TSE:ZEO

74.05
0.54 (0.72%) 1d
0

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Investor Insights

This summary was created by AI, based on 1 opinions in the last 12 months.

Experts have expressed positive sentiment towards BMO S&P/TSX Oil & Gas ETF (ZEO-T) due to its excellent exposure to the energy sector, equal weight across the energy sector, high yield of ~4.2% with a low management expense ratio, and a favorable energy cycle. The 4% energy sector weighting on S&P 500 indicates potential room for further gains in the sector as a whole, making this ETF a favorable option for investors.

Consensus
Positive
Valuation
Fair Value
TOP PICK

Excellent exposure to energy sector. Equal weight across the energy sector. Yield ~4.2% with a low management expense ratio. Energy cycle favorable to investors. 4% energy sector weighting on S&P 500 (traditionally higher) indicating room for further gains in sector as a whole. 

E.T.F.'s
PAST TOP PICK
(A Top Pick Jan 24/23, Up 5%)

Energy shares struggling first half of 2023.
Not a good pattern for investors. 
Has sold shares.

E.T.F.'s
BUY

Good way to play oil exposure.
Quality product for oil bulls.
Good time to buy oil. 
Believes oil going to $100.

E.T.F.'s
TOP PICK
Energy is entering strong seasonality from mid-February to early April. The chart shows we're poised to move up. There's undersupply of oil. Oil fundamentals are good.
E.T.F.'s
BUY
oil There's underproduction of oil and supply constraints. Also, US oil reserves were drained before their elections and now needs to be filled whenever oil dips to $70. So, oil has a floor and there remains demand. A good sector to own, especially if China opens next spring. XEG holds Canadian oil stocks, and is market-cap weighted, including CNQ, Suncor and Cenovus among its top holding. ZEO is an equal-weight, so offers a little more diversity. And HXE is the cap-weighted ETF like XEG, but it doesn't pay a dividend. So this is good outside an RRSP. For midcap oil, look at NNRG, but charges a higher MER. It depends on your tax preference and the contents of each ETF.
E.T.F.'s
WEAK BUY
Energy ETF Commodities are sensitive to the cycle: warning. Suggests XEG or HXE, both market-cap weighted in oil producers, but they are dominated by Suncor and CNQ (over 50% of these ETFs). For more diversification, look at equal-weighted ZEO-T. But he prefers HUC-T because it gives you commodity--and not commodity stock--exposure. For all of these, be very, very careful--there could be severe drawdowns in energy if the economy falters in the next 12 months.
E.T.F.'s
SELL ON STRENGTH
The way to trade energy is XEG which is market cap weighted. ZEO is equal weights. He has been selling into strength right now though.
E.T.F.'s
PARTIAL BUY
An equal weight to play the canadian energy sector. Long term he is not bullish but in the medium term, there is underinvestment in energy and this should keep oil elevated. Until OPEC opens the flood gates, it is a good way to play the energy space on an equal weights basis. Trade this name.
E.T.F.'s
COMMENT

Challenge with buying US ETFs that participate in MLPs is that they're not favourable to a Canadian investor. Withholding tax of 15-30%. Be very, very careful on the MLPs. If you want gas exposure, think about XEG or ZEO. Most bang for the buck would be the HED, with small cap exposure. Small caps have more operating leverage if you're confident gas prices will rise. HOG is a bit more conservative.

E.T.F.'s
BUY
He likes ZEO's equal weighted in energy. But also look at HOG-T which is midstream oil with a very different set of companies. Buy both, in fact. HOG also pays a 4.5% yield, slightly lower than ZEO's.
E.T.F.'s
DON'T BUY
Equal weight. It has all the majors. Every time he buys it he loses money. When we have a national energy policy he would buy it. For now, no.
E.T.F.'s
PAST TOP PICK
(A Top Pick Nov 23/17, Down 14%) Canadian oil has been beaten up since Nov. 2017. Oil investors are frustrated. ZEO is equal-weighted, so it's biased towards mid-caps.
E.T.F.'s
BUY
A Canadian oil ETF? ZEO offers better diversification than XEG, or especially HOG-T which focusses on energy midstreams (storage and transportation of oil/gas) with little overlap to the other two ETFs. Own ZEO and HOG. If you don't care about risk, then go for ZEO only.
E.T.F.'s
COMMENT
ZEO-T vs XEG-T ETF – The difference between these two is concentration. The XEG is dominated 50% between CNQ-T and SU-T. In the equal weight portfolio (ZEO) these represent only 17%. There is a higher yield with XEG.
E.T.F.'s
PAST TOP PICK

(Past Top Pick Oct.10, 2017, Down 7%) Sold it and immediately also sold XEG, both being Canadian oil ETFs, because he sees no pipelines being built in Canada. The current $50 spread between WCS and WTI is crazy, nuts. Canadian taxpayers are losing money. It's absolute madness.

E.T.F.'s
Showing 1 to 15 of 51 entries

BMO S&P/TSX Oil & Gas ETF(ZEO-T) Rating

Ranking : 1 out of 5

Bullish - Buy Signals / Votes : 0

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 0

Stockchase rating for BMO S&P/TSX Oil & Gas ETF is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

BMO S&P/TSX Oil & Gas ETF(ZEO-T) Frequently Asked Questions

What is BMO S&P/TSX Oil & Gas ETF stock symbol?

BMO S&P/TSX Oil & Gas ETF is a Canadian stock, trading under the symbol ZEO-T on the Toronto Stock Exchange (ZEO-CT). It is usually referred to as TSX:ZEO or ZEO-T

Is BMO S&P/TSX Oil & Gas ETF a buy or a sell?

In the last year, there was no coverage of BMO S&P/TSX Oil & Gas ETF published on Stockchase.

Is BMO S&P/TSX Oil & Gas ETF a good investment or a top pick?

BMO S&P/TSX Oil & Gas ETF was recommended as a Top Pick by on . Read the latest stock experts ratings for BMO S&P/TSX Oil & Gas ETF.

Why is BMO S&P/TSX Oil & Gas ETF stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is BMO S&P/TSX Oil & Gas ETF worth watching?

0 stock analysts on Stockchase covered BMO S&P/TSX Oil & Gas ETF In the last year. It is a trending stock that is worth watching.

What is BMO S&P/TSX Oil & Gas ETF stock price?

On 2024-12-12, BMO S&P/TSX Oil & Gas ETF (ZEO-T) stock closed at a price of $74.05.