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
OVINTIV INC., $10.89, is a buy. The energy producer (Toronto symbol OVV; Shares outstanding: 259.9 million; Market cap: $2.9 billion; TSINetwork Rating: Average; Dividend yield: 4.5%) became a U.S. company earlier this year and changed its name from Encana Corp.
Ovintiv operates three core properties: Montney (B.C.), Anadarko (Oklahoma) and Permian (Texas)....
Ovintiv operates three core properties: Montney (B.C.), Anadarko (Oklahoma) and Permian (Texas)....
CHEVRON CORP. $72 remains a buy. The company (New York symbol CVX; Conservative Growth Portfolio, Resources sector; Shares o/s: 1.9 billion; Market cap: $136.8 billion; Price-to-sales ratio: 1.2; Dividend yield: 7.2%; TSINetwork Rating: Average; www.chevron.com) is the second-largest integrated oil producer in the U.S....
CRESCENT POINT ENERGY $2.19 (Toronto symbol CPG; Shares o/s: 529.3 million; Market cap: $1.2 billion; TSINetwork Rating: Speculative; Dividend yield: 0.5%; www.crescentpointenergy.com) produces oil and gas in Western Canada, with a focus on its Bakken light oil development in southeastern Saskatchewan.
In the quarter ended June 30, 2020, Crescent’s average daily output fell 29.9%, to 120,842 barrels (90% oil, 10% gas) from 172,476....
In the quarter ended June 30, 2020, Crescent’s average daily output fell 29.9%, to 120,842 barrels (90% oil, 10% gas) from 172,476....
APACHE CORP. $14 is still a hold, but only for aggressive investors. The company (New York symbol APA; Aggressive Growth Portfolio, Resources sector; Shares outstanding: 377.4 million; Market cap: $5.3 billion; Price-to-sales ratio: 1.1; Dividend yield: 0.7%; TSINetwork Rating: Average; www.apachecorp.com) produces oil and natural gas from properties in the U.S., Egypt and the U.K.
The stock has regained some of its recent losses after falling to just $3.80 in March 2020, with the start of the COVID-19 pandemic, from $34 in January 2020....
The stock has regained some of its recent losses after falling to just $3.80 in March 2020, with the start of the COVID-19 pandemic, from $34 in January 2020....
The direction of oil and gas 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.
Those top companies also have the balance sheet strength to get through low prices—and keep paying dividends....
Those top companies also have the balance sheet strength to get through low prices—and keep paying dividends....
The price for Western Canadian crude oil jumped from an average $4.92 a barrel in April to $46.03 in June as Canada and other countries began to ease COVID-19 lockdowns.
Strengthening oil prices, combined with aggressive cost cuts, improve the prospects of these four oil producers....
Strengthening oil prices, combined with aggressive cost cuts, improve the prospects of these four oil producers....
OVINTIV INC., $14.66, is a buy. The energy producer (Toronto symbol OVV; Shares outstanding: 259.8 million; Market cap: $3.8 billion; TSINetwork Rating: Average; Dividend yield: 3.6%) recently became a U.S. company and changed its name from Encana Corp.
A key reason for the move to the U.S....
IMPERIAL OIL LTD. $21.84, is a buy for safety-conscious investors. The stock (Toronto symbol IMO; Shares o/s: 734.1 million; Market cap: $16.0 billion; TSINetwork Rating: Average; Dividend yield: 4.0%; www.imperialoil.ca) lets you tap Canada’s third-largest publicly traded oil producer, after Suncor (No....
COMPUTER MODELLING GROUP $5.13 is still a buy. The company (Toronto symbol CMG; TSINetwork Rating: Extra Risk) (www.cmgl.ca; Shares o/s: 80.2 million; Market cap: $419.7 million; Dividend yield: 3.9%) cut its quarterly dividend by 50%, to $0.05 a share from $0.10, with the June 2020 payment....
Oil prices are moving up as OPEC producers and others cut their supply because of reduced global demand due to the pandemic. We feel oil prices will continue to move higher as more countries reopen their economies.
However, with oil and gas prices still at historically low levels, it’s unlikely that renewable power sources will soon replace the need for fossil fuels....
However, with oil and gas prices still at historically low levels, it’s unlikely that renewable power sources will soon replace the need for fossil fuels....