oil and gas

Oil and gas prices have moved up lately. But the future direction of energy prices depends on a lot of things, particularly economic growth rates around the world in the wake of COVID-19. Meanwhile, though, well-established companies in the industry have taken advantage of the setback to pick up properties and employees who might be harder to find in more-prosperous times.


These two top companies have also made key mergers and implemented strategies to prosper—and to continue paying dividends—even if energy prices drop....

OVINTIV INC., $34.53, is a buy. The energy producer (Toronto symbol OVV; Shares o/s: 261.1 million; Market cap: $9.0 billion; TSINetwork Rating: Average; Dividend yield: 2.0%) operates three core properties: Montney (B.C.), Anadarko (Oklahoma) and Permian (Texas)....

Oil and gas stocks have moved up lately as the U.S. and other economies recover. We continue to recommend that most investors maintain some exposure to the oil and gas industry as part of a balanced portfolio. But to cut risk, you should stick with producers that have positive cash flow even at low energy prices....

Through Enbridge shares, investors win both a high yield and strong growth prospects. The firm’s transformation over the past few years—from eliminating its complex holding-company structure to its 2017 purchase of U.S. pipeline operator Spectra Energy for $37 billion—has positioned it to weather pandemic economic challenges and to prosper going forward....

CHEVRON CORP. $99 remains a buy. The leading integrated oil and gas producer (New York symbol CVX; Cyclical-Growth Dividend Payer Portfolio, Resources sector; Shares outstanding: 1.9 billion; Market cap: $188.1 billion; Dividend yield: 5.4%; Dividend Sustainability Rating: Above Average; www.chevron.com) last raised its quarterly dividend by 3.9% with the June 2021 payment....

Long-time readers know that we keep you informed of important news about the stocks we cover. That means highlighting developments or strategies that promise to brighten your prospects. Here are two buys that stand out this month:


THERMO FISHER SCIENTIFIC INC....

Recently a member asked a question that you may have wondered about over the years.

“Hi, Pat. My question regards your philosophy of spreading investments out among ‘most if not all of the five main sectors’: I’m wondering where each of the 11 broad Global Industry Classification Standard (GICS) sectors commonly used for sector breakdown fit within your framework....

TECK RESOURCES LTD. $29 is a buy. The company (Toronto symbol TECK.B; Conservative Growth Portfolio, Resources sector; Shares outstanding: 531.1 million; Market cap: $15.4 billion; Price-to-sales ratio: 1.5; Dividend yield: 0.7%; TSINetwork Rating: Extra Risk; www.teck.com) is a leading producer of copper, gold, zinc and metallurgical coal (which is used for making steel).


Due to smoke from wildfires in B.C., the company has curtailed operations at its smelter in Trail....

The success of the COVID-19 vaccination rollout is letting more businesses re-open. Consumers also continue to repay their loans on time. As a result, the Office of the Superintendent of Financial Institutions has increased the minimum capitalization ratio (CET1, or Common Equity Tier 1) for Canada’s banks to 10.5%....

Canada’s banks continue to rebound strongly from last year’s COVID-19 lows; rising vaccination rates are letting more businesses re-open, which further fuels stock gains. Consumers also continue to repay their loans on time.


We like all of the Big Five banks, but TD stands out thanks to its strong retail banking operations in Canada and the U.S....