The Canadian energy stocks we’ve found have seen share purchases by company insiders recently
SmallCapPower | April 30, 2020: Canadian oil and gas stocks have been largely unloved in recent weeks, as the steep slide in the oil price has led to cuts in corporate spending as well as dividend payouts. That being said, today we have drilled down and discovered two Canadian energy stocks that have seen insiders step in and buy company shares, a sign of confidence in their business’ prospects.
*Returns are based on closing stock prices as of April 29, 2020
Canacol Energy Ltd. (TSX:CNE) – $3.57
Canacol Energy is an exploration and production company with operations focused in Colombia. The Company is Colombia’s largest independent natural gas producer, with approximately 80% of its gas production sold under take-or-pay contracts denominated in U.S. dollars. During 2019, Canacol reported a 24% increase in total natural gas revenue to US$212.4 million, while adjusted funds from operations for the year rose 19% to US$124.9 million. The Company boasts a strong balance sheet, with growing cash flow and little debt repayable before 2025. CNE stock currently yields about 6%. Between April 15 and April 28, 2020, insider investor Fourth Sail Capital purchased a little more than 500,000 CNE shares on the open market.
- One-Month Return: 1.4%
Yangarra Resources Ltd. (TSX:YGR) – $0.51
Yangarra Resources is a junior oil and gas company engaged in the exploration, development and production of natural gas and oil with operations in Western Canada, with a main focus on central Alberta, where it has extensive infrastructure and land holdings. During 2019, Yangarra saw a 33% year-over-year surge in average production to 12,572 boe/d (47% liquids), while funds flow from operations for the year rose 12% to $92 million. The Company also increased its Proved plus Probable reserves by 15% in 2019. Between March 20 and March 30, 2020, Yangarra Resources insiders purchased a total of 351,150 YGR shares on the open market.
- One-Month Return: 59%
Disclosure: Neither the author nor his family own shares in any of the companies mentioned above.
To read our full disclosure, please click on the button below:
