Whitecap Resources (WCP.TO)

Will see some early money. Dividend is one of the most sustainable dividends. At $80 oil can grow production by 15%. Their balance sheet is very under levered. They have low decline. They can bring on production very efficiently. CEO and directors are buying stock actively.

He prefers this over CPG-T. They have one of the best dividend models of the companies he follows. Every time they make an acquisition it is accretive to shareholders.

There was a strong rally over the summer, but is now losing some of that momentum. It could return to the old breakout point if resources continue to pull back. He would not call it a sell at this point.

Classic company, came out with a growth and dividend kind of model and are succeeding with that. Well managed with a fantastic balance sheet. Good infrastructure business.

They have done a good job of making acquisitions that fit the model and generate enough cash flow to be self sustaining. Had quite a pullback and so it is not a bad time to put money to work, but do so slowly and cautiously.

The company has done everything right. They will make money even if oil goes to $80. Nice Debt to Cash Flow. Sees its all-in payout ratio being 96% for 2014. He would Buy on its current weakness.

Prefers over BTE-T because they are adept at doing acquisitions and even increased their dividend. The scale of the company is smaller so the acquisition moved the needle more. They can grow 15% every year and still increase their dividend.

Very well-run company. Just did a big acquisition and had an equity issue that was very popular. They upped the dividend when they had that issue. High-quality company with good prospects for growth, but he thinks that growth is predicated on acquisitions, and you need an environment where they can pick up these land packages cheaply. That environment is a bit more tired than it was a year ago. Fully valued.

4% dividend, very well run.

The dividend on this looks okay. People worry because the dividend payout has been quite high as a percentage of cash flow, but their cash flow has been rising fast enough, and we might even see a dividend increase in 2015.

Good-quality company. As an alternative to this, he owns Surge (SGY-T) and Cardinal (CJ-T). This is a great company. Has a lower payout ratio for their grouping, somewhere around 18%-19% in decline rates. Their all-in pay out ratio is less than 100%.

One of the most sustainable and attractive total return energy stocks in Canada. Spending less than 1X cash flow. They can grow production by 14%-15% plus pay their existing dividend. Because their wells have been so profitable, they are generating a ton of free cash flow. If they were to take just half of their free cash flow next year, and roll it into the dividend, they could increase it by 33%. Reporting on Aug 7^th and he is hoping they increase their dividend by 5%-10%. Still trading at a discount multiple. Thinks it will be a $20 stock over the next year or so. Yield of 4.53%.

Thinks the stock will continue to go higher even though it has already gone up quite a bit. Added to her holdings last week. Thinks you can see closer to $20. Good management team with fabulous assets and a good yield.

(A Top Pick July 20/13. Up 53.87%.) Continuing to deliver good production growth. Expects that at some point there is going to be a lot of consolidation within the sector. 4.6% yield. Would hesitate to buy more at this point, but still a Hold.

A really nice chart, and today’s activity is really quite good. There were a few days of pullback, which is quite normal. His 2 support levels are $16.05 and $14.90.