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CVE

Cenovus Energy TSX:CVE Stock Report

Last Price

CA$21.26

Market Cap

CA$41.1b

7D

-12.9%

1Y

108.8%

Updated

06 Aug, 2022

Data

Company Financials +
CVE fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance5/6
Financial Health5/6
Dividends3/6

CVE Stock Overview

Cenovus Energy Inc., together with its subsidiaries, develops, produces, and markets crude oil, natural gas liquids, and natural gas in Canada, the United States, and the Asia Pacific region.

Cenovus Energy Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Cenovus Energy
Historical stock prices
Current Share PriceCA$21.26
52 Week HighCA$31.19
52 Week LowCA$9.23
Beta3.2
1 Month Change-9.65%
3 Month Change-19.10%
1 Year Change108.84%
3 Year Change88.48%
5 Year Change109.46%
Change since IPO-24.88%

Recent News & Updates

Shareholder Returns

CVECA Oil and GasCA Market
7D-12.9%-7.0%-0.8%
1Y108.8%40.1%-2.0%

Return vs Industry: CVE exceeded the Canadian Oil and Gas industry which returned 40.1% over the past year.

Return vs Market: CVE exceeded the Canadian Market which returned -1.9% over the past year.

Price Volatility

Is CVE's price volatile compared to industry and market?
CVE volatility
CVE Average Weekly Movement7.3%
Oil and Gas Industry Average Movement11.3%
Market Average Movement10.8%
10% most volatile stocks in CA Market19.4%
10% least volatile stocks in CA Market4.4%

Stable Share Price: CVE is less volatile than 75% of Canadian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: CVE's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
20095,938Alex Pourbaixhttps://www.cenovus.com

Cenovus Energy Inc., together with its subsidiaries, develops, produces, and markets crude oil, natural gas liquids, and natural gas in Canada, the United States, and the Asia Pacific region. The company operates through Oil Sands, Conventional, Offshore, Canadian Manufacturing, U.S. Manufacturing, and Retail segments.

Cenovus Energy Fundamentals Summary

How do Cenovus Energy's earnings and revenue compare to its market cap?
CVE fundamental statistics
Market CapCA$41.05b
Earnings (TTM)CA$4.17b
Revenue (TTM)CA$61.79b

9.9x

P/E Ratio

0.7x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CVE income statement (TTM)
RevenueCA$61.79b
Cost of RevenueCA$46.34b
Gross ProfitCA$15.45b
Other ExpensesCA$11.28b
EarningsCA$4.17b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)2.16
Gross Margin25.00%
Net Profit Margin6.74%
Debt/Equity Ratio42.7%

How did CVE perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

9%

Payout Ratio

Does CVE pay a reliable dividends?

See CVE dividend history and benchmarks
When do you need to buy CVE by to receive an upcoming dividend?
Cenovus Energy dividend dates
Ex Dividend DateSep 14 2022
Dividend Pay DateSep 29 2022
Days until Ex dividend37 days
Days until Dividend pay date52 days

Does CVE pay a reliable dividends?

See CVE dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is CVE undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CVE?

Other financial metrics that can be useful for relative valuation.

CVE key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.8x
Enterprise Value/EBITDA4.2x
PEG Ratio-1x

Price to Earnings Ratio vs Peers

How does CVE's PE Ratio compare to its peers?

CVE PE Ratio vs Peers
The above table shows the PE ratio for CVE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average7.2x
IMO Imperial Oil
6.6x-11.4%CA$35.0b
SU Suncor Energy
5.7x-21.3%CA$53.5b
TOU Tourmaline Oil
10x24.0%CA$24.4b
CNQ Canadian Natural Resources
6.7x-20.0%CA$75.4b
CVE Cenovus Energy
9.9x-9.7%CA$41.1b

Price-To-Earnings vs Peers: CVE is expensive based on its Price-To-Earnings Ratio (9.9x) compared to the peer average (7.2x).


Price to Earnings Ratio vs Industry

How does CVE's PE Ratio compare vs other companies in the CA Oil and Gas Industry?

Price-To-Earnings vs Industry: CVE is expensive based on its Price-To-Earnings Ratio (9.9x) compared to the Canadian Oil and Gas industry average (5.7x)


Price to Earnings Ratio vs Fair Ratio

What is CVE's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CVE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.9x
Fair PE Ratio12.7x

Price-To-Earnings vs Fair Ratio: CVE is good value based on its Price-To-Earnings Ratio (9.9x) compared to the estimated Fair Price-To-Earnings Ratio (12.7x).


