RE:Oil anywhere near $55.00 is a dreamWynjoe:
As someone who holds SU as a core position, I appreciate your boundless enthusiasm for the company.
I agree with you that the upside looks/feels like we could see the SU share price back over $40.
At the same time, SU had a bad year in 2020, and I'm not just talking about the pandemic.
Little and his team disappointed shareholders in a number of ways. Slashing the dividend was the prudent business move at the time, but it made fund managers look bad. Retail shareholders are quick to forgive, but fund managers who depend upon dividends and a minimum of market performance to justify their high fees, are not so foregiving.
I also hold ENB as a core position. Its share price got pummeled when they bought Spectra a few years ago. The acquistion proved to be brilliant, but the fund managers didn't like the perceived level of risk taken on in the form of debt, and they were not happy about the earnings hit that accompanies the rationalization required following the acquistion. Four years later, the ENB share price is still lagging. When ENB finishes its Line 3 upgrade later this year, and they crush Michigan's Whitmer in court next month, I think the market will finally be prepared to acknowledge ENB's superior management.
SU has never been seen by the street as having strong management and the optics from last year didn't help. I believe that SU's management made a couple of strong moves in 2020 that auger well for the future. However, I suspect the street is going to hold Little's feet to the fire until SU delivers for a few quarters at a minimum because the street doesn't forget