Top Canadian Energy Dividend Stocks

Oil stocks represent a large percentage of the Canadian stock market and the options can be overwhelming at times. When looking at a particular investment, it’s always important to look at its peers rather than focusing on just one company. Often times, many of the stocks can fit your portfolio, it just happens that when you are ready to buy, one may be preferable over the others.

Canadian Energy Dividend Stocks

Not all energy stocks actually provide the same business. There are 3 industries with business distinctions that are important to be aware of when purchasing.

Before we review the companies by industries, here are many of the players. Three of the big five are Canadian dividend aristocrats and Canadian Blue Chip Stocks with SU, CNQ and IMO. 

With an awareness of the players and their sizes, it’s time to look at them by industries. Investors should avoid overlapping industries if possible. As it happens, the oil & gas industries is broken down into 3 groups: downstream, midstream and upstream. Unfortunately, the industry classification doesn’t quite match since some players overlap the groups.

  • Downstream – processing and refining
  • Midstream – transporation and storage
  • Upstream – underground exploration

Oil & Gas – Midstream Industry

This industry primarily operates in the transportation and storage of oil & gas.

TickerKeyTickerCompanySectorIndustryScoreQuoteMarket CapP/EFPEEPSYield RawYieldPayoutRatioPaymentsDividendChowderGrowthRatingIncomeRatingTollboothAmbassadorAchieverAristocratKingCountryGraph
TSE:ENBENBEnbridgeEnergyOil & Gas Midstream0.6442.8765.0545.0614.210.950.07567.563.410543.240.192378Tollbooth - UnregulatedYESYESYESNOCanada1
TSE:TRPTRPTranscanada PipelinesEnergyOil & Gas Midstream0.7461.0542.9713.4014.214.550.05315.310.712143.240.123468Tollbooth - UnregulatedNOYESYESNOCanada1
TSE:PPLPPLPembina PipelineEnergyOil & Gas Midstream0.6332.5517.9012.1814.212.670.07747.740.9438122.520.119776Tollbooth - UnregulatedNONOYESNOCanada1
TSE:IPLIPLInter Pipeline LtdEnergyOil & Gas Midstream0.5112.555.399.8514.211.270.03823.820.3780120.480.067125Tollbooth - UnregulatedNONONONOCanada1
TSE:KEYKEYKeyera CorpEnergyOil & Gas Midstream0.5620.364.508.9214.212.280.09439.430.8421121.920.157367Tollbooth - UnregulatedNONOYESNOCanada1
TSE:GEIGEIGibson Energy Inc.EnergyOil & Gas Midstream0.4222.063.2319.1214.211.150.06176.171.182641.360.061725Tollbooth - UnregulatedNONONONOCanada1

Oil & Gas – Integrated Industry

This industry represents a company that operates in both the downstream and upstream.

TickerKeyTickerCompanySectorIndustryScoreQuoteMarket CapP/EFPEEPSYield RawYieldPayoutRatioPaymentsDividendChowderGrowthRatingIncomeRatingTollboothAmbassadorAchieverAristocratKingCountryGraph
TSE:SUSUSuncorEnergyOil & Gas Integrate0.4121.0724.220.0014.21-3.560.03993.991.000040.840.144834Consumable - NecessitiesNONONONOCanada1
TSE:IMOIMOImperial OilEnergyOil & Gas Integrate0.6920.9511.479.3614.212.240.04204.200.392940.880.120368Consumable - NecessitiesNOYESYESNOCanada1

Oil & Gas – E&P Industry

This industry covers companies involved in the exploration and production. 

TickerKeyTickerCompanySectorIndustryScoreQuoteMarket CapP/EFPEEPSYield RawYieldPayoutRatioPaymentsDividendChowderGrowthRatingIncomeRatingTollboothAmbassadorAchieverAristocratKingCountryGraph
TSE:CNQCNQCanadian Natural ResourcesEnergyOil & Gas E&P0.7723.6320.858.9114.212.650.07197.190.641541.700.179579IntermediateYESYESYESNOCanada1
TSE:OVVOVVOvintivEnergyOil & Gas E&P0.5012.962.522.8614.214.530.03883.880.111040.380.038825IntermediateNONONONOCanada1
TSE:ARXARXArc ResourcesEnergyOil & Gas E&P0.305.692.010.0014.21-1.500.04224.221.000040.240.042214IntermediateNONONONOCanada1
TSE:CPGCPGCrescent Point EnergyEnergyOil & Gas E&P0.172.071.100.0014.21-6.960.00480.481.000040.010.004812IntermediateNONONONOCanada1
TSE:VETVETVermillion EnergyEnergyOil & Gas E&P0.155.460.860.0014.21-8.930.00000.000.0000120.000.013630IntermediateNONONONOCanada1
TSE:ERFERFEnerplus CorporationEnergyOil & Gas E&P0.283.310.550.0014.21-1.280.03633.631.0000120.120.036314IntermediateNONONONOCanada1
TSE:FRUFRUFreehold Royalties LtdEnergyOil & Gas E&P0.303.580.42132.6914.210.030.05035.036.0000120.180.050313IntermediateNONONONOCanada1
TSE:BNEBNEBonterra Energy Corp.EnergyOil & Gas E&P0.041.550.050.0014.21-7.910.00000.000.0000120.000.000000IntermediateNONONONOCanada1

