Canadian Natural Resources Anticipates Oil Price Crash in 2026
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Fool
- Significant Dividend Growth: Canadian Natural Resources has increased its dividend by 9,300% over the past 24 years, currently boasting a yield more than four times that of the average S&P 500 company, reflecting its strong cash flow and commitment to shareholder returns.
- Uncertain Market Outlook: Although the company has historically raised dividends during oil price crashes, it anticipates a significant drop in oil prices in 2026 due to AI technologies enhancing production efficiency, which may pressure stock prices in the short term.
- Cost Advantage: With operating costs at just $21 per barrel, the company is well-positioned to survive downturns, and its $4.3 billion liquidity allows for strategic acquisitions during market lows.
- Lessons from History: During the 2014-2015 oil price crash, the company successfully navigated the crisis by acquiring Devon Energy's assets and increasing dividends, suggesting it may employ similar strategies to tackle upcoming challenges.
CNQ
$33.64+Infinity%1D
Analyst Views on CNQ
Wall Street analysts forecast CNQ stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CNQ is 40.27 USD with a low forecast of 33.66 USD and a high forecast of 62.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
4 Buy
4 Hold
0 Sell
Moderate Buy
Current: 33.180
Low
33.66
Averages
40.27
High
62.00
Current: 33.180
Low
33.66
Averages
40.27
High
62.00
About CNQ
Canadian Natural Resources Limited is a senior crude oil and natural gas production company. The Company has operations in its core areas located in Western Canada, the United Kingdom portion of the North Sea and Offshore Africa. Its Oil Sands Mining and Upgrading segment produces synthetic crude oil through bitumen mining and upgrading operations at Horizon Oil Sands (Horizon) and through the Company's direct and indirect interest in the Athabasca Oil Sands Project (AOSP). Within Western Canada in the Midstream and Refining segment, the Company maintains certain activities that include pipeline operations, an electricity co-generation system and an investment in the North West Redwater Partnership (NWRP), a general partnership formed to upgrade and refine bitumen in the Province of Alberta. Its Pelican Lake asset is a large, contiguous, shallow, medium crude oil pool. It produces natural gas in western Canada and has a significant land base in both the Montney and Deep Basin.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
