In this article, I reiterate my bullish $CP thesis after the recent Investor Conference revealed a lot about merger synergies and re-shoring opportunities.

I just published an article, explaining why I'm buying more energy stocks.

This includes a discussion of significant changes in expected supply growth, as even the Permian is now expected to see peak production before the end of 2024.

I also discuss two stocks that I'm buying: $PXD and $CNQ

Takeaway

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Union Pacific presents an attractive investment opportunity despite ongoing economic challenges. As a dividend investor, I've been strategically buying cyclical stocks like UNP on major corrections.

The company's moat as America's largest independent public railroad, its exposure to diverse transportation segments, and its pricing power contribute to its competitive advantage.

Aligning with Buffett's investment principles, UNP exhibits stable and predictable earnings, strong management, and healthy free cash flow.

While its earnings are currently under pressure due to slower economic growth, UNP's plans to leverage its robust network, secure new business deals, and improve operating efficiencies indicate management's commitment to driving growth.

With a solid dividend track record and a reasonable valuation, UNP remains an attractive long-term investment despite potential short-term downsides.

I just published an article covering my macro and market outlook, especially in light of the pending Fed interest rate decision.

"Takeaway

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The current state of the economy and the tricky situation of the Federal Reserve pose challenges for investors. Balancing inflation and economic growth is a delicate task for the Fed, as it needs to consider both factors in its policy decisions.

Sticky inflation and weakening economic growth indicate that the Fed's path forward is uncertain.

Inflation remains a concern, and while it may decline in the future, it is unlikely to settle close to the Fed's target of 2%, which is an issue, as the Fed is running out of time, given the tremendous pressure on the banking system and Federal interest payments.

Furthermore, economic indicators point towards a slowdown, increasing the divergence between growth and inflation.

The Fed's actions and comments, as well as upcoming inflation data, will be crucial in determining the market's direction.

With these factors in mind, it is prudent to approach investments cautiously and be prepared for potential corrections."

Takeaway

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In anticipation of a potential energy crisis and the shift from growth to value, it is essential to strategically position oneself in the oil market. The recent decision by OPEC to cut oil output further underscores the tightening supply-demand dynamics. Amid weakening supply growth and a rebounding demand, oil prices are poised to surge.

Two notable picks that align with my outlook are Pioneer Natural Resources and Canadian Natural Resources.

PXD shines with its extensive inventory of high-quality reserves in the Permian region, leading to impressive breakeven prices and strong production margins.

The company's commitment to maximizing shareholder value is visible through its distribution of excess free cash flow via regular and special dividends.

CNQ stands out due to its substantial reserves in Canada's oil sands, poised to benefit from improved pricing and infrastructure developments. The company's efficient operations and low breakeven point make it a reliable cash generator.

Just like PXD, CNQ's dedication to shareholder returns is based on consistent dividend increases and the potential for aggressive special dividends, especially if oil prices reach or exceed my projected target of $100 per barrel.

By strategically investing in these companies, investors can position themselves to benefit from the tightening oil supply and the subsequent surge in prices, ultimately capitalizing on the evolving energy landscape.

For the first time since January, I wrote an article updating my dividend portfolio, which consists of more than 90% of my net worth:

People have asked me what I'm buying.

Well, here's the answer. Three stocks I have been buying aggressively:

In this article, I discuss my housing/homebuilding outlook.

"While the current market conditions appear favorable for homebuilders, there are mounting risks that make the risk/reward of investing in homebuilding stocks less favorable in the long term. A potential shift in unemployment could have a significant impact on the housing market, causing higher default rates, increased supply, falling property prices, and a decline in new home construction."