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Suncor Stock Has Fallen 3% in the Third Quarter

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Suncor’s stock performance compared to SPY

Suncor (SU) stock has fallen 3% since July 2—the beginning of the current quarter. Suncor has underperformed the SPDR S&P 500 ETF (SPY), which is a broader market indicator. SPY has risen 7% during the same period.

Royal Dutch Shell (RDS.A) has fallen 2% since July 2. Chevron (CVX) and BP (BP) have declined 3% and 1%, respectively, so far during the quarter.

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Suncor’s stock performance in the third quarter

Suncor stock has fallen in the current quarter due to the fall in crude oil prices.

In the third quarter, WTI, the benchmark oil, has declined 4%. Earlier in the quarter, oil prices fell as main oil producers increased their oil supply. Also, demand concerns impacted oil prices.

Later in the quarter, oil prices started recovering. Recently, fears about US sanctions on Iran and the trade war between the US and China have been supporting oil prices. Oil prices didn’t fully recover the loss incurred earlier in the quarter. Overall, oil prices have declined during the quarter.

However, Suncor stock didn’t fall steeply due to its second-quarter earnings, which beat the estimates. In the second quarter, Suncor’s revenues beat analysts’ estimate. Suncor’s adjusted EPS was at 0.73 Canadian dollars, which beat the estimated EPS by ~4%. Also, Suncor’s second-quarter adjusted EPS was 6x higher than its adjusted EPS in the second quarter of 2017.

In the next part, we’ll see what Suncor’s moving averages suggest.

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