Suncor Energy Inc T.SU

CVE vs Suncor

[PabloLafortune]

Looking at past 4 quarters up to q1 2022, one can see that Suncor generated 1.6x the cash-flow of CVE. However, CVE reduced the debt by $5B or a third and really have positioned themselves well for the future. Whereas Suncor only reduced the debt by $2.6B, spent $2.8B in buybacks and $1.8B in dividends ($700M and $210M for CVE). CVE sold assets, Suncor did not (announced but nothing yet...) Who today is better positioned for increasing shareholder returns, acquisitions, etc.. CVE. Even though Suncor is more profitable )( they produce a lot of Synthetic crude while CVE produced WCS big diff. In realization. Share price appreciation CVE wins hands down of course again despite suncor buybacks. So IMO a change in mgmt and BoD is warranted. Ymmv.

[Oldnagger]

Some investors want companies  that de-leverage by paying down debt, while others do not. What is unique about Suncor is that they have refining and marketing assets. Those assets will be very hard or even impossible to duplicate by anyone other than present players. Ditto for the synthetic crude business. Suncor should be investing in the maintenance, improvement and expansion of both these