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The Energy sector contains companies involved in the exploration, production, and distribution of energy resources. Main sub-sectors include oil and gas, pipelines, and refining. Examples of energy companies include ExxonMobil, Chevron, and Enbridge, which operate in various aspects of the energy industry.
A Canadian investor may want exposure to the Energy sector for diversification, as it can provide a unique macro thesis driven by global demand for resources. This sector can offer a mix of dividend-paying stocks and growth-oriented companies, appealing to different investment profiles.
When selecting individual energy stocks, Canadian investors should consider balance-sheet quality and a company's competitive moat. A strong balance sheet can help energy companies weather industry downturns, while a competitive moat can provide a sustainable advantage over peers.
For Canadian investors in Energy stocks, a non-registered account is tax-optimal due to the Canadian dividend tax credit, which applies to eligible dividends from Canadian Energy companies. This credit can reduce the tax payable on dividend income, making a non-registered account a suitable choice for Energy stocks…
Exxon Mobil (XOM) — is a multinational oil and gas company involved in the exploration, production, and refining of petroleum products. Chevron (CVX) — operates as an integrated energy company with significant interests in oil and gas exploration, production, and refining.
Non-registered — Enbridge, TC Energy and CNQ pay large eligible Canadian dividends — the dividend tax credit makes them highly tax-efficient in a non-registered account.
The Canadian energy sector is predominantly composed of oil and gas companies. Many of these companies are listed on the Toronto Stock Exchange, offering a range of investment opportunities for Canadian retail investors.
In the Energy sector, Canadian dividend taxation is more favorable in a non-registered account due to the Canadian dividend tax credit, which reduces the tax payable on eligible dividends. For U.S. energy stocks, the 15% U.S.
For Canadian investors interested in the Energy sector, both individual stocks and sector ETFs can be viable options. Buying individual stocks allows for targeted investment in specific companies, such as those involved in oil and gas production or renewable energy.
ETFs | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
XO XOM ExxonMobil Holdings Corporation | Energy | NYSE | +374 | $610.8B | US$147.36 | +55.4% | 23.08 | 3.01% | 0.16 | |
CV CVX Chevron Corporation | Energy | NYSE | +251 | $373.2B | US$187.38 | +45.5% | 29.48 | 4.21% | 0.49 | |
SH SHEL Shell plc | Energy | NYSE | +64 | $242.0B | US$87.32 | +32.8% | 12.15 | 4.01% | -0.23 | |
TT TTE TotalEnergies SE | Energy | NYSE | — | $181.1B | US$81.39 | +64.6% | 11.38 | 5.50% | 0.05 | |
EN ENB.TO Enbridge Inc. | Energy | TSX | +191 | $173.4B | $79.42 | +32.1% | 26.00 | 5.06% | 0.80 | |
CO COP ConocoPhillips | Energy | NYSE | +202 | $139.8B | US$114.71 | +45.2% | 17.75 | 3.21% | 0.12 | |
CN CNQ.TO Canadian Natural Resources Limited | Energy | TSX | +133 | $128.1B | $61.42 | +65.9% | 11.81 | 4.41% | 0.88 | |
EN ENB Enbridge Inc. | Energy | NYSE | +191 | $123.8B | US$56.71 | +30.1% | 26.00 | 5.20% | 0.80 | |
BP BP BP p.l.c. | Energy | NYSE | +20 | $107.9B | US$41.90 | +59.6% | 30.41 | 5.34% | -0.23 | |
SU SU.TO Suncor Energy Inc. | Energy | TSX | +123 | $103.4B | $87.53 | +97.8% | 14.85 | 3.07% | 0.57 | |
TR TRP.TO TC Energy Corporation | Energy | TSX | +142 | $101.9B | $97.79 | +48.5% | 27.94 | 3.71% | 0.98 | |
VL VLO Valero Energy Corporation | Energy | NYSE | +172 | $91.9B | US$309.65 | +94.7% | 19.57 | 1.79% | 0.55 | |
CN CNQ Canadian Natural Resources Limited | Energy | NYSE | +133 | $91.5B | US$43.89 | +60.6% | 11.80 | 4.44% | 0.88 | |
