Whitecap Resources (WCP-T)
TSE:WCP
8.56
0.14
(1.60%) 1d
Financials
Technical Analysis
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This summary was created by AI, based on 28 opinions in the last 12 months.
Whitecap Resources (WCP) has received mixed reviews from experts, reflecting a range of perspectives on its performance and prospects. On one hand, the company's strong balance sheet, sustainable dividends, and promising growth due to its Montney assets and the recent merger with Veren are widely acknowledged, offering an attractive 7-9.3% yield for income-seeking investors. Challenges remain, notably concerns about ongoing M&A activity and the impact of fluctuating natural gas prices, which some analysts believe could lead the stock to dip further. Many experts point to a favorable valuation compared to larger peers like CNQ and Suncor, emphasizing the potential for significant upside given WCP's earnings and book value yields. The overall sentiment suggests a wait-and-see approach may be prudent as the market contemplates broader energy trends and the implications of recent political developments in Canada.
He had a massive position in Veren before WCP "stole" (bought) it. He was very excited about Veren's asset base. However, he is neutral oil now, so doesn't own WCP (prefers natural gas stocks). But he sees massive value in WCP. Are paid an 8.6% dividend yield, which is sustainable to low-$50s oil. Is upside here. Trades at 4x cash flow. At $70 oil, it will trade at a 5x multiple and shares will cost $14.
Possible risk of oil prices coming down in next 6-12 months. Important to hold a stock that can withstand commodity price volatility, good balance sheet, not too much debt, strong assets. Its lighter oil is subject to higher decline rates, about 26%. Merger will see lots of synergies. Digesting debt. Hesitant to own for short term.
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Production of 179,051 b/d rose 5.5% and beat estimates of 174,000. Crude production rose 5.6%; NG liquids production rose 14%; gas production rose 2.7%. EPS of 27c did miss estimates of 39c; Revenue of $942M beat estimates of $876M. Guidance will be provided when the VRN merger closes. Even though they missed estimates, per share earnings still more than doubled. Payout ratio (12 months) is less than 25%. The dividend looks secure even with a drop in commodity prices.
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Profitable around $51, so you have about $6 of margin right now. Growing 3-5% per year. Paying down debt, balance sheet extremely strong. Dividends are sustainable down to $52. Wouldn't be surprised if they dialed down capex, which makes the dividend even more secure. Montney assets are significantly better than the market appreciates. Good natural gas weight. Yield is 9.3%.
Broke below the March low, an indication that it's going lower. Barring a dramatic reversal in the price of natural gas, which it's tilted more towards, it's probing lower. Going back on a 3-year chart, no place to hang your hat yet.
Lots of damage in last 2 days. There's a lot of value there, but you have to wait to see where to step in. All of energy will be wait and see.
Premium contentWCP has a book value yield of 104.9% and an earnings yield of 12.8%, both good, while it pays a 7.8% dividend yield based on a decent 53.65% payout ratio, and trades at a low 6.88x PE. Compare that to CNQ's 15.33x and Suncor's 11.6x. The street likes the deal, giving WCP an average price target of $13.36, or 42% higher, based on six buys and one hold. Obviously, the street gives the merger a thumbs up, with three analysts assigning an average price target of $13.00, including one upgrade.
He likes the WCP-Veren deal. Both were already decent companies, but together will enjoy synergy from cost savings. It will become the 4th-largest light oil producer in Canada. Management knows what it's doing, valuation good. Bigger companies here tend to enjoy a multiple increase. Veren shareholder will receive the WCP dividend, a big increase for them. The combined company will do pretty well.
Top mid-cap name, high dividend yield, aggressive product growth. Ramping up production, which will offer strong FCF. But capital spending is rising as a result. Scores 10/10 on value, 8/10 on fundamentals. Analysts seeing potential upside of 47%. Healthy dividend of ~8%.
Has looked at this for a long time. Started a new position due to selloff on the merger with VRN. Really likes Canadian oil & gas long term, tariffs notwithstanding.
Fly in the ointment is our new prime minister, Mr. Carney, who continues to be anti-oil and -gas. Paradoxical to him, given Canada's absolutely superb endowment of oil & gas resources and related technology. Perplexing that political leadership of Canada doesn't understand the energy patch business case when we have lots to sell to lots of willing partners.
Here, he can look at support on the chart and know that it's real because we know about tariffs and the merger with VRN. He needs a bounce off support; if it doesn't bounce, and goes below support, then you have a problem and don't want to own. If it does bounce, then you have a target of between $11-12.
Concerns about tariffs are already built into the price, and that's why it's down.
Whitecap Resources(WCP-T) Rating
Ranking : 5 out of 5
Bullish - Buy Signals / Votes : 16
Neutral - Hold Signals / Votes : 6
Bearish - Sell Signals / Votes : 3
Total Signals / Votes : 25
Whitecap Resources(WCP-T) Frequently Asked Questions
What is Whitecap Resources stock symbol?
Whitecap Resources is a Canadian stock, trading under the symbol WCP-T on the Toronto Stock Exchange (WCP-CT). It is usually referred to as TSX:WCP or WCP-T
Is Whitecap Resources a buy or a sell?
In the last year, 25 stock analysts published opinions about WCP-T. 16 analysts recommended to BUY the stock. 3 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Whitecap Resources.
Is Whitecap Resources a good investment or a top pick?
Whitecap Resources was recommended as a Top Pick by on . Read the latest stock experts ratings for Whitecap Resources.
Why is Whitecap Resources 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 Whitecap Resources worth watching?
25 stock analysts on Stockchase covered Whitecap Resources In the last year. It is a trending stock that is worth watching.
What is Whitecap Resources stock price?
On 2025-05-30, Whitecap Resources (WCP-T) stock closed at a price of $8.56.
Loves the new combination of WCP + VRN -- very synergistic, strong free cashflow, increased scale. Doing some asset sales, which will pay down debt and improve balance sheet. 3% lower capex is prudent in this tougher environment for oil.
Bad news is that it'll move as oil moves, and oil's in a tough place here. Trump will want to see oil prices lower, and the Saudis will want to play along with him. This stock works now, but will be a tough place if oil comes down a lot.