Top Canadian Energy Dividend Stocks

4. Keyera Corp

KEY - Keyera CorpKeyera Corp. is one of the largest independent midstream energy companies with extensive interconnected assets across Canada. The company caters to the needs of oil and gas producers in the Western Canada Sedimentary Basin, and provides NGL gathering and processing, fractionation, storage, transportation, logistics and marketing services. Keyera’s core infrastructure is strategically located in key producing areas of Western Canada Sedimentary basin and Edmonton/ Fort Saskatchewan energy hub. The company also markets iso-octane, propane, butane, condensate and crude oil to customers in Canada and the United States. It operates through Gathering and Processing, Liquids Infrastructure and Marketing segments. Keyera has strong expertise in operating complex energy processing facilities and provides a full range of essential midstream services to its customers.

Investment Data

3. Suncor

SU - Suncor EnergySuncor Energy is one of the largest independent energy companies in the world engaging in oil sands operations, offshore oil and gas production, petroleum refining and marketing. It is the largest oil producer in Canada. The company has operations across the entire value chain, including resource extraction, upgrading, refining and marketing, and midstream logistics. In addition, Suncor is involved in energy trading and operates a renewable energy business. Suncor owns offshore assets in key strategic geographic locations like the U.K. North Sea, Canada’s east coast and Norway. The company operates four refineries, an ethanol plant, wind farms, and over 1700 retail sites in North America and owns 940 mbpd oil production, 550 mbpd upgrading, and 460 mbpd refining capacities. Suncor’s long-life, low-decline reserve base with a proven life of more than 30 years, sets it apart from peers.

Investment Data

2. Enbridge

ENB - EnbridgeEnbridge Inc. is the largest energy infrastructure company in North America. It is Canada’s largest natural gas distributor engaging in the collection, transportation, processing and storage of oil and gas. Enbridge caters to 3.7 million customers in Ontario, Quebec, New Brunswick, and New York. It owns an extensive network of about 192,000 miles of natural gas and NGL pipelines across North America and the Gulf of Mexico. Its crude oil and liquids transportation systems are huge comprising of more than 17,000 miles of active pipelines. The company is known for its high quality liquids and natural gas infrastructure assets. In addition, Enbridge has 3.1 Bcf/d of processing capacity and 438 Bcf of net natural gas storage capacity. It also owns interests in nearly 3,000 MW of renewable generation capacity. Enbridge operates through five reporting segments - Liquids Pipelines (52% of 2018 earnings), Gas transmission and midstream (22%), Gas Distribution (17%), Green Power and Transmission (4%), and Energy Services (5%).

Investment Data

1. Canadian Natural Resources

CNQ - Canadian Natural ResourcesCanadian Natural Resources is a large natural gas and crude oil exploration and production company in Canada. The company operates a diversified portfolio of assets (comprising of mix of natural gas, light crude oil, heavy crude oil, bitumen and synthetic crude oil) in North America, the UK North Sea and Offshore Africa. Canadian Natural’s business can be broadly classified into - North America E&P, international, marketing & midstream. The company holds some of the best oil sands assets in North America, particularly thermal in situ properties, having significant growth potential. Canadian Natural completed its transition to a long life, low decline asset base in 2017, which ensures a growing base of sustainable cash flows especially in low commodity price environments.

Investment Data

DISCLOSURE: Please note that I may have a position in one or many of the holdings listed. For a complete list of my holdings, please see my Dividend Portfolio.

DISCLAIMER: Please note that this blog post represents my opinion and not an advice/recommendation. I am not a financial adviser, I am not qualified to give financial advice. Before you buy any stocks/funds consult with a qualified financial planner. Make your investment decisions at your own risk – see my full disclaimer for more details.
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