CENOVUS ENERGY INC (CVE.CA) Stock Fundamental Analysis
Canada - Toronto Stock Exchange - TSX:CVE - CA15135U1093 - Common Stock
22.88 CAD
-0.09 (-0.39%)
Overall CVE gets a fundamental rating of 6 out of 10. We evaluated CVE against 212 industry peers in the Oil, Gas & Consumable Fuels industry. While CVE belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. CVE is not valued too expensively and it also shows a decent 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.
Each year in the past 5 years CVE had a positive operating cash flow.
1.2 Ratios
CVE's Return On Assets of 5.83% is amongst the best of the industry. CVE outperforms 87.26% of its industry peers.
The Return On Equity of CVE (11.00%) is better than 82.55% of its industry peers.
With an excellent Return On Invested Capital value of 7.09%, CVE belongs to the best of the industry, outperforming 84.43% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CVE is significantly above the industry average of 6.57%.
The 3 year average ROIC (11.92%) for CVE is well above the current ROIC(7.09%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.83% | ||
| ROE | 11% | ||
| ROIC | 7.09% |
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 has a better Profit Margin (6.17%) than 60.85% of its industry peers.
CVE's Profit Margin has declined in the last couple of years.
The Operating Margin of CVE (8.46%) is comparable to the rest of the industry.
CVE's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 33.16%, CVE is in line with its industry, outperforming 54.72% of the companies in the same industry.
In the last couple of years the Gross Margin of CVE has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.46% | ||
| PM (TTM) | 6.17% | ||
| GM | 33.16% |
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
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), CVE is creating some value.
Compared to 1 year ago, CVE has less shares outstanding
CVE has more shares outstanding than it did 5 years ago.
The debt/assets ratio for CVE is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.65 indicates that CVE is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of CVE (2.65) is better than 76.42% of its industry peers.
CVE has a debt to FCF ratio of 3.55. This is a good value and a sign of high solvency as CVE would need 3.55 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.55, CVE belongs to the top of the industry, outperforming 84.43% of the companies in the same industry.
CVE 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 (0.34) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 3.55 | ||
| Altman-Z | 2.65 |
ROIC/WACC0.96
WACC7.41%
2.3 Liquidity
A Current Ratio of 1.73 indicates that CVE should not have too much problems paying its short term obligations.
The Current ratio of CVE (1.73) is better than 76.42% of its industry peers.
A Quick Ratio of 1.18 indicates that CVE should not have too much problems paying its short term obligations.
CVE has a better Quick ratio (1.18) than 69.34% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.73 | ||
| Quick Ratio | 1.18 |
3. Growth
3.1 Past
The earnings per share for CVE have decreased strongly by -12.76% in the last year.
Measured over the past years, CVE shows a very strong growth in Earnings Per Share. The EPS has been growing by 33.97% on average per year.
Looking at the last year, CVE shows a decrease in Revenue. The Revenue has decreased by -9.17% in the last year.
The Revenue has been growing by 21.88% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-12.76%
EPS 3Y87.2%
EPS 5Y33.97%
EPS Q2Q%71.43%
Revenue 1Y (TTM)-9.17%
Revenue growth 3Y5.4%
Revenue growth 5Y21.88%
Sales Q2Q%-7.4%
3.2 Future
The Earnings Per Share is expected to grow by 26.68% on average over the next years. This is a very strong growth
Based on estimates for the next years, CVE will show a decrease in Revenue. The Revenue will decrease by -4.91% on average per year.
EPS Next Y27.31%
EPS Next 2Y1.31%
EPS Next 3Y11.15%
EPS Next 5Y26.68%
Revenue Next Year-9.83%
Revenue Next 2Y-8.59%
Revenue Next 3Y-4.91%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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
With a Price/Earnings ratio of 13.38, CVE is valued correctly.
CVE's Price/Earnings ratio is a bit cheaper when compared to the industry. CVE is cheaper than 69.34% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.59, CVE is valued a bit cheaper.
With a Price/Forward Earnings ratio of 13.59, CVE is valued correctly.
Based on the Price/Forward Earnings ratio, CVE is valued a bit cheaper than 66.04% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 24.03. CVE is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.38 | ||
| Fwd PE | 13.59 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CVE indicates a rather cheap valuation: CVE is cheaper than 87.26% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, CVE is valued a bit cheaper than 70.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.32 | ||
| EV/EBITDA | 5.51 |
4.3 Compensation for Growth
The 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 may justify a higher PE ratio.
PEG (NY)0.49
PEG (5Y)0.39
EPS Next 2Y1.31%
EPS Next 3Y11.15%
5. Dividend
5.1 Amount
CVE has a Yearly Dividend Yield of 3.53%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.88, CVE pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 1.88, CVE pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.53% |
5.2 History
On average, the dividend of CVE grows each year by 31.72%, which is quite nice.