Share Price vs Fair Value

What is the Fair Price of CVE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CVE (CA$21.26) is trading below our estimate of fair value (CA$67.31)

Significantly Below Fair Value: CVE is trading below fair value by more than 20%.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.


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Future Growth

How is Cenovus Energy forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-9.7%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CVE's earnings are forecast to decline over the next 3 years (-9.7% per year).

Earnings vs Market: CVE's earnings are forecast to decline over the next 3 years (-9.7% per year).

High Growth Earnings: CVE's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CVE's revenue is expected to decline over the next 3 years (-5.2% per year).

High Growth Revenue: CVE's revenue is forecast to decline over the next 3 years (-5.2% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CVE's Return on Equity is forecast to be high in 3 years time (22.8%)


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Past Performance

How has Cenovus Energy performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


3.4%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CVE has high quality earnings.

Growing Profit Margin: CVE's current net profit margins (6.7%) are higher than last year (0.3%).


Past Earnings Growth Analysis

Earnings Trend: CVE's earnings have grown by 3.4% per year over the past 5 years.

Accelerating Growth: CVE's earnings growth over the past year (5107.5%) exceeds its 5-year average (3.4% per year).

Earnings vs Industry: CVE earnings growth over the past year (5107.5%) exceeded the Oil and Gas industry 162.2%.


Return on Equity

High ROE: CVE's Return on Equity (16%) is considered low.


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Financial Health

How is Cenovus Energy's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CVE's short term assets (CA$15.3B) exceed its short term liabilities (CA$8.9B).

Long Term Liabilities: CVE's short term assets (CA$15.3B) do not cover its long term liabilities (CA$20.7B).


Debt to Equity History and Analysis

Debt Level: CVE's net debt to equity ratio (28.7%) is considered satisfactory.

Reducing Debt: CVE's debt to equity ratio has reduced from 68% to 42.7% over the past 5 years.

Debt Coverage: CVE's debt is well covered by operating cash flow (77.2%).

Interest Coverage: CVE's interest payments on its debt are well covered by EBIT (12.7x coverage).


Balance Sheet


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Dividend

What is Cenovus Energy current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.98%

Current Dividend Yield

Upcoming Dividend Payment

TodayAug 07 2022Ex Dividend DateSep 14 2022Dividend Pay DateSep 29 202215 days from Ex DividendBuy in the next 37 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: CVE's dividend (1.98%) is higher than the bottom 25% of dividend payers in the Canadian market (1.96%).

High Dividend: CVE's dividend (1.98%) is low compared to the top 25% of dividend payers in the Canadian market (5.36%).


Stability and Growth of Payments

Stable Dividend: CVE's dividend payments have been volatile in the past 10 years.

Growing Dividend: CVE's dividend payments have fallen over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (9.2%), CVE's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (14.4%), CVE's dividend payments are thoroughly covered by cash flows.


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Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Alex Pourbaix (56 yo)

4.75yrs

Tenure

CA$13,993,895

Compensation

Mr. Alexander J. Pourbaix, also known as Alex, serves as President, Chief Executive Officer and Director of Cenovus Energy Inc. since November 6, 2017. Mr. Pourbaix is responsible for establishing the stra...


CEO Compensation Analysis

Compensation vs Market: Alex's total compensation ($USD10.81M) is above average for companies of similar size in the Canadian market ($USD8.19M).

Compensation vs Earnings: Alex's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CVE's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

Experienced Board: CVE's board of directors are considered experienced (3.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CVE insiders have sold more shares than they have bought in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Cenovus Energy Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Cenovus Energy Inc.
  • Ticker: CVE
  • Exchange: TSX
  • Founded: 2009
  • Industry: Integrated Oil and Gas
  • Sector: Energy
  • Implied Market Cap: CA$41.055b
  • Shares outstanding: 1.93b
  • Website: https://www.cenovus.com

Number of Employees


Location

  • Cenovus Energy Inc.
  • 225, 6 Avenue South West
  • PO Box 766
  • Calgary
  • Alberta
  • T2P 0M5
  • Canada

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/06 00:00
End of Day Share Price2022/08/05 00:00
Earnings2022/06/30
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.