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Cenovus Energy

DB:CXD
Snowflake Description

Undervalued with excellent balance sheet and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
CXD
DB
CA$5B
Market Cap
  1. Home
  2. DE
  3. Energy
Company description

Cenovus Energy Inc., together with its subsidiaries, develops, produces, and markets crude oil, natural gas liquids, and natural gas in Canada and the United States. The last earnings update was 55 days ago. More info.


Add to Portfolio Compare Print
  • Cenovus Energy has significant price volatility in the past 3 months.
CXD Share Price and Events
7 Day Returns
75.3%
DB:CXD
6.5%
DE Oil and Gas
2.1%
DE Market
1 Year Returns
-66.5%
DB:CXD
28.1%
DE Oil and Gas
-16.6%
DE Market
CXD Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Cenovus Energy (CXD) 75.3% -48.8% -68.6% -66.5% -73.5% -82.9%
DE Oil and Gas 6.5% -7.3% -23.7% 28.1% -18.9% 149.7%
DE Market 2.1% -12.6% -22.9% -16.6% -21.9% -27.8%
1 Year Return vs Industry and Market
  • CXD underperformed the Oil and Gas industry which returned 28.1% over the past year.
  • CXD underperformed the Market in Germany which returned -16.6% over the past year.
Price Volatility
CXD
Industry
5yr Volatility vs Market

Value

 Is Cenovus Energy undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Cenovus Energy to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Cenovus Energy.

DB:CXD Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 8 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:CXD
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 5.4%
Oil and Gas Unlevered Beta Simply Wall St/ S&P Global 0.95
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.948 (1 + (1- 26.5%) (182.09%))
1.815
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.81
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (1.815 * 5.44%)
9.48%

Discounted Cash Flow Calculation for DB:CXD using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Cenovus Energy is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:CXD DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (CAD, Millions) Source Present Value
Discounted (@ 9.48%)
2020 313.93 Analyst x11 286.73
2021 380.54 Analyst x9 317.47
2022 1,955.00 Analyst x1 1,489.71
2023 2,011.84 Est @ 2.91% 1,400.23
2024 2,050.44 Est @ 1.92% 1,303.48
2025 2,075.57 Est @ 1.23% 1,205.17
2026 2,090.96 Est @ 0.74% 1,108.93
2027 2,099.36 Est @ 0.4% 1,016.95
2028 2,102.80 Est @ 0.16% 930.39
2029 2,102.76 Est @ -0% 849.78
Present value of next 10 years cash flows CA$9,908.00
DB:CXD DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= CA$2,102.76 × (1 + -0.39%) ÷ (9.48% – -0.39%)
CA$21,214.11
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= CA$21,214.11 ÷ (1 + 9.48%)10
CA$8,573.16
DB:CXD Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= CA$9,908.00 + CA$8,573.16
CA$18,481.16
Equity Value per Share
(CAD)
= Total value / Shares Outstanding
= CA$18,481.16 / 1,228.87
CA$15.04
DB:CXD Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:CXD represents 0.73766x of TSX:CVE
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.73766x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (CAD) x Listing Adjustment Factor
= CA$ 15.04 x 0.73766
€11.09
Value per share (EUR) From above. €11.09
Current discount Discount to share price of €2.84
= -1 x (€2.84 - €11.09) / €11.09
74.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Cenovus Energy is available for.
Intrinsic value
>50%
Share price is €2.84 vs Future cash flow value of €11.09
Current Discount Checks
For Cenovus Energy to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Cenovus Energy's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Cenovus Energy's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Cenovus Energy's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Cenovus Energy's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:CXD PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in CAD CA$1.79
TSX:CVE Share Price ** TSX (2020-04-07) in CAD CA$3.85
Europe Oil and Gas Industry PE Ratio Median Figure of 104 Publicly-Listed Oil and Gas Companies 6.51x
Germany Market PE Ratio Median Figure of 402 Publicly-Listed Companies 16.83x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Cenovus Energy.