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 45.02% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of CVE is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP45.02%
EPS Next 2Y1.31%
EPS Next 3Y11.15%
TSX:CVE (12/24/2025, 7:00:00 PM)
22.88
-0.09 (-0.39%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners53.06%
Inst Owner ChangeN/A
Ins Owners0.63%
Ins Owner ChangeN/A
Market Cap43.25B
Revenue(TTM)50.56B
Net Income(TTM)3.12B
Analysts80
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.53% |
Yearly Dividend0.84
Dividend Growth(5Y)31.72%
DP45.02%
Div Incr Years4
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)108.83%
Min EPS beat(2)40.05%
Max EPS beat(2)177.6%
EPS beat(4)3
Avg EPS beat(4)42.59%
Min EPS beat(4)-72.97%
Max EPS beat(4)177.6%
EPS beat(8)4
Avg EPS beat(8)19.19%
EPS beat(12)7
Avg EPS beat(12)10.58%
EPS beat(16)9
Avg EPS beat(16)-1.72%
Revenue beat(2)0
Avg Revenue beat(2)-4.56%
Min Revenue beat(2)-4.97%
Max Revenue beat(2)-4.15%
Revenue beat(4)0
Avg Revenue beat(4)-6.25%
Min Revenue beat(4)-10.43%
Max Revenue beat(4)-4.15%
Revenue beat(8)3
Avg Revenue beat(8)-1.58%
Revenue beat(12)5
Avg Revenue beat(12)-0.2%
Revenue beat(16)9
Avg Revenue beat(16)4.49%
PT rev (1m)5.45%
PT rev (3m)8.21%
EPS NQ rev (1m)-4.01%
EPS NQ rev (3m)32.44%
EPS NY rev (1m)18.89%
EPS NY rev (3m)25.47%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.93%
Revenue NY rev (1m)-1.1%
Revenue NY rev (3m)-1.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.38 | ||
| Fwd PE | 13.59 | ||
| P/S | 0.86 | ||
| P/FCF | 15.32 | ||
| P/OCF | 5.51 | ||
| P/B | 1.52 | ||
| P/tB | 1.7 | ||
| EV/EBITDA | 5.51 |
EPS(TTM)1.71
EY7.47%
EPS(NY)1.68
Fwd EY7.36%
FCF(TTM)1.49
FCFY6.53%
OCF(TTM)4.15
OCFY18.15%
SpS26.75
BVpS15.01
TBVpS13.46
PEG (NY)0.49
PEG (5Y)0.39
Graham Number24.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.83% | ||
| ROE | 11% | ||
| ROCE | 8.93% | ||
| ROIC | 7.09% | ||
| ROICexc | 7.38% | ||
| ROICexgc | 7.88% | ||
| OM | 8.46% | ||
| PM (TTM) | 6.17% | ||
| GM | 33.16% | ||
| FCFM | 5.59% |
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-Score5
Asset Turnover0.94
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 3.55 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 99.6% | ||
| Cap/Sales | 9.94% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.18% | ||
| Profit Quality | 90.48% | ||
| Current Ratio | 1.73 | ||
| Quick Ratio | 1.18 | ||
| Altman-Z | 2.65 |
F-Score5
WACC7.41%
ROIC/WACC0.96
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)-12.76%
EPS 3Y87.2%
EPS 5Y33.97%
EPS Q2Q%71.43%
EPS Next Y27.31%
EPS Next 2Y1.31%
EPS Next 3Y11.15%
EPS Next 5Y26.68%
Revenue 1Y (TTM)-9.17%
Revenue growth 3Y5.4%
Revenue growth 5Y21.88%
Sales Q2Q%-7.4%
Revenue Next Year-9.83%
Revenue Next 2Y-8.59%
Revenue Next 3Y-4.91%
Revenue Next 5YN/A
EBIT growth 1Y-20.33%
EBIT growth 3Y1.79%
EBIT growth 5Y24.73%
EBIT Next Year101.69%
EBIT Next 3Y30.19%
EBIT Next 5Y21.02%
FCF growth 1Y-6.18%
FCF growth 3Y7.94%
FCF growth 5Y14.96%
OCF growth 1Y5.9%
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 6 / 10 to CVE.CA.
What is the valuation status for CVE stock?
ChartMill assigns a valuation rating of 6 / 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 7 / 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 13.38 and the Price/Book (PB) ratio is 1.52.
What is the financial health of CENOVUS ENERGY INC (CVE.CA) stock?
The financial health rating of CENOVUS ENERGY INC (CVE.CA) is 6 / 10.