RE:RE:The Imminent Peak In Permian OilOn the other side of that Experience, we have also heard last 5+ years from the "experts" that oil demand will peak and begin to fall ("peak oil" predictions, dime/dozen) only to see it to keep going higher (over 100M bbl/day and counting).
No one knows when oil demand peaks as everyone who has tagged a date on it up to present day, has been wrong.
The industry can't manage the demand but they can manage the supply, if they are smart about it (Saudi's are really good here).
As for investing in Oil stocks over these last 5 years, it has been very lucrative for many names.
Over this 5 year span, going back to 2018, almost every Oil quality name is up nicely (even after recovering through the covid lows).
CNQ has gone from $46.44 to $80.00, CVE from $12.35 to $25.00, ATH from $1.73 to $3.42, MEG from $7.50 to $24.00 (these are all hovering around 5 yr highs plus some divs on top for some) and there are many others as well that I dont follow
SU has lagged from 2018 (divs have kept it even or so) but are starting to deliver growing FCF on all those acquisitions made that I believe has kept the stock price in check.
Rest of the year will be interesting to see how this plays out.
Many investors have FOMO and will drive these oil stock prices higher very quickly if oil price does suddenly make a serious move up based on strong demand and low inventory numbers as SPR releases cannot be considered further.