DB:CXD PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= TSX:CVE Share Price ÷ EPS (both in CAD)

= 3.85 ÷ 1.79

2.16x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cenovus Energy is good value based on earnings compared to the Europe Oil and Gas industry average.
  • Cenovus Energy is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Cenovus Energy's expected growth come at a high price?
Raw Data
DB:CXD PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 2.16x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts
-96.4%per year
Europe Oil and Gas Industry PEG Ratio Median Figure of 66 Publicly-Listed Oil and Gas Companies 0.32x
Germany Market PEG Ratio Median Figure of 256 Publicly-Listed Companies 1.22x

*Line of best fit is calculated by linear regression .

DB:CXD PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 2.16x ÷ -96.4%

-0.02x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cenovus Energy earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Cenovus Energy's assets?
Raw Data
DB:CXD PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in CAD CA$15.63
TSX:CVE Share Price * TSX (2020-04-07) in CAD CA$3.85
Germany Oil and Gas Industry PB Ratio Median Figure of 6 Publicly-Listed Oil and Gas Companies 1x
Germany Market PB Ratio Median Figure of 573 Publicly-Listed Companies 1.45x
DB:CXD PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= TSX:CVE Share Price ÷ Book Value per Share (both in CAD)

= 3.85 ÷ 15.63

0.25x

* Primary Listing of Cenovus Energy.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Cenovus Energy is good value based on assets compared to the DE Oil and Gas industry average.
X
Value checks
We assess Cenovus Energy's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. Cenovus Energy has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Cenovus Energy expected to perform in the next 1 to 3 years based on estimates from 8 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-96.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Cenovus Energy expected to grow at an attractive rate?
  • Cenovus Energy's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of -0.4%.
Growth vs Market Checks
  • Cenovus Energy's earnings are expected to decrease over the next 1-3 years, this is below the Germany market average.
  • Cenovus Energy's revenues are expected to decrease over the next 1-3 years, this is below the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:CXD Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:CXD Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts -96.4%
DB:CXD Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts -10.7%
Europe Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 13.1%
Europe Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 1.9%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14%
Germany Market Revenue Growth Rate Market Cap Weighted Average 3.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:CXD Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
All numbers in CAD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:CXD Future Estimates Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31 15,447 1,977 3
2021-12-31 12,999 1,465 -403 6
2020-12-31 11,340 827 -1,443 6
2020-04-07
DB:CXD Past Financials Data
Date (Data in CAD Millions) Revenue Cash Flow Net Income *
2019-12-31 20,181 3,285 2,194
2019-09-30 19,888 3,030 731
2019-06-30 21,009 3,455 302
2019-03-31 21,238 2,713 -1,892
2018-12-31 20,844 2,154 -2,916
2018-09-30 21,378 2,569 -2,342
2018-06-30 19,907 1,902 -1,825
2018-03-31 18,112 2,608 1,143
2017-12-31 17,043 3,059 2,268
2017-09-30 15,288 2,323 2,835
2017-06-30 13,847 2,041 2,505
2017-03-31 12,556 1,007 -284

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Cenovus Energy's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Cenovus Energy's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:CXD Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below

All data from Cenovus Energy Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:CXD Future Estimates Data
Date (Data in CAD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-12-31
2023-12-31
2022-12-31
2021-12-31 -0.51 1.03 -1.93 9.00
2020-12-31 -1.22 -0.18 -2.19 9.00
2020-04-07
DB:CXD Past Financials Data
Date (Data in CAD Millions) EPS *
2019-12-31 1.79
2019-09-30 0.59
2019-06-30 0.25
2019-03-31 -1.54
2018-12-31 -2.37
2018-09-30 -1.91
2018-06-30 -1.48
2018-03-31 0.95
2017-12-31 2.06
2017-09-30 2.83
2017-06-30 2.77
2017-03-31 -0.34

