CENOVUS ENERGY INC - CVECN 2.404 PERP (CVE-PR-A.CA) Stock Fundamental Analysis
TSX:CVE-PR-A - Toronto Stock Exchange - CA15135U3073 - Currency: CAD
Taking everything into account, CVE-PR-A scores 6 out of 10 in our fundamental rating. CVE-PR-A was compared to 219 industry peers in the Oil, Gas & Consumable Fuels industry. Both the profitability and the financial health of CVE-PR-A get a neutral evaluation. Nothing too spectacular is happening here. CVE-PR-A is valued quite cheap, while showing a decent growth score. This is a good combination! These ratings could make CVE-PR-A a good candidate for value investing.
1. Profitability
1.1 Basic Checks
In the past year CVE-PR-A was profitable.
In the past year CVE-PR-A had a positive cash flow from operations.
Of the past 5 years CVE-PR-A 4 years were profitable.
CVE-PR-A had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
CVE-PR-A has a Return On Assets of 5.49%. This is amongst the best in the industry. CVE-PR-A outperforms 83.26% of its industry peers.
CVE-PR-A's Return On Equity of 10.44% is amongst the best of the industry. CVE-PR-A outperforms 81.45% of its industry peers.
CVE-PR-A has a Return On Invested Capital of 8.18%. This is amongst the best in the industry. CVE-PR-A outperforms 85.07% of its industry peers.
CVE-PR-A had an Average Return On Invested Capital over the past 3 years of 11.92%. This is above the industry average of 7.60%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.49% | ||
| ROE | 10.44% | ||
| ROIC | 8.18% |
ROA(3y)8.18%
ROA(5y)3.66%
ROE(3y)15.96%
ROE(5y)7.2%
ROIC(3y)11.92%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of CVE-PR-A (5.72%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of CVE-PR-A has declined.
CVE-PR-A has a Operating Margin (9.37%) which is in line with its industry peers.
CVE-PR-A's Operating Margin has improved in the last couple of years.
The Gross Margin of CVE-PR-A (32.49%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of CVE-PR-A has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.37% | ||
| PM (TTM) | 5.72% | ||
| GM | 32.49% |
OM growth 3Y-3.42%
OM growth 5Y2.33%
PM growth 3Y68.65%
PM growth 5Y-12.05%
GM growth 3Y-13%
GM growth 5Y-11.02%
2. Health
2.1 Basic Checks
CVE-PR-A has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
CVE-PR-A has less shares outstanding than it did 1 year ago.
CVE-PR-A has more shares outstanding than it did 5 years ago.
CVE-PR-A has a worse debt/assets ratio than last year.
2.2 Solvency
CVE-PR-A has an Altman-Z score of 2.51. This is not the best score and indicates that CVE-PR-A is in the grey zone with still only limited risk for bankruptcy at the moment.
CVE-PR-A has a better Altman-Z score (2.51) than 76.92% of its industry peers.
The Debt to FCF ratio of CVE-PR-A is 2.52, which is a good value as it means it would take CVE-PR-A, 2.52 years of fcf income to pay off all of its debts.
CVE-PR-A has a Debt to FCF ratio of 2.52. This is amongst the best in the industry. CVE-PR-A outperforms 84.62% of its industry peers.
CVE-PR-A has a Debt/Equity ratio of 0.34. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of CVE-PR-A (0.34) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.52 | ||
| Altman-Z | 2.51 |
ROIC/WACC1.15
WACC7.14%
2.3 Liquidity
A Current Ratio of 1.42 indicates that CVE-PR-A should not have too much problems paying its short term obligations.
CVE-PR-A's Current ratio of 1.42 is fine compared to the rest of the industry. CVE-PR-A outperforms 72.85% of its industry peers.
CVE-PR-A has a Quick Ratio of 1.42. This is a bad value and indicates that CVE-PR-A is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of CVE-PR-A (0.81) is better than 61.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.42 | ||
| Quick Ratio | 0.81 |
3. Growth
3.1 Past
CVE-PR-A shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -22.59%.
