CENOVUS ENERGY INC (CVE.CA) Stock Fundamental Analysis
Canada - TSX:CVE - CA15135U1093 - Common Stock
23.47 CAD
-0.44 (-1.84%)
Taking everything into account, CVE scores 5 out of 10 in our fundamental rating. CVE was compared to 218 industry peers in the Oil, Gas & Consumable Fuels industry. CVE has an average financial health and profitability rating. CVE has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
CVE had positive earnings in the past year.
CVE had a positive operating cash flow in the past year.
CVE had positive earnings in 4 of the past 5 years.
CVE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 4.74%, CVE is doing good in the industry, outperforming 78.44% of the companies in the same industry.
CVE's Return On Equity of 9.01% is fine compared to the rest of the industry. CVE outperforms 65.60% of its industry peers.
CVE's Return On Invested Capital of 6.17% is fine compared to the rest of the industry. CVE outperforms 77.52% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for CVE is significantly above the industry average of 6.89%.
The 3 year average ROIC (11.92%) for CVE is well above the current ROIC(6.17%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.74% | ||
| ROE | 9.01% | ||
| ROIC | 6.17% |
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
CVE's Profit Margin of 5.13% is in line compared to the rest of the industry. CVE outperforms 56.42% of its industry peers.
CVE's Profit Margin has declined in the last couple of years.
CVE has a Operating Margin of 7.37%. This is comparable to the rest of the industry: CVE outperforms 51.83% of its industry peers.
CVE's Operating Margin has improved in the last couple of years.
CVE has a Gross Margin (31.62%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of CVE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.37% | ||
| PM (TTM) | 5.13% | ||
| GM | 31.62% |
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 has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
CVE has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, CVE has more shares outstanding
Compared to 1 year ago, CVE has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.46 indicates that CVE is not a great score, but indicates only limited risk for bankruptcy at the moment.
CVE has a Altman-Z score of 2.46. This is in the better half of the industry: CVE outperforms 72.48% of its industry peers.
The Debt to FCF ratio of CVE is 3.52, which is a good value as it means it would take CVE, 3.52 years of fcf income to pay off all of its debts.
CVE has a better Debt to FCF ratio (3.52) than 84.86% of its industry peers.
CVE has a Debt/Equity ratio of 0.34. This is a healthy value indicating a solid balance between debt and equity.
CVE has a Debt to Equity ratio (0.34) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 3.52 | ||
| Altman-Z | 2.46 |
ROIC/WACC0.84
WACC7.37%
2.3 Liquidity
CVE has a Current Ratio of 1.32. This is a normal value and indicates that CVE is financially healthy and should not expect problems in meeting its short term obligations.
CVE has a better Current ratio (1.32) than 68.35% of its industry peers.
CVE has a Quick Ratio of 1.32. This is a bad value and indicates that CVE is not financially healthy enough and could expect problems in meeting its short term obligations.
CVE has a Quick ratio of 0.78. This is comparable to the rest of the industry: CVE outperforms 58.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.78 |
3. Growth
3.1 Past
CVE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -12.33%.
The Earnings Per Share has been growing by 33.97% on average over the past years. This is a very strong growth
The Revenue has been growing slightly by 3.97% in the past year.
The Revenue has been growing by 21.88% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-12.33%
EPS 3Y87.2%
EPS 5Y33.97%
EPS Q2Q%73.41%
Revenue 1Y (TTM)3.97%
Revenue growth 3Y5.4%
Revenue growth 5Y21.88%
Sales Q2Q%-5.82%
3.2 Future
CVE is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 23.27% yearly.
Based on estimates for the next years, CVE will show a decrease in Revenue. The Revenue will decrease by -3.75% on average per year.
EPS Next Y5.31%
EPS Next 2Y-2.19%
EPS Next 3Y13.88%
EPS Next 5Y23.27%
Revenue Next Year-8.89%
Revenue Next 2Y-5.46%
Revenue Next 3Y-3.75%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
CVE is valuated correctly with a Price/Earnings ratio of 13.65.
Based on the Price/Earnings ratio, CVE is valued a bit cheaper than 66.51% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.03. CVE is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 14.96, CVE is valued correctly.
CVE's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.27, CVE is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.65 | ||
| Fwd PE | 14.96 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, CVE is valued cheaply inside the industry as 85.32% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, CVE is valued a bit cheaper than 68.81% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 14.1 | ||
| EV/EBITDA | 5.76 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of CVE may justify a higher PE ratio.
A more expensive valuation may be justified as CVE's earnings are expected to grow with 13.88% in the coming years.
PEG (NY)2.57
PEG (5Y)0.4
EPS Next 2Y-2.19%
EPS Next 3Y13.88%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.41%, CVE has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 5.34, CVE pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, CVE pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.41% |
5.2 History
The dividend of CVE is nicely growing with an annual growth rate of 31.72%!
CVE has been paying a dividend for at least 10 years, so it has a reliable track record.
CVE has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)31.72%
Div Incr Years4
Div Non Decr Years4
5.3 Sustainability
CVE pays out 52.38% of its income as dividend. This is a bit on the high side, but may be sustainable.
