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Cenovus Energy (CVE) Dips More Than Broader Markets: What You Should Know

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Cenovus Energy (CVE - Free Report) closed at $17.54 in the latest trading session, marking a -1.74% move from the prior day. This change lagged the S&P 500's daily loss of 0.21%. Elsewhere, the Dow lost 0.42%, while the tech-heavy Nasdaq lost 0.64%.

Heading into today, shares of the oil company had gained 12.19% over the past month, outpacing the Oils-Energy sector's gain of 6.61% and the S&P 500's gain of 7.71% in that time.

Wall Street will be looking for positivity from Cenovus Energy as it approaches its next earnings report date. This is expected to be April 26, 2023. In that report, analysts expect Cenovus Energy to post earnings of $0.30 per share. This would mark a year-over-year decline of 51.61%. Our most recent consensus estimate is calling for quarterly revenue of $9.42 billion, down 33.59% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $2.04 per share and revenue of $38.94 billion, which would represent changes of -17.07% and -26.46%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Cenovus Energy. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.25% higher. Cenovus Energy is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Cenovus Energy has a Forward P/E ratio of 8.75 right now. This valuation marks a discount compared to its industry's average Forward P/E of 9.1.

The Oil and Gas - Integrated - Canadian industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 105, which puts it in the top 42% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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