Whitecap Resources (WCP.TO)

Great example of brilliant execution but it has the support of a very healthy dividend yield and he thinks there is a strong argument to see the dividend growth coming out. Of all the dividend players, he would rank this as #2. Has one of the lowest, if not the lowest payout ratios in the sector. Tremendous assets in the Cardium as well as exposure to the fabulous Montney play in Northeast BC and western Alberta. Below $10 it is a pretty good buy. (See Top Picks.)

Oil/gas exploration in Western Canada. Strong player in west central Saskatchewan especially in the Dogsland Viking area. Also, in the west central Alberta area with Pembina (PPL-T) which is Cardium gas. Also, an active hedger and lock in their net backs. Dividend yield of 6.11%. Cheap at 4.7X 2013 cash flow. Payout ratio is under 100%.

Very good story. Management is very focused on costs and returning capital. Quarter after quarter they have been beating and exceeding expectations. If there were a yield play she would want in the smaller cap space, it would be this one. The only knock against it is that it is currently yielding about 6.5%, which is lower than Crescent Point (CPG-T). With oil coming down, it might be a buy at a slightly lower level but you could pick some up at this point and by more as time goes on..

Great cash flow generator. One of the few high income oil/gas companies that actually has a payout ratio, including CapX, of less than 100%. Price target of $11 is very much achievable. Very nice yield of about 6%..

Likes what management is doing. They are growing internally only. Has a $12 target. 6% dividend.

One of the new dividend payers. Looks pretty good on its payout ratios and operationally. Prefers buying this below $9. Good for dividend portfolios. 6.4% dividend.

(Top Pick Oct 9/12, Up 16.02%)

A reasonably good stock. Feels the dividend is safe. Has a pretty clean balance sheet. Growth rate in production has been good.

(A Top Pick March 29/12. Up 2.29%.) Should be able to achieve some high single digit growth on the asset side in addition to receiving the 6.70% dividend. Good blend of growth and income. Assets in the Viking and Cardium pay back in 1-1.5 years. Modest debt. Adopted a three-year hedging program. 20%-29% upside is fairly achievable. An overhang in the near-term is an asset sale out of Barrick, which has one asset that would be a perfect fit for them, but would require financing.

One of the better dividend stocks in the sector. 1.8% dividend. 4^th quarter production was at a record. As long as production continues to increase and with the dividend and growth it is one of the better plays in the sector.

Has the most sustainable dividend model in Canada. Yield is 6. 47 %. From strictly cash flow, not using any debt, they can pay the yield and grow production by about 5%. Have a reserve life of over 14 years. Clean balance sheet at 1X debt to cash flow. Trading around 5.5X this year’s cash flow and could easily move up to 6X.

(Top Pick Oct 9/12, Up 19.18%)

(Market Call Minute.) Using a 7% valuation, it is pretty much like Crescent Point (CPG-T).

Nice run since mid 2012. There is another 10% before resistance. 6.24% yield.

Recent conversion to a dividend company and there could be room to increase the dividend later this year. Their model firmly sustains a 5% growth rate in the yield is now about 6.8%. This is the most sustainable dividend model in Canada by his math. Trades at a 5.5 multiple.