Investing

is now the time to invest in oil stocks?

  • Last Updated:
  • Oct 30th, 2020 12:05 pm
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Deal Addict
Mar 21, 2013
2816 posts
3673 upvotes
Edmonton
Chance7652 wrote: I think they're eventually going to cut the dividend like the European majors oil companies did. I'm starting to believe that were in an era of an over abundance of oil. As soon as prices go up shale producers ramp up production which then keeps prices low. A different issue is you also have a lot of institutional investors pulling out the sector.

I think this article is pretty good at presenting the bear case for oil/xom.



https://seekingalpha.com/article/436969 ... retirement
Yeah, I saw that thanks though. I guess the dividend sustainability will depend on the success of the huge sweeping cost cutting program they are doing. I think they need a better vision for the future but at the same time I feel like their cost cutting is going to be highly successful.
Deal Addict
Feb 26, 2017
1639 posts
1679 upvotes
Blubbs wrote: Yeah, I saw that thanks though. I guess the dividend sustainability will depend on the success of the huge sweeping cost cutting program they are doing. I think they need a better vision for the future but at the same time I feel like their cost cutting is going to be highly successful.
I'm unlikely to invest in another E&P energy company after taking losses in 2016. I'm getting more bearish on the sector but I still long with ENB with a 2x position.
Deal Addict
Aug 17, 2008
4323 posts
3466 upvotes
M&A in Cdn O&G Face Screaming In Fear
WCP up and MFC down, although financials are down in general.

Canadian oil producer Whitecap to buy NAL Resources for nearly $119 million
https://www.reuters.com/article/us-nal- ... SKBN25R1NB

"Whitecap said it would issue 58.3 million of its shares to Manulife in exchange for all the issued and outstanding shares of NAL, which operates in Canada’s Saskatchewan and Alberta.

Insurance and financial services provider Manulife will own about 12.5% of the combined company."

Update #1

Saw this first, but didn't give it much thought.

Obsidian Energy proposes merger with Bonterra Energy in share-swap deal

https://www.theglobeandmail.com/busines ... hare-swap/

Update #2

Endangered species: Canadian small oil and gas companies under pressure to merge or die
Sep 04, 2020

https://financialpost.com/commodities/e ... db9385636/
Last edited by MrMom on Sep 5th, 2020 12:33 am, edited 1 time in total.
Member
Nov 25, 2009
233 posts
155 upvotes
Edmonton
Keeping an eye on Suncor. Might pick up couple hundred shares if the slide continues. Would like to see it touch oversold levels - was oversold on the intraday.
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Jun 1, 2006
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Anyone know Enbridge drop so much today? Like almost a dollar and 2 dollars since last week.
Have a nice day!


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Sep 21, 2007
5135 posts
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Winnipeg
LonesomeDove wrote: Anyone know Enbridge drop so much today? Like almost a dollar and 2 dollars since last week.
yeah crude is taking a massive hit.
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Oct 12, 2009
420 posts
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LonesomeDove wrote: Anyone know Enbridge drop so much today? Like almost a dollar and 2 dollars since last week.
I almost cried selling half my Enbridge, I needed instant capital and it lost a lot of value. The only plus side I see is if you're on a DRIP you can buy back potentially cheaper. Tomorrow is payday for dividend Money-mouth Face
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Newbie
Aug 15, 2016
48 posts
46 upvotes
Hurts to see the big drops in energy stocks over the last week despite no real movement in oil prices. ENB, CNQ, and SU all look like bargains at current price levels. Natural gas looks attractive for the first time in quite some time with TOU and ARX the consensus top picks.
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Sep 19, 2004
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where I belong
LonesomeDove wrote: Anyone know Enbridge drop so much today? Like almost a dollar and 2 dollars since last week.
all TSX sucked today, and SPY
only GREEN things were AAPL, TSLA, AMZN, AMD, all Techs (and NASDAQ), nothing new
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Jun 1, 2006
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jerryhung wrote: all TSX sucked today, and SPY
only GREEN things were AAPL, TSLA, AMZN, AMD, all Techs (and NASDAQ), nothing new
ENB has been down last 5 days, not only Monday. Even when TSX is down ENB goes down like 20cts to 50cts, not almost a dollar. ENB went down more 2% Monday, more than other stocks.
Have a nice day!


Deal Fanatic
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Sep 21, 2007
5135 posts
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Winnipeg
I can't wait to dump my HSE bag.. this penny per stock dividend isn't even worth holding.
"An essential aspect of creativity is not being afraid to fail." -- Edward Land
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Sep 26, 2012
232 posts
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Edmonton
LonesomeDove wrote: ENB has been down last 5 days, not only Monday. Even when TSX is down ENB goes down like 20cts to 50cts, not almost a dollar. ENB went down more 2% Monday, more than other stocks.
Fairly certain it is because of their dividend, always seems to drop right after ex-div date, and run up right before it...they should go to a monthly dividend
Member
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Oct 12, 2009
420 posts
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Did anyone recieve their dividend with Enbridge today? I recieved no cash or added DRIP so wondering if its delayed by a business day or two?
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Jr. Member
Sep 23, 2016
117 posts
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stupid me thought I got a deal for SU at 20.70, now it is down over 3% while CNQ is holding up???

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