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Suncor Energy Inc T.SU

Alternate Symbol(s):  SU

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. The Company 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.


TSX:SU - Post by User

Comment by Experiencedon Aug 06, 2023 11:18am
210 Views
Post# 35575386

RE:Disconnect

RE:DisconnectWhen you compare the performance of SU from a short term low on June 23rd to that of other oil producers such as CNQ you will see that the others have also lagged the increase in oil prices as well though not as much as SU.

To me this is not a surprsing result since the others are more pure oil (gas) plays as opposed to SU which derives a significant portion of its income from its vertical integration (ie refineries and gas stations) which don't react directly with changes in oil prices.

So frankly, I don't see this as The Street picking on SU per se but rather simple math given the business that SU is in compared to the others.

To me, the larger question is why haven't the others which are more pure oil plays gone up by around 25%?  Further, why are they trading at would appear to be a discount over their traditional metrics?

My views as to the answer to this question has been well documented here.
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