Canada’s oil economy at this point is such that it’s hard to pick winners and losers . In order to control the massive supply glut, the nation’s largest oil-producing province, Alberta, announced production cuts in December. But this plan to address a glut of oil that had far exceeded pipeline capacity and contributed to a significant discount on the price of Albertan oil has not been backed by all producers. Large integrated energy companies such as Suncor Energy (TSX:SU) (NYSE:SU) have opposed the plan, while Canadian Natural Resources (TSX:CNQ) (NYSE:CNQ) and Cenovus Energy supported the move. In this uncertain environment, investors are wondering which stocks offer the best value to hold in their long-term portfolios or if they should completely exit this trade until the situation becomes clear. In my opinion, sticking with the larger integrated oil producers is the best way to go when it comes to investing in Canadian top oil stocks. I don’t recommend completely shutting this trade, as oil and energy make up about one-third of the total market capitalization of the S&P/TSX Composite Index. In this space, I like Suncor Energy and CNQ. Since the beginning of this year, both stocks have rebounded nicely […]
