RE:Why hasn’t it rallied already It could be that the rapid uptick in the 10 year is giving equity investors pause. That being said, commodity prices across the board remain strong.
The underperformance of SU vs peers could be very the fact that it pissed off alot of investors with that deep dividend cut after reporting q1 2020 (even though that might very well have been the responsible/prudent move at the time). Most of the large cap energy stocks that resisted the urge to cut their dividends have outperformed those that ended up cutting.
Some examples of returns (excluding dividends) of large cap energy companies that cut *compairing pre-covid price on Jan 3, 2020 vs yesterday's closing*
SU -44%
RDS-B -38%
BP -40%
E -29%
Those that didn't cut
XOM -26%
TOT -19%
CNQ -15%
CVX -21%
COP -26%
Also contributing to the perception that SU management has been too over cautious is the fact that during this downturn, which has particularly hammered the smaller players, the company has yet to deliver on any advantageous M&A deals.
exprohibition18 wrote: What's the sell wall holding it back ?
is it dealers or is it big holders turning into each uptick ?
feels very undervalued relative to peers but this isn't a new phenomenon at this stage and I'm wondering whether it is a negative indication that so much bullish development has failed to elicit a proper positive response .
what happens if market takes a breather now with 10 yr going ballistic ?