Topic: How To Invest

Dividend Advisor Hotline – Friday, January 15, 2021

Article Excerpt

SUNCOR ENERGY INC., $23.36, Toronto symbol SU, remains a buy for long-term gains. The company is Canada’s largest integrated oil firm, 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. To conserve cash in response to the COVID-19 pandemic and falling crude oil prices, Suncor cut your quarterly dividend by 54.8%. Starting with the June 2020 payment, investors now receive $0.21 a share instead of $0.465. The new annual rate of $0.84 yields 3.6%. Suncor also owns 27.5% of the White Rose offshore drilling project near Newfoundland and 26.0% of the West White Rose project; it’s scheduled to begin operating in 2022. Recently, Cenovus Energy Inc. (Toronto symbol CVE) acquired control of the White Rose projects through its acquisition of rival oil producer Husky Energy Inc. (Toronto symbol HSE) for $3.8 billion in stock. Husky suspended work on West White Rose in April 2020 due…

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