The corporate recorded working earnings of $1.043 billion ($0.71 per frequent share) within the third quarter of 2021, in comparison with an working lack of $338 million ($0.22 per frequent share) within the prior yr quarter. The corporate had internet earnings of $877 million ($0.59 per frequent share) within the third quarter of 2021, in comparison with a internet lack of $12 million ($0.01 per frequent share) within the prior yr quarter.

With ample free money move they had been capable of retire debt at an excellent clip. The shareholder return is greater than spectacular. 

Within the third quarter of 2021, the corporate returned $1.Zero billion to its shareholders, by means of $704 million in share repurchases and cost of $309 million of dividends, and it lowered internet debt by $2.Zero billion. 

Suncor just lately doubled and restored its dividend to 2019 ranges after a dividend minimize. The share value elevated 9% on the open after reporting on October 28. The inventory closed up over 13% for the day. 

No sector is anticipated to generate larger free money move, if present oil value ranges are maintained or transfer larger. 

Due to Scott Barlow of the Globe and Mail for this tweet. 

The market is beginning to take discover, provides this tweet from Liz Ann Sonders of Charles Schwab. Oil shares vs S&P 500: 

Power sector is having its strongest yr relative to S&P 500 going again to 1990 … comes after a dismal 2020, throughout which sector underperformed market by 53.6%
[Past performance is no guarantee of future results]

— Liz Ann Sonders (@LizAnnSonders) October 25, 2021

Additionally, on the identical entrance, we’re seeing commodities outperform shares in 2021. After all, it’s not both/or, however the usage of commodities as a portfolio and way of life hedge. 

There may be at all times threat with any asset or asset class. On this submit, Eric Nuttall, portfolio supervisor at Ninepoint Companions, addresses the dangers of oil and gasoline investing. Among the dangers embody COVID-19 resurgence, the U.S. shale producers ramping up once more and OPEC members turning on the faucets. 

That could be a nice learn, and Eric provides a measured however actually pro-investment stance. The title of that submit is “The oil celebration has simply begun.”

Personally, I’m more than pleased to have invited myself to the celebration. To take a position or not, is actually a private determination. 

Some market historical past, only for enjoyable

Nobody is aware of with any certainty how the inventory markets will carry out in any given interval. However there are some seasonal traits in play. November and December are sometimes sturdy months for shares, particularly when October is optimistic. 

The next chart is month-to-date, to October 26. 

Supply: S&P International 

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