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Cenovus Energy (CVE) Exceeds Market Returns: Some Facts to Consider

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In the latest close session, Cenovus Energy (CVE - Free Report) was up +1.72% at $17.16. This change outpaced the S&P 500's 0.47% gain on the day. Meanwhile, the Dow experienced a rise of 0.11%, and the technology-dominated Nasdaq saw an increase of 0.94%.

Coming into today, shares of the oil company had gained 12.17% in the past month. In that same time, the Oils-Energy sector gained 2.51%, while the S&P 500 gained 2.32%.

Analysts and investors alike will be keeping a close eye on the performance of Cenovus Energy in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.31, indicating constancy compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $9.85 billion, down 5.65% from the year-ago period.

For the full year, the Zacks Consensus Estimates are projecting earnings of $1.19 per share and revenue of $37.05 billion, which would represent changes of -2.46% and -6.57%, respectively, from the prior year.

It's also important for investors to be aware of any recent modifications to analyst estimates for Cenovus Energy. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 4.59% increase. Cenovus Energy presently features a Zacks Rank of #3 (Hold).

With respect to valuation, Cenovus Energy is currently being traded at a Forward P/E ratio of 14.18. This expresses a discount compared to the average Forward P/E of 15.16 of its industry.

The Oil and Gas - Integrated - Canadian industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 49, putting it in the top 20% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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