Ask me what Suncor does to make money and I wouldn’t be able to explain it to you in detail. To be honest I don’t think I could do so with the Canadian banks either. What I do know is that Suncor is one of the biggest Canadian companies, considered a safe investment and Berkshire Hathaway recently acquired some shares. I’m sure Warren Buffett or his team did the required due diligence so I wouldn’t have to.
After selling the rest of my Canopy Growth shares in my pension portfolio it freed up a lot of cash. My aim for this portfolio is to have it appear respectable — meaning no penny stocks or any of their relatives. Currently, there’s more money in cash than there is in stocks. Suncor is about 2.5% of the portfolio.
Suncor offers a dividend of just over 3% which is decent but I’m not too excited about the stock appreciation potential. Compared to many other stocks or even the S&P 500 index it has lagged significantly over this 10 year bull run.
My purchase price was $43.93. Back in December I could have picked it up at $36 but I pussied out. At the market bottom on Christmas Eve I only bought $6000 worth of other stocks. Better than nothing but you need to capitalize on the dips for a better tomorrow. This was all before I sold out of Canopy Growth though. That’s the excuse I tell myself to make myself feel better.