Measured over the past years, CVE-PR-A shows a very strong growth in Earnings Per Share. The EPS has been growing by 33.99% on average per year.
Looking at the last year, CVE-PR-A shows a small growth in Revenue. The Revenue has grown by 3.97% in the last year.
CVE-PR-A shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.88% yearly.
EPS 1Y (TTM)-22.59%
EPS 3Y87.24%
EPS 5Y33.99%
EPS Q2Q%-81.79%
Revenue 1Y (TTM)3.97%
Revenue growth 3Y5.4%
Revenue growth 5Y21.88%
Sales Q2Q%-9.19%
3.2 Future
CVE-PR-A is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.34% yearly.
Based on estimates for the next years, CVE-PR-A will show a decrease in Revenue. The Revenue will decrease by -3.42% on average per year.
EPS Next Y31.65%
EPS Next 2Y26.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-8.97%
Revenue Next 2Y-4.95%
Revenue Next 3Y-3.42%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CVE-PR-A is valuated correctly with a Price/Earnings ratio of 13.84.
Based on the Price/Earnings ratio, CVE-PR-A is valued a bit cheaper than 64.25% of the companies in the same industry.
CVE-PR-A's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
The Price/Forward Earnings ratio is 10.51, which indicates a very decent valuation of CVE-PR-A.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CVE-PR-A is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of CVE-PR-A to the average of the S&P500 Index (22.10), we can say CVE-PR-A is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.84 | ||
| Fwd PE | 10.51 |
4.2 Price Multiples
CVE-PR-A's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CVE-PR-A is cheaper than 80.54% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CVE-PR-A indicates a somewhat cheap valuation: CVE-PR-A is cheaper than 71.04% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.81 | ||
| EV/EBITDA | 4.9 |
4.3 Compensation for Growth
CVE-PR-A's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of CVE-PR-A may justify a higher PE ratio.
CVE-PR-A's earnings are expected to grow with 26.34% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.44
PEG (5Y)0.41
EPS Next 2Y26.34%
EPS Next 3YN/A
5. Dividend
5.1 Amount
CVE-PR-A has a Yearly Dividend Yield of 3.97%. Purely for dividend investing, there may be better candidates out there.
CVE-PR-A's Dividend Yield is a higher than the industry average which is at 6.94.
CVE-PR-A's Dividend Yield is rather good when compared to the S&P500 average which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
5.2 History
The dividend of CVE-PR-A is nicely growing with an annual growth rate of 31.72%!
CVE-PR-A has been paying a dividend for at least 10 years, so it has a reliable track record.
CVE-PR-A has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)31.72%
Div Incr Years0
Div Non Decr Years7
5.3 Sustainability
CVE-PR-A pays out 49.94% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of CVE-PR-A is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP49.94%
EPS Next 2Y26.34%
EPS Next 3YN/A
CENOVUS ENERGY INC - CVECN 2.404 PERP
TSX:CVE-PR-A (3/7/2025, 7:00:00 PM)
22.7
+0.03 (+0.13%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners50.86%
