The Monthly Gems by Allan TongWhitecap ResourcesWCP.TOTOP PICKAug 03, 2026

Likes both the company and the dividend. CVE might be higher quality, but they're both good.

Would name it top pick again. Based on $70 WTI, WCP has 20% upside to $22.50; at $80, it's $26. He wouldn't be surprised if WCP was bought out. WCP has a super inventory in the Montney and Duvernay and at least 17 years of stay-flat inventory. The CEO always buys shares on weakness, strong balance sheet and pays a dividend of 4%. Modest growth.

After consolidating this year, it has broken out. A pullback is possible, but an opportunity. He likes it for the long term.

It is a mid-cap oil stock and their largest holding. It is one of the most misunderstood companies and is cheap without reason. Management has done an awesome job in its operations and it has beaten expectations in many quarters. It has well over 2 decades of very high quality inventory. US companies are eyeing Canadian companies Whitecap has 5.3 times cash flow and he sees a 40 % upside. Pays a dividend.

Torquier to the upside, due to its mix of light oil and gas. Know that the decline rate for light oil is higher, so they'll always have to reinvest in that. Pretty good management team. High dividend yield.

Her firm chose TOU instead.

27% gas, the rest is oil. Now the 5th largest oil producer in Canada. Market cap of $20B. Extremely well run. Lots of contiguous land, long reserve life. Probably one of the strongest takeout candidates. Trades ~5x cashflow, with considerable upside. 

With ARX being taken out, more institutions will be interested. Yield is 4.6%.

A large position for him. Loves manager. They had a great quarter. Likes the dividend and growth strategy. It depends on your view of the oil prices in the future. WCP is great to own throughout the cycle. In the late-2020's oil prices could go a lot higher than today.

A go-to energy name he's owned in the past. He has no issues with WCP. Incredibly managers. Are good capital allocators. The price of oil won't return to $60. So now is a good entry point. WCP pays a good dividend. It offers inflation protection.

Likes this company, a Buy. He could see it in the mid-$20s or so. Has performed really well. Impact of any Russia-Ukraine resolution would be modest. LNG is the growth area.

He has owned a lot of this. They bought a company last year and integrated very well. The outlook remains solid. Then, the Iran War spiked energy prices. He's been trimming WCP at $16-19. Buy at $11-12. He expects price targets to decline.

The oil floor has risen since the US-Iran war, but alot of supply will come in soon. The oil price will test $70. Sanctions lifted, Iran can sell at market prices. Canadian producers are well-positioned. The CAD is at 70 cents, which means C$90 a barrel (based on US$70 barrels). He likes WCP; they've consolidated into a sizable-enough player.

Loves the story. Lightened up on potential Iran deal. But on weakness (~$14-14.50), he'd be inclined to come back in. VRN acquisition was extremely timely. Good operators. One of Canada's premier oil plays. Likes management.

All-time high today. Meaningfully mispriced. Top assets in Montney and Duvernay. Sell your ARX right now and buy this. Continues to beat quarter after quarter after quarter. CEO has the most aggressive insider buying of any company he follows in Canada. 

Potential takeover (but, he really hopes, not anytime soon). Yield is 4.48%.

Hitting new highs. Great dividend. Very focused on returning capital to shareholders via dividends and share buybacks. Very strong cashflows. Higher energy prices go straight to the bottom line, so next few quarters should be even stronger.

Ranks highly in his rankings.