Energy Stocks

What are energy stocks?

Businesses that work in the extraction, refining and delivery of energy sources such as natural gas, oil, uranium and coal, are considered energy stocks.

Resource and commodity stocks in general should make up only a limited portion of your portfolio—say less than 20% for a conservative investor or as much as 30% for an aggressive investor. And as part of that segment, energy stocks could make up, say half of that total. The rest could be fertilizer stocks, mining stocks and so on.

Oil and gas stocks have been below-average performers lately, and many investors are tempted to get out of the industry altogether. However, the energy sector can play a crucial role in your portfolio as a hedge against inflation. The low inflation rates of the past couple of decades deserve some of the blame for the poor performance of the sector. However, energy stocks will likely rebound in years to come as the global economy recovers.

  1. Invest mainly in well-established companies;
  2. Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
  3. Downplay or avoid stocks in the broker/media limelight.

The Future of Energy and Your Investments: read this FREE Special Report, Canadian Natural Resources Stock Guide: What to look for in Canadian Energy Stocks.

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Energy Stocks Post Archives

Chevron Corp. yields 5.5%

Chevron Corp. yields 5.5%

Despite COVID-19 and the global economic slowdown, investors should keep some exposure to the oil industry, especially integrated firms like this one. 

This oil producer now plans to diversify its operations and cut its costs with an acquisition worth $5.5 billion. If approved, that deal should… Read More

A $575 million backlog gives ShawCor a solid future

A $575 million backlog gives ShawCor a solid future

COVID-19 and low oil prices led to a 35.4% drop in revenue for this company during the most-recent quarter.

However, oil prices are rebounding and the company is diversifying into a new business area.

The Future of Energy and Your Investments: read this FREE Special Report, Canadian Natural Resources Stock Guide: What to look for in Canadian Energy Stocks.

SHAWCOR LTD. (Toronto symbol SCL; www.shawcor.com) makes sealants and coatings that keep oil… Read More

Get a 5.6% yield from Imperial Oil Ltd.

Get a 5.6% yield from Imperial Oil Ltd.

This giant’s revenue, earnings and cash flow have all been impacted by COVID-19 as well as  lower oil prices.

However, the company has implemented strong cost controls and has been able to maintain its dividend for investors.

IMPERIAL OIL LTD. (Toronto symbol IMO; www.imperialoil.ca) gives you exposure… Read More

Get a 5.3% yield from Suncor Energy Inc.

Get a 5.3% yield from Suncor Energy Inc.

Planned expansion and maintenance projects should help the company increase earnings after a difficult 2020 marked by low oil prices, COVID-19, and a recent fire at one of its properties. 

A dividend cut will also help conserve cash as the company anticipates improved results in 2021… Read More

Get 11% yield from Suncor Energy Inc.

Get 11% yield from Suncor Energy Inc.

Improved sales and higher crude oil prices led to a 38.9% revenue boost for this company in its most recent quarter.

Average daily production should rise 5% due to operations upgrades and exploration.

The stock trades at just 2.1 times the company’s 2020 cash flow forecast.

The Future of Energy and Your Investments: read this FREE Special Report, Canadian Natural Resources Stock Guide: What to look for in Canadian Energy Stocks.

SUNCOR ENERGY… Read More

Get a 5% yield from Computer Modelling Group

Get a 5% yield from Computer Modelling Group

Improved oil and gas software sales led to a 10.8% jump in revenue for this company during the most-recent quarter.

Investors saw earnings rocket even higher with a 50% gain.

The Future of Energy and Your Investments: read this FREE Special Report, Canadian Natural Resources Stock Guide: What to look for in Canadian Energy Stocks.

COMPUTER MODELLING GROUP (Toronto symbol CMG; www.cmgl.ca) is a leader in software and services to conventional oil… Read More

Expanding renewable-energy assets power Innergex’s 4.6% yield

Recent strategic acquisitions helped this alternative energy provider to a 13.4% jump in cash flow during the most-recent quarter.

The stock trades at just 8.7 times the company’s 2020 earnings forecast. Its shares now offer a 4.6% yield.

The Future of Energy and Your Investments: read this FREE Special Report, Canadian Natural Resources Stock Guide: What to look for in Canadian Energy Stocks.

INNERGEX RENEWABLE ENERGY (Toronto symbol INE; www.innergex.com) operates 37… Read More

QUIZ: Is Solar Energy a Good Investment? Test Your Knowledge

QUIZ: Is Solar Energy a Good Investment? Test Your Knowledge

Is solar energy a good investment? Learn the best ways to evaluate investments in solar and other alternative energies while discovering how much you already know
The attraction of solar power is obvious for alternative energy stock investing—it offers a source of clean, endlessly renewable energy… Read More