CVE's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP52.38%
EPS Next 2Y-2.19%
EPS Next 3Y13.88%
TSX:CVE (11/4/2025, 7:00:00 PM)
23.47
-0.44 (-1.84%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners51.38%
Inst Owner ChangeN/A
Ins Owners0.67%
Ins Owner ChangeN/A
Market Cap41.95B
Revenue(TTM)54.28B
Net Income(TTM)2.65B
Analysts80
Price Target28.06 (19.56%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.41% |
Yearly Dividend0.84
Dividend Growth(5Y)31.72%
DP52.38%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)101.63%
Min EPS beat(2)25.67%
Max EPS beat(2)177.6%
EPS beat(4)2
Avg EPS beat(4)31.19%
Min EPS beat(4)-72.97%
Max EPS beat(4)177.6%
EPS beat(8)4
Avg EPS beat(8)15.06%
EPS beat(12)6
Avg EPS beat(12)3.89%
EPS beat(16)8
Avg EPS beat(16)-6.48%
Revenue beat(2)0
Avg Revenue beat(2)-4.79%
Min Revenue beat(2)-5.43%
Max Revenue beat(2)-4.15%
Revenue beat(4)1
Avg Revenue beat(4)-4.06%
Min Revenue beat(4)-10.43%
Max Revenue beat(4)3.8%
Revenue beat(8)4
Avg Revenue beat(8)-0.2%
Revenue beat(12)6
Avg Revenue beat(12)3.13%
Revenue beat(16)10
Avg Revenue beat(16)5.12%
PT rev (1m)2.61%
PT rev (3m)8.92%
EPS NQ rev (1m)10.41%
EPS NQ rev (3m)31.46%
EPS NY rev (1m)6.77%
EPS NY rev (3m)-1.22%
Revenue NQ rev (1m)1.31%
Revenue NQ rev (3m)4.9%
Revenue NY rev (1m)-0.16%
Revenue NY rev (3m)3.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.65 | ||
| Fwd PE | 14.96 | ||
| P/S | 0.81 | ||
| P/FCF | 14.1 | ||
| P/OCF | 5.12 | ||
| P/B | 1.43 | ||
| P/tB | 1.58 | ||
| EV/EBITDA | 5.76 |
EPS(TTM)1.72
EY7.33%
EPS(NY)1.57
Fwd EY6.69%
FCF(TTM)1.66
FCFY7.09%
OCF(TTM)4.58
OCFY19.53%
SpS28.88
BVpS16.45
TBVpS14.81
PEG (NY)2.57
PEG (5Y)0.4
Graham Number25.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.74% | ||
| ROE | 9.01% | ||
| ROCE | 7.82% | ||
| ROIC | 6.17% | ||
| ROICexc | 6.51% | ||
| ROICexgc | 6.95% | ||
| OM | 7.37% | ||
| PM (TTM) | 5.13% | ||
| GM | 31.62% | ||
| FCFM | 5.76% |
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
ROICexgc growth 3Y-0.51%
ROICexgc 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-Score4
Asset Turnover0.92
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 3.52 | ||
| Debt/EBITDA | 1.14 | ||
| Cap/Depr | 105.59% | ||
| Cap/Sales | 10.11% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 93.66% | ||
| Profit Quality | 112.35% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.78 | ||
| Altman-Z | 2.46 |
F-Score4
WACC7.37%
ROIC/WACC0.84
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)-12.33%
EPS 3Y87.2%
EPS 5Y33.97%
EPS Q2Q%73.41%
EPS Next Y5.31%
EPS Next 2Y-2.19%
EPS Next 3Y13.88%
EPS Next 5Y23.27%
Revenue 1Y (TTM)3.97%
Revenue growth 3Y5.4%
Revenue growth 5Y21.88%
Sales Q2Q%-5.82%
Revenue Next Year-8.89%
Revenue Next 2Y-5.46%
Revenue Next 3Y-3.75%
Revenue Next 5YN/A
EBIT growth 1Y-45.73%
EBIT growth 3Y1.79%
EBIT growth 5Y24.73%
EBIT Next Year100.67%
EBIT Next 3Y28.05%
EBIT Next 5Y17.19%
FCF growth 1Y-34.2%
FCF growth 3Y7.94%
FCF growth 5Y14.96%
OCF growth 1Y-6.52%
OCF growth 3Y15.98%
OCF growth 5Y22.96%
CENOVUS ENERGY INC / CVE.CA FAQ
What is the fundamental rating for CVE stock?
ChartMill assigns a fundamental rating of 5 / 10 to CVE.CA.
What is the valuation status for CVE stock?
ChartMill assigns a valuation rating of 5 / 10 to CENOVUS ENERGY INC (CVE.CA). This can be considered as Fairly Valued.
Can you provide the profitability details for CENOVUS ENERGY INC?
CENOVUS ENERGY INC (CVE.CA) has a profitability rating of 6 / 10.
What is the valuation of CENOVUS ENERGY INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for CENOVUS ENERGY INC (CVE.CA) is 13.65 and the Price/Book (PB) ratio is 1.43.
What is the financial health of CENOVUS ENERGY INC (CVE.CA) stock?
The financial health rating of CENOVUS ENERGY INC (CVE.CA) is 5 / 10.