have been hammered. TOU has good managers. It's cheap at 17x PE, but low ROE and missed a recent quarter. Their saving grace is their balance sheet. TOU is on the list of strategic acquisition for the big players.
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