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Cenovus Energy will efficiently use shareholders’ funds in the future (Return on Equity greater than 20%) as it is not expected to be profitable.
X
Future performance checks
We assess Cenovus Energy's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Cenovus Energy has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Cenovus Energy performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Cenovus Energy's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Cenovus Energy's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
  • Cenovus Energy has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Cenovus Energy has become profitable in the last year making it difficult to compare the Europe Oil and Gas industry average.
Earnings and Revenue History
Cenovus Energy's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Cenovus Energy Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:CXD Past Revenue, Cash Flow and Net Income Data
Date (Data in CAD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 20,181.00 2,194.00 336.00 20.00
2019-09-30 19,888.00 731.00 284.00 18.00
2019-06-30 21,009.00 302.00 289.00 16.00
2019-03-31 21,238.00 -1,892.00 283.00 17.00
2018-12-31 20,844.00 -2,916.00 331.00 25.00
2018-09-30 21,378.00 -2,342.00 333.00 44.00
2018-06-30 19,907.00 -1,825.00 338.00 46.00
2018-03-31 18,112.00 1,143.00 337.00 44.00
2017-12-31 17,043.00 2,268.00 260.00 36.00
2017-09-30 15,288.00 2,835.00 284.00 21.00
2017-06-30 13,847.00 2,505.00 292.00 20.00
2017-03-31 12,556.00 -284.00 309.00 22.00
2016-12-31 11,006.00 -459.00 318.00 36.00
2016-09-30 10,606.00 -891.00 291.00 37.00
2016-06-30 10,934.00 965.00 279.00 38.00
2016-03-31 11,914.00 1,322.00 281.00 38.00
2015-12-31 11,529.00 914.00 335.00 27.00
2015-09-30 14,378.00 787.00 314.00 26.00
2015-06-30 16,075.00 -660.00 316.00 23.00
2015-03-31 17,771.00 -171.00 341.00 20.00
2014-12-31 19,642.00 744.00 379.00 15.00
2014-09-30 20,151.00 1,158.00 327.00 19.00
2014-06-30 20,256.00 1,174.00 413.00 21.00
2014-03-31 19,350.00 738.00 439.00 23.00
2013-12-31 18,657.00 662.00 429.00 24.00
2013-09-30 17,634.00 603.00 406.00 29.00
2013-06-30 16,899.00 522.00 412.00 24.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Cenovus Energy has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Cenovus Energy used its assets more efficiently than the Europe Oil and Gas industry average last year based on Return on Assets.
  • Cenovus Energy has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess Cenovus Energy's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Cenovus Energy has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Cenovus Energy's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Cenovus Energy's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Cenovus Energy is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Cenovus Energy's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Cenovus Energy's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Cenovus Energy Company Filings, last reported 3 months ago.