Inst Owner ChangeN/A
Ins Owners0.81%
Ins Owner ChangeN/A
Market Cap41.40B
Analysts81.82
Price Target33.98 (49.69%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.97% |
Yearly Dividend0.84
Dividend Growth(5Y)31.72%
DP49.94%
Div Incr Years0
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-39.05%
Min EPS beat(2)-72.57%
Max EPS beat(2)-5.52%
EPS beat(4)1
Avg EPS beat(4)-21.32%
Min EPS beat(4)-72.57%
Max EPS beat(4)14.37%
EPS beat(8)4
Avg EPS beat(8)-9.42%
EPS beat(12)6
Avg EPS beat(12)-10.62%
EPS beat(16)7
Avg EPS beat(16)-22.38%
Revenue beat(2)1
Avg Revenue beat(2)-6.41%
Min Revenue beat(2)-16.62%
Max Revenue beat(2)3.8%
Revenue beat(4)2
Avg Revenue beat(4)-1.38%
Min Revenue beat(4)-16.62%
Max Revenue beat(4)9.24%
Revenue beat(8)4
Avg Revenue beat(8)-1.23%
Revenue beat(12)8
Avg Revenue beat(12)6.25%
Revenue beat(16)12
Avg Revenue beat(16)7.51%
PT rev (1m)3.95%
PT rev (3m)11.12%
EPS NQ rev (1m)0%
EPS NQ rev (3m)13.59%
EPS NY rev (1m)3.48%
EPS NY rev (3m)9.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-2.82%
Revenue NY rev (3m)0.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.84 | ||
| Fwd PE | 10.51 | ||
| P/S | 0.76 | ||
| P/FCF | 9.81 | ||
| P/OCF | 4.48 | ||
| P/B | 1.39 | ||
| P/tB | 1.54 | ||
| EV/EBITDA | 4.9 |
EPS(TTM)1.64
EY7.22%
EPS(NY)2.16
Fwd EY9.52%
FCF(TTM)2.31
FCFY10.19%
OCF(TTM)5.06
OCFY22.3%
SpS29.76
BVpS16.31
TBVpS14.71
PEG (NY)0.44
PEG (5Y)0.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.49% | ||
| ROE | 10.44% | ||
| ROCE | 10.34% | ||
| ROIC | 8.18% | ||
| ROICexc | 8.73% | ||
| ROICexgc | 9.31% | ||
| OM | 9.37% | ||
| PM (TTM) | 5.72% | ||
| GM | 32.49% | ||
| FCFM | 7.77% |
ROA(3y)8.18%
ROA(5y)3.66%
ROE(3y)15.96%
ROE(5y)7.2%
ROIC(3y)11.92%
ROIC(5y)N/A
ROICexc(3y)12.89%
ROICexc(5y)N/A
ROICexgc(3y)13.8%
ROICexgc(5y)N/A
ROCE(3y)15.07%
ROCE(5y)N/A
ROICexcg growth 3Y-0.51%
ROICexcg growth 5Y16.37%
ROICexc growth 3Y0.11%
ROICexc growth 5Y16.58%
OM growth 3Y-3.42%
OM growth 5Y2.33%
PM growth 3Y68.65%
PM growth 5Y-12.05%
GM growth 3Y-13%
GM growth 5Y-11.02%
F-Score5
Asset Turnover0.96
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 2.52 | ||
| Debt/EBITDA | 1.01 | ||
| Cap/Depr | 102.96% | ||
| Cap/Sales | 9.24% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 92.75% | ||
| Profit Quality | 135.87% | ||
| Current Ratio | 1.42 | ||
| Quick Ratio | 0.81 | ||
| Altman-Z | 2.51 |
F-Score5
WACC7.14%
ROIC/WACC1.15
Cap/Depr(3y)91.58%
Cap/Depr(5y)68.62%
Cap/Sales(3y)7.67%
Cap/Sales(5y)7.01%
Profit Quality(3y)110.56%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-22.59%
EPS 3Y87.24%
EPS 5Y33.99%
EPS Q2Q%-81.79%
EPS Next Y31.65%
EPS Next 2Y26.34%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)3.97%
Revenue growth 3Y5.4%
Revenue growth 5Y21.88%
Sales Q2Q%-9.19%
Revenue Next Year-8.97%
Revenue Next 2Y-4.95%
Revenue Next 3Y-3.42%
Revenue Next 5YN/A
EBIT growth 1Y-9.6%
EBIT growth 3Y1.79%
EBIT growth 5Y24.73%
EBIT Next Year121.01%
EBIT Next 3Y31.64%
EBIT Next 5Y23.65%
FCF growth 1Y36.57%
FCF growth 3Y7.94%
FCF growth 5Y14.96%
OCF growth 1Y25%
OCF growth 3Y15.98%
OCF growth 5Y22.96%