This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

4 Stocks the Pros Hate -- But You Should Love

Canadian Natural Resources

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Another commodity stock that pros hate right now is Canadian Natural Resources (CNQ), an independent oil and gas company with proven reserves of 7.5 billion barrels of oil equivalent. Institutions sold off close to 10 million shares of CNQ in the last quarter, adding onto big year-to-date losses to decrease holdings in CNQ by $3.2 billion.

Like Newmont, CNQ's biggest catalyst for tumbling in 2012 has been the price of oil. Despite prolonged crude prices in the triple digits, oil prices have gotten shoved down into the low $80s, a drop that materially impacts profitability for oil companies like Canadian Natural Resources. Still, there's reason to be a fan of CNQ too right now -- the firm owns a significant number of low-cost oil producing properties, positioning that should help the firm keep a handle on profitability even under the pressure of slumping crude prices.

>>5 Energy Stocks T. Boone Pickens Loves Right Now

CNQ generates significant cash flows from its operations right now, and while it doesn't pay out a particularly exciting dividend (it yields just 1.5% at last count), that cash is nearly enough to fund capital spending on new drilling operations. The fact that CNQ doesn't need to pile on excessive amounts of debt from the capital markets for growth is a good sign.

Still, as with Newmont, I'd recommend waiting for a turnaround in crude prices (and sentiment for Canadian Natural Resources) before buying this stock - institutions still hate it, after all.

3 of 5

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,098.45 +18.88 0.11%
S&P 500 2,003.37 +6.63 0.33%
NASDAQ 4,580.2710 +22.5760 0.50%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs