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.
- Invest mainly in well-established companies;
- Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
- Downplay or avoid stocks in the broker/media limelight.
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Energy Stocks Library Archives
IMPERIAL OIL LTD., $63.54, is a buy. The company (Toronto symbol IMO; Shares outstanding: 636.7 million; Market cap: $40.5 billion; TSINetwork Rating: Average; Dividend yield: 2.1%; www.imperialoil.ca) has completed its plan to buy back $2.5 billion of its common shares through a Dutch auction process.
Under the plan, Imperial repurchased 32.47 million (4.9% of the total) of its shares at $77.00 a share....
Under the plan, Imperial repurchased 32.47 million (4.9% of the total) of its shares at $77.00 a share....
DEVON ENERGY, $68.46, is a buy. The company (New York symbol DVN; TSINetwork Rating: Extra Risk) (Shares o/s: 660.0 million; Market cap: $46.6 billion; Divd. yield: 5.3%) continues to use acquisitions to expand operations in its core areas....
OVINTIV INC., $73.62, is a buy. The energy producer (Toronto symbol OVV; Shares outstanding: 258.1 million; Market cap: $18.3 billion; TSINetwork Rating: Average; Dividend yield: 1.4%) operates three core properties: Montney (B.C.), Anadarko (Oklahoma) and Permian (Texas)....
Oil and gas stocks have moved up as the U.S. and other economies recover. The war in Ukraine has also driven up prices. We recommend that most investors maintain exposure to the oil and gas industry as part of a balanced portfolio. But to cut risk, you should focus on producers with positive cash flow even at low energy prices....
Ovintiv continues to benefit from the sharp rise in crude oil and natural gas prices as the economy rebounds from the COVID-19 lockdowns. The company is now using its surging cash flow to pay down debt and reward investors with rising dividends and share buybacks.
OVINTIV INC....
OVINTIV INC....
SUNCOR ENERGY INC. $46 is a buy. The company (Toronto symbol SU; Conservative Growth Portfolio, Resources sector; Shares outstanding: 1.44 billion; Market cap: $66.2 billion; Price-to-sales ratio: 1.7; Dividend yield: 4.1%; TSINetwork Rating: Average; www.suncor.com) is Canada’s largest integrated oil firm, with major projects in the Alberta oil sands....
CENOVUS ENERGY, $25.70, remains a buy for long-term gains. The company (Toronto symbol CVE; Shares outstanding: 2.0 billion; Market cap: $49.0 billion; TSINetwork Rating: Extra Risk; Dividend yield: 1.6%; www.cenovus.com) completed its acquisition of rival oil producer Husky Energy in January 2021.
The combined firm is now Canada’s third-largest producer of oil and natural gas, and the country’s second-largest refiner.
Cenovus’s production in the three months ended March 31, 2022 rose 3.8%, to 798,600 barrels a day (82% oil, 18% natural gas) from 769,300....
The combined firm is now Canada’s third-largest producer of oil and natural gas, and the country’s second-largest refiner.
Cenovus’s production in the three months ended March 31, 2022 rose 3.8%, to 798,600 barrels a day (82% oil, 18% natural gas) from 769,300....
Chevron and APA have surged to record highs in 2022 thanks to rising crude oil prices. Both are using their extra cash flow to raise their dividends and buy back shares. However, Chevron is the better choice as its refineries will benefit when oil prices eventually weaken.
CHEVRON CORP....
CHEVRON CORP....
BIRCHCLIFF ENERGY, $10.13, is a buy. The company (Toronto symbol BIR; TSINetwork Rating: Speculative) (Shares o/s: 266.0 million; Market cap: $2.6 billion; Dividend yield: 0.4%) reports that its cash flow in the quarter ended December 31, 2021, jumped sharply, to $0.73 a share from $0.25 a year earlier....
CENOVUS ENERGY INC. $21 is a buy. The company (Toronto symbol CVE; Conservative Growth Portfolio, Resources sector; Shares outstanding: 2.0 billion; Market cap: $42.0 billion; Price-to-sales ratio: 0.9; Dividend yield: 0.7%; TSINetwork Rating: Extra Risk; www.cenovus.com) plans to cut its annual greenhouse gas emissions 35% by the end of 2035 compared to 2019 levels....