The consensus analyst price target for Imperial Oil was modestly raised to CA$108.29, as analysts cite the company’s strong balance sheet, low break-even costs, and reliable shareholder returns as key strengths supporting both growth and resilience.
Analyst Commentary
- Bullish analysts highlight Imperial Oil's strong balance sheet, positioning the company to withstand market volatility and pursue growth opportunities.
- The company's advantaged capital intensity and low WTI break-even costs improve profitability and reduce operational risk, even in lower oil price environments.
- Imperial Oil demonstrates a robust commitment to returning cash to shareholders via dividends and buybacks, supporting total shareholder return.
- The combined effect of financial strength and shareholder-friendly policies is seen as simultaneously offensive (growth) and defensive (stability) for energy investors.
- Bearish analysts express less optimism, moving to neutral stances, reflecting a balanced but not necessarily negative view on forward-looking risk/reward.
What's in the News
- The company reported second-quarter gross oil-equivalent production of 427,000 barrels per day, up from 404,000 barrels per day a year ago; net oil-equivalent production rose to 382,000 barrels per day from 340,000 barrels per day, while net natural gas production declined to 27 million cubic feet per day from 29 million cubic feet per day.
- For the first six months, gross oil-equivalent production increased to 418,000 barrels per day from 408,000 barrels per day, with net oil-equivalent production at 372,000 barrels per day compared to 351,000 barrels per day year-over-year; net natural gas production declined to 29 million cubic feet per day from 30 million cubic feet per day.
- No shares were repurchased under the buyback program announced in June 2025; total repurchases during the tranche were zero.
Valuation Changes
Summary of Valuation Changes for Imperial Oil
- The Consensus Analyst Price Target remained effectively unchanged, moving only marginally from CA$106.88 to CA$108.29.
- The Future P/E for Imperial Oil has risen slightly from 15.44x to 15.88x.
- The Net Profit Margin for Imperial Oil remained effectively unchanged, moving only marginally from 7.44% to 7.35%.
Disclaimer
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