MP MPC Marathon Petroleum Corporation | Energy | NYSE | +159 | $91.3B | US$312.60 | +60.4% | 17.55 | 1.47% | 0.52 | |
WM WMB The Williams Companies, Inc. | Energy | NYSE | +272 | $89.7B | US$73.38 | +35.4% | 32.08 | 2.87% | 0.59 | |
EQ EQNR Equinor ASA | Energy | NYSE | +13 | $89.3B | US$37.37 | +68.2% | 14.50 | 4.74% | -0.75 | |
IM IMO.TO Imperial Oil Limited | Energy | TSX | +112 | $83.1B | $171.89 | +92.5% | 27.72 | 2.13% | 0.82 | |
PS PSX Phillips 66 | Energy | NYSE | +159 | $82.9B | US$206.86 | +60.7% | 17.42 | 2.88% | 0.68 | |
EP EPD Enterprise Products Partners L.P. | Energy | NYSE | +53 | $82.6B | US$38.20 | +33.0% | 13.61 | 5.96% | 0.47 | |
EO EOG EOG Resources, Inc. | Energy | NYSE | +267 | $74.5B | US$139.89 | +32.0% | 12.86 | 3.12% | 0.26 | |
SU SU Suncor Energy Inc. | Energy | NYSE | +123 | $73.7B | US$62.43 | +94.0% | 14.88 | 3.06% | 0.57 | |
CV CVE.TO Cenovus Energy Inc. | Energy | TSX | +66 | $73.1B | $39.20 | +128.2% | 14.05 | 2.50% | 0.50 | |
TR TRP TC Energy Corporation | Energy | NYSE | +142 | $72.7B | US$69.76 | +45.6% | 27.81 | 3.72% | 0.98 | |
E E Eni S.p.A. | Energy | NYSE | $72.6B | US$49.77 | +87.5% | 20.65 | 5.21% | 0.23 | ||
KM KMI Kinder Morgan, Inc. | Energy | NYSE | +222 | $71.9B | US$32.30 | +24.1% | 21.52 | 3.67% | 0.53 | |
SL SLB SLB N.V. | Energy | NYSE | +203 | $70.3B | US$46.99 | +75.4% | 19.88 | 2.61% | 0.73 | |
ET ET Energy Transfer LP | Energy | NYSE | +65 | $69.9B | US$20.32 | +18.7% | 16.11 | 6.91% | 0.55 | |
PB PBR Petróleo Brasileiro S.A. - Petrobras | Energy | NYSE | +14 | $66.9B | US$17.97 | +77.7% | 5.13 | 10.94% | -0.14 | |
TR TRGP Targa Resources Corp. | Energy | NYSE | +198 | $60.7B | US$282.91 | +75.9% | 26.44 | 1.64% | 0.70 | |
IM IMO Imperial Oil Limited | Energy | AMEX | +112 | $59.2B | US$122.52 | +90.3% | 27.41 | 2.15% | 0.82 | |
OK OKE ONEOK, Inc. | Energy | NYSE | +204 | $58.9B | US$93.52 | +20.3% | 15.66 | 4.87% | 0.71 | |
MP MPLX MPLX LP | Energy | NYSE | +54 | $57.9B | US$57.06 | +17.4% | 12.37 | 7.53% | 0.45 | |
BK BKR Baker Hughes Company | Energy | NASDAQ | +206 | $55.5B | US$55.95 | +81.4% | 16.86 | 1.74% | 0.96 | |
LN LNG Cheniere Energy, Inc. | Energy | NYSE | +152 | $55.0B | US$262.60 | +4.8% | 41.69 | 0.90% | -0.01 | |
FA FANG Diamondback Energy, Inc. | Energy | NASDAQ | +168 | $55.0B | US$195.54 | +49.8% | 175.55 | 2.56% | 0.41 | |
OX OXY Occidental Petroleum Corporation | Energy | NYSE | +150 | $54.6B | US$54.86 | +45.1% | 66.09 | 2.13% | 0.15 | |
CC CCO.TO Cameco Corporation | Energy | TSX | +37 | $52.2B | $119.93 | +75.6% | 93.68 | 0.17% | 1.00 | |
CV CVE Cenovus Energy Inc. | Energy | NYSE | +66 | $52.1B | US$27.95 | +127.6% | 13.93 | 2.51% | 0.50 | |
DV DVN Devon Energy Corporation | Energy | NYSE | +160 | $50.6B | US$43.83 | +55.5% | 11.27 | 2.57% | 0.43 | |
PP PPL.TO Pembina Pipeline Corporation | Energy | TSX | +200 | $41.8B | $71.81 | +39.9% | 25.13 | 4.29% | 0.70 | |
CC CCJ Cameco Corporation | Energy | NYSE | +74 | $37.3B | US$85.62 | +75.0% | 91.94 | 0.18% | 1.00 | |
EC EC Ecopetrol S.A. | Energy | NYSE | $33.1B | US$16.09 | +60.3% | 10.50 | 4.42% | -0.01 | ||
EQ EQT EQT Corporation | Energy | NYSE | +194 | $31.0B | US$49.56 | +3.4% | 9.98 | 1.25% | 0.55 | |
CQ CQP Cheniere Energy Partners, L.P. | Energy | NYSE | +45 | $30.2B | US$62.38 | +13.4% | 14.33 | 5.33% | 0.29 | |
PB PBA Pembina Pipeline Corporation | Energy | NYSE | +49 | $29.8B | US$51.29 | +35.4% | 24.83 | 4.43% | 0.70 | |
HA HAL Halliburton Company | Energy | NYSE | +183 | $29.4B | US$35.22 | +115.7% | 18.21 | 2.06% | 0.72 | |
TS TS Tenaris S.A. | Energy | NYSE | +9 | $28.9B | US$57.16 | +90.7% | 14.24 | 3.29% | 0.47 | |
FT FTI TechnipFMC plc | Energy | NYSE | $28.7B | US$72.07 | +138.4% | 25.57 | 0.30% | 0.70 | ||
TP TPL Texas Pacific Land Corporation | Energy | NYSE | +136 | $28.7B | US$415.70 | -2.4% | 55.86 | 0.59% | 0.59 | |
TO TOU.TO Tourmaline Oil Corp. | Energy | TSX | +1 | $24.3B | $62.49 | +9.4% | 33.06 | 3.34% | 0.25 |