DB:CXD Past Debt and Equity Data
Date (Data in CAD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 19,201.00 6,699.00 186.00
2019-09-30 19,227.00 7,239.00 437.00
2019-06-30 19,050.00 7,152.00 64.00
2019-03-31 17,419.00 8,383.00 244.00
2018-12-31 17,468.00 9,164.00 788.00
2018-09-30 18,624.00 9,824.00 1,865.00
2018-06-30 19,003.00 9,992.00 376.00
2018-03-31 19,381.00 9,781.00 405.00
2017-12-31 19,981.00 9,513.00 610.00
2017-09-30 19,433.00 12,094.00 632.00
2017-06-30 19,701.00 13,413.00 489.00
2017-03-31 11,717.00 6,277.00 3,548.00
2016-12-31 11,590.00 6,382.00 3,720.00
2016-09-30 11,431.00 6,184.00 3,850.00
2016-06-30 11,677.00 6,132.00 3,780.00
2016-03-31 11,974.00 6,113.00 3,883.00
2015-12-31 12,391.00 6,525.00 4,105.00
2015-09-30 13,013.00 6,312.00 4,401.00
2015-06-30 11,095.00 5,875.00 1,590.00
2015-03-31 11,129.00 5,973.00 1,804.00
2014-12-31 10,186.00 5,458.00 883.00
2014-09-30 10,743.00 5,404.00 1,156.00
2014-06-30 10,428.00 5,170.00 760.00
2014-03-31 10,099.00 5,635.00 815.00
2013-12-31 9,946.00 6,522.00 2,452.00
2013-09-30 10,106.00 6,406.00 1,024.00
2013-06-30 9,906.00 6,662.00 825.00
  • Cenovus Energy's level of debt (34.9%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (53.6% vs 34.9% today).
  • Debt is well covered by operating cash flow (49%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 3.3x coverage).
X
Financial health checks
We assess Cenovus Energy's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Cenovus Energy has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Cenovus Energy's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
6.49%
Current annual income from Cenovus Energy dividends. Estimated to be 3.9% next year.
If you bought €2,000 of Cenovus Energy shares you are expected to receive €130 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Cenovus Energy's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.67%).
  • Cenovus Energy's dividend is above the markets top 25% of dividend payers in Germany (4.71%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:CXD Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 8 Analyst Estimates (S&P Global) See Below
Europe Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 68 Stocks 8.3%
Germany Market Average Dividend Yield Market Cap Weighted Average of 314 Stocks 3.7%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.7%
Germany Top 25% Dividend Yield 75th Percentile 4.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:CXD Future Dividends Estimate Data
Date (Data in CA$) Dividend per Share (annual) Avg. No. Analysts
2024-12-31 0.25 1.00
2023-12-31 0.25 1.00
2022-12-31 0.16 5.00
2021-12-31 0.13 16.00
2020-12-31 0.15 12.00
2020-04-07
DB:CXD Past Annualized Dividends Data
Date (Data in CA$) Dividend per share (annual) Avg. Yield (%)
2020-02-12 0.250 5.777
2019-10-02 0.250 2.080
2019-07-25 0.200 1.681
2019-04-24 0.200 1.694
2019-02-13 0.200 1.657
2018-10-31 0.200 1.939
2018-07-26 0.200 1.652
2018-04-25 0.200 1.493
2018-02-15 0.200 1.843
2017-11-02 0.200 1.655
2017-04-26 0.200 1.826
2017-02-16 0.200 1.256
2016-10-27 0.200 1.030
2016-07-28 0.200 1.043
2016-04-27 0.200 1.065
2016-02-11 0.200 1.204
2015-10-29 0.640 3.557
2015-07-30 0.640 3.360
2015-04-29 1.065 5.336
2015-02-12 1.065 4.810
2014-10-23 1.065 4.281
2014-07-30 1.065 3.398
2014-04-30 1.065 3.239
2014-03-27 1.065 3.325
2014-02-19 1.065 3.619
2014-02-13 1.065 3.735
2013-10-24 0.968 3.219
2013-07-24 0.968 3.179
2013-04-24 0.968 3.165
2013-02-14 0.968 3.081
2012-10-25 0.880 2.637
2012-07-25 0.880 2.643
2012-04-25 0.880 2.701
2012-02-15 0.880 2.434
2011-10-27 0.800 2.335
2011-07-26 0.800 2.358
2011-04-27 0.800 2.294
2011-02-18 0.800 2.169
2010-10-28 0.800 2.523
2010-07-29 0.800 2.797
2010-04-29 0.800 2.790
2010-02-11 0.800 2.958
2009-12-09 0.820 3.252

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • Dividends per share have fallen over the past 10 years.
Current Payout to shareholders
What portion of Cenovus Energy's earnings are paid to the shareholders as a dividend.
  • Dividends paid are thoroughly covered by earnings (8.4x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (2.3x coverage).
X
Income/ dividend checks
We assess Cenovus Energy's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Cenovus Energy afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Cenovus Energy has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Cenovus Energy's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Alex Pourbaix
COMPENSATION CA$9,046,317
AGE 53
TENURE AS CEO 2.4 years
CEO Bio

Mr. Alexander J. Pourbaix, also known as Alex, serves as President, Chief Executive Officer and director of Cenovus Energy Inc. since November 6, 2017. He has been Director of Canadian Utilities Limited since November 1, 2019. Mr. Pourbaix has been the Chief Operating Officer of TransCanada PipeLines Limited since October 01, 2015. Mr. Pourbaix has been the Chief Operating Officer of TransCanada Corporation since October 1, 2015 and served as its President of Development and Executive Vice President since March 1, 2014 until September 30, 2015. He served as President of Development and Executive Vice President of TransCanada PipeLines Limited since March 1, 2014 until October 2015. He was responsible for leading and executing on all of TransCanada's growth initiatives. He is also accountable for corporate development activities, capital allocation within TransCanada and corporate strategy. He is responsible for TransCanada Corporation’s non-regulated businesses, including power and non-regulated gas storage, as well as the oil pipeline business. He is responsible for the operation of CanCarb Limited. He served as the