Topic: How To Invest

Dividend Advisor Hotline – Friday, February 12, 2021

Article Excerpt

SUNCOR ENERGY INC., $22.89, Toronto symbol SU, is still a buy for long-term gains. The company is Canada’s largest integrated oil company, with major projects in the Alberta oil sands. Investors also gain exposure to its four refineries (three in Canada and one in Colorado), along with 1,500 Petro-Canada gas stations. In response to the COVID-19 pandemic and falling crude oil prices, Suncor cut your quarterly dividend by 54.8% with the June 2020 payment. Investors now receive $0.21 a share instead of $0.465. The new annual rate of $0.84 yields 3.7%. In the three months ended December 31, 2020, Suncor’s overall average daily production fell 1.2%, to 769,200 barrels a day from 778,200 barrels a year earlier. Combined with lower oil prices, its revenue in the quarter dropped 31.3%, to $6.59 billion from $9.60 billion. That missed the consensus forecast of $7.56 billion. If you exclude all unusual items, the company lost $142 million, or $0.09 a share, in the latest quarter. However, that was…

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