Suncor Energy Inc. T.SU

Alternate Symbol(s): SU

Energy Oil & Gas Integrated

Suncor Energy Inc. is a Canada-based integrated energy company. The Company's segments include Oil Sands, Exploration and Production (E&P), and Refining and Marketing. Its operations include oil sands development, production and upgrading, offshore oil and gas production, petroleum refining in Canada and the United States and its Petro-Canada retail and wholesale distribution networks, including Canada’s Electric Highway, a coast-to-coast network of fast-charging electric vehicles (EV) stations. Petro-Canada has a network of over 1,800 retail and wholesale locations across Canada, providing customers with a wide variety of fuel and service offerings including low-carbon fuel options. It is developing petroleum resources while advancing the transition to a low-emissions future through investment in power and renewable fuels. It also wholly owns the Fort Hills Project, which is located in Alberta's Athabasca region, approximately 90 kilometers north of Fort McMurray.

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Suncor Energy Inc. > Clearing up the overhang

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Comment by Oldnaggeron May 04, 2021 3:33pm

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Post# 33125177

RE:Clearing up the overhang

Very interesting perspective, but in my opinion there is a very loud clash coming as demand for petroleum ramps up quickly versus renewables which are very long term due to their capital intensive nature. I truly believe that a lot of instutions are going to need to change back their mindsets in a hurry. No one in the petroleum industry wants to restore Capex which is now running at less than half prior periods.Share buy backs will rule the roost and retail,investors will be rewarded as Capitalism always finds a way to do what needs to be done and that is to supply energy to those who need it (and at prices much above current pricing if necessary )

Marner16 wrote: Penny stock investors are often faced with cleaning up overhangs. Once public companies mature, investors don't expect to have to deal with the numerous gyrations in the supply/demand of shares associated with start ups.

The ESG movement has created the biggest overhang I have witnessed in my 45 years of investing.

Retail SU shareholders should understand that the institutions that control the market are in the midst of a mindset change about energy investments and us little guys are simply observers.

ENB has witnessed the exchange of almost a billion shares (half of the float) in MOC and LOC orders since last July. Either somebody is accumulating a huge position in ENB via legal exemptions (or by more nefarious means) which is what Brookfield did with IPL, or ENB management is facilitating the historic shift from institutions that have been mandated to exit oil investments to institutions that are prepared to hold investments that they believe/know will outperform the market.

SU is going to have to undergo the same process of clearing the overhang. It can be a painful process for retail investors to sit and watch the game being played out. If you have the stomach for it, the payoff will likely be substantial. If you don't have the patience to play the long game, there are a multitude of shiny stories to chase.

There is no right or wrong strategy, just differences in belief systems.