No, Suncor is lagging other oil companies. ESG investors aren't deciding between which oil company is "dirtier" - they flee all of them. Suncor seems particularly unattractive - yet it was $28 in June with oil at $30 and now 18% lower with oil at $60. CNQ is up 20% since that time - a 38% difference. Although CNQ is also solid value.I wonder whether the matter of ESG, climate change lobby etc weighs on the price. Same with coal. All these "dirty" sources are becoming pariahs on the market.
What’s your target? I bought it for a quick buck. Sold my TFSA position yesterday. Down about 3% in my non-reg.So now that Suncor is back at $26 is it now a sure thing?
SU up 76% since Nov. Still a long way from $40. I think people are buying back into the SU story.
Also, SU is starting their $1B buyback program, although I heard it may already have started. At current prices, given their guidance for 33% of further cash flow going into buybacks, I would think they are going to buy back closer to $1.5B of shares this year, maybe 5% of the company, plus drop below $15B of debt. When people realize 102% of oil consumption is returning, and SU is simultaneously buying back shares, it will drive prices up a lot.
$40 is my target by May/June. If the stock was >$45 now, it would be more fully valued. But it's not even close. I think we see $35-40 by early summer as demand really starts to pick up.What’s your target? I bought it for a quick buck. Sold my TFSA position yesterday. Down about 3% in my non-reg.
XEG is a beast lately. Congrats on your massive profit.Surprise that XEG is rising while the rest of the market is tanking !
Ive heard the chatter about the new "oil supercycle"
XEG has been steadily outperforming SU on this rebound. Wouldn't you make more money in XEG?I have a pretty big Suncor position myself and I don't think I would consider selling for a while given the upside.
Yes, but I believe SU is unusually lagging and will catch up. Really, if oil goes up $80 this year, then XEG or anything in it will do well. But the refining margins and total gasoline demand that SU is more exposed to, and were particularly crushed last year, look very favourable now. They are also one of the few oil companies engaged in meaningful share buybacks which could rocket the share price up. So basically while there may have been a fundamental reason for SU to lag which reflected in the stock price, that looks like its reversing quite rapidly and should theoretically also reverse.XEG has been steadily outperforming SU on this rebound. Wouldn't you make more money in XEG?
Over the last year, SU is up 48% and XEG is up 126%
In the last 6 months, SU is up 65% and XEG is up 81%
It seems to me that ever since covid, Suncor is underperforming the sector.