Investment Q&A

Q: SU or CNQ: looking at all metrics, which one would you buy for the long-term? I realize that the oil price is the biggest factor: supply issue (too much) and a demand issue due to COVID-19; however, when the data for COVID-19 starts looking positive demand should start to increase - 1/2 of the equation. I realize dividends are dependent on the price of oil; but, perhaps one co. is more isolated in this regard? I am a long-term investor - NOT a trader, so, can wait. Also, a dividend cut may be a good thing for now?

Q: Hi team,

Are energy shares a good long-term investment any more or should they simply be looked at as a trade? Given the lack of pipelines in Canada and the fact that the World is shifting away from oil and gas at higher prices, do energy stocks really have a long term potential? Or should we buy them on weakness and sell them into strength. Hard to grow the business and revenues, apart from acquisitions, when revenues are dependent on a commodity that is at the whim of certain government action or inaction.

Thanks,
Jason

Q: I am thinking about nibbling at the Canadian oil sector. Would you prefer SU or CNQ ,and your reason why?
Thank you

Q: Can you suggest five companies from the oil sector that are least likely to go into bankruptcy with oil at current prices.

Q: How is it that western Canadian oil is at a historic low and yet CNQ & SU are gaining in share price ?

Q: Hi team,

I'm up over 30% of CNQ in about a week or 10 days and I also own Suncor. I believe that the recent run up in the stock market and the energy companies over the last 2 days is not sustainable. I fear that the coronavirus impacts aren't fully appreciated and this will likely have a more profound impact on travel and demand for oil. I obviously have no idea if we hit the bottom or not, but given the the sharp bounce when is it ok to take your money and run, especially on Companies whose revenues are based on a commodity. I own several other stocks that I bough during the drop, including BCE, RY, TD, ENB, etc. so I will still have exposure to the upside, but in less risky names.

Thanks,
Jason

Q: Dear sirs,

Any idea for the jump in price today for CNQ.

Thank you,

Q: I bought half positions in CNQ and SU and I have buy orders in at lower prices which I never thought I would see ($8 for CNQ). At current prices, CNQ is yielding over 15%. Even though their dividend was well covered, does it matter how low their share price goes or is it more a function of how long the coronavirus and price war going on for that you force them to cut their dividend? Would they cancel share buybacks before cutting their dividend even though share prices are so low?

Thanks,
Jason

Q: With WCS below $20, can these oil sands producers still make money?

Q: I am down on the stocks as follows but do not have offsetting capital gains to compensate for the losses - would you continue to hold or sell and please advise your rationale
Also, what criteria do you use for determining when this market has stopped it downward trend?

Q: CNQ is now yielding 10%. Based on your analysis and current oil prices can they keep paying it?

Q: Which one of the two would you recommend for a 5 to 10 year hold? I notice their yields are guide similar.

Q: Thoughts on these 3 oil and gas producers? Is it time to pick away at them?

Q: Is CNQ a buy at this time or wait.
Thank you

Q: why the steep drop of CNQ compared to other integrated ?
Thank you

Q: Hi 5i team,
I was wondering what your opinion is of the Morningstar Quant reports which can be found within TD Direct investing. For example, each of these stocks are noted as ‘undervalued’ or significantly‘undervalued’. As well, they have little or no moat, and some are high or very high risk. Their stock prices are/have dropped a bit.
Would you consider it realistic decision making to include them in the mix of info resources?

Also, could you kindly rank these stocks if one were doing this year’s TFSA amount- it’s a small sum so is it best applied to one stock or divided?

I have SU and CNQ, similar amounts invested in each and both are above water a little.

Please deduct however many credits you like. Thank you for helping me!

Q: Good day 5i Team,

Would you be able to recommend few tickers for a cover calls strategy? Any suitable companies that are traded on TSE?

Thank you,

Q: I am building small trust accounts for each grandchild that hopefully will get them interested and informed in the market.
Can you comment on current holdings and suggest 2 or 3 additional stocks?
Criteria: Canadian, dividend-paying, relatively stable but with growth potential?
Many thanks for your great service.

Q: I would like to add either SU or CNQ to a well diversified income portfolio.
Which company would you purchase and why.

Q: DAN DREYFUS make the following points on cnn.
1.pipe line constraint forces CNQ to give more $ to share holders.
2.dividend is good long term.
3.at $45 wti they can still have 4-5billion or so free cash flow for years
4. similar logic works for SU and CVE.
could you comment on the above. would you agree and why or disagree and why.
thank you
Yossi