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I still think energy is the best place to put your money for the next 1 to 2 years.
But is anyone concerned about a windfall tax by Lib/NDP alliance? They did it to the banks, surely they'll do it to energy companies which they hate.
Also, Biden could reimpose an oil export ban.
For this reason, I'm in BNO (Brent oil etf) and not in any other energy stocks right now.
I believe the world is headed to an energy shortage crisis due to chronic underinvestment due to the ESG scam. Left wing policies are not just foolish, they're dangerous.
If they want a big blowup in Alberta/SK these idiots are welcome to it. It would be a stupid policy. If you want lower prices create an environment that encourages investment and increased production. That is the only pathway to lower prices.
 

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I still think energy is the best place to put your money for the next 1 to 2 years.
But is anyone concerned about a windfall tax by Lib/NDP alliance? They did it to the banks, surely they'll do it to energy companies which they hate.
Also, Biden could reimpose an oil export ban.
For this reason, I'm in BNO (Brent oil etf) and not in any other energy stocks right now.
I believe the world is headed to an energy shortage crisis due to chronic underinvestment due to the ESG scam. Left wing policies are not just foolish, they're dangerous.
If you see the 2 year bull market for energy then you are better off to invest in company like Shell that has diverse sources of oil.
North American producers are tempting, but the prices here are much lower than in Europe. Still, cash flow yield at 20% in some cases is juicy.

Don't really like BNO. If oil price stays where it is, you get return of 0. Meanwhile you will get plenty of free cash from energy producers
 

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If you see the 2 year bull market for energy then you are better off to invest in company like Shell that has diverse sources of oil.
North American producers are tempting, but the prices here are much lower than in Europe. Still, cash flow yield at 20% in some cases is juicy.

Don't really like BNO. If oil price stays where it is, you get return of 0. Meanwhile you will get plenty of free cash from energy producers
True. I would much prefer to be in energy stocks. But what do you think about the possibility of windfall taxes by Biden and Trudeau?
 

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True. I would much prefer to be in energy stocks. But what do you think about the possibility of windfall taxes by Biden and Trudeau?
Both of them have tendency to try to hurt their own citizens, so it is a possibility. Quite a remote one though.
I wouldn't make investment decisions based on it, especially since there are few as good of an opportunities in the market currently as energy sector in terms of earnings and cash flow.
 

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I don't see Biden doing anything until midterms are over and even then he will have a tough time pushing that legislation through if the Dems were at all serious. In Canada, legislatively it will be easier but I don't think there is much interest aside from rhetoric and anticorporate sentiment. If they tax the energy companies it will drive prices up further and companies will pass that tax on to consumers. It seems to me that one is just taking money from consumers pockets, moving it to the oilcos, then over to the government and then back to consumers. None of which seems to provide any value or net gain to anyone besides bean counters employed to track the circular trail of money flow. The G7 are meeting this week and barring any green announcements by Canada as a result of that meeting (tbh honest I think environment is low on the priority list but will be on the agenda for optics) I don't see the windfall tax that was floated earlier coming to fruition. I also don't see a tax holiday on the horizon for consumers unless fuel prices skyrocket some more after the current pause.
 

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Although Suncor has seen a drop in SP of over 20% in less than a month it is still higher than when I sold in March. Comparatively, I added to my CNQ position with the proceeds at $73.71. CNQ closed today at $62.39. So far that has been a bad move. I still am of the opinion that CNQ is a better company. I still expect lots of volatility over the summer for the energy sector and stocks in general.
 

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CNQ did quite a bit better than SU for most of the last 12 months but over the last month both have dropped to the same 12 month level (58%-59% increase). Hope you are right about CNQ.

J4B was singing about ARX recently. They were about halfway between the CNQ/SU increases until June but also dropped to the same sort of level since then (54%).

Volatility is an interesting subject - just wish it didn't involve money. But overall I am glad I got out of those dismal asset allocation ETFs.
 

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Long term I'm bullish on energy because of the underinvestment and Putin's invasion.
However, I'm surprised how much the whole sector is down.
Right now, it really looks like WTI and Brent are headed lower. (see Brent oil chart)
I think it will be a great buying opportunity for energy.
Right now I have I have no energy except for small amount of XLE.
Edit: Added chart.
 

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Any opinion on the validity of the pressure on SU by Elliott Investment?


I am not keen on them dropping the retail segment -- the fact they are fully integrated is what attracted me to SU vs CNQ and COS. They always had a profitable retail business to fall back on, and a way to make money on oil even when crude prices suck. What do we think will happen when Elliott gets their way?

Maybe I will have to swap over to Imperial.
 

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Any opinions on whether Alimentation Couche-Tard could be working on a behind the scenes bid for Suncor's gas stations. Reason for asking is my current holding in SU is a trade more than a long term hold so if this were to happen then a pop in the stock would be likely giving a good opportunity to sell the holding.
 

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There are so many Petro Canada stations that it would likely require several bidders because of multiple local competition issues. I would be surprised to see a resolution before the end of the year, certainly not before then by any margin. They are just reviewing the situation now and I suspect will have to have a relatively open bidding process.
 

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There are so many Petro Canada stations that it would likely require several bidders because of multiple local competition issues. I would be surprised to see a resolution before the end of the year, certainly not before then by any margin. They are just reviewing the situation now and I suspect will have to have a relatively open bidding process.
Good points you make.
 

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I believe @doctrine is correct in that there will be several interested in acquiring these stations. Whomever acquires them may try and sell some of them off or close them down if the owning company has an outlet close by. I am hoping that it creates an opportunity for me to establish a position in Alimenation Couche-Tard.
 
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