Suncor Energy Harbors Solid Businesses With Excellent Outlooks
Suncor Energy (NYSE:SU). is an integrated energy company focused on development of Canada's Athabasca oil sands. In light of the recent downturn in oil prices, Suncor remains an attractive investment opportunity due its sound business operations and strong outlook.
The recent selloff in WTI/WCS has dampened Suncor's near term results. As a result, production for 2014 is low, but is likely to recover in future years at a predictable rate of 4 to 6%.
Additionally, in the most recent quarter, the company also raised its annual dividend by 22%, representing the third dividend hike over the past two years (dividend increases of 54% and 15% in 2013). Suncor rewards investors with a solid 2.8% dividend yield.
- Seeking Alpha
- Published on:
- November 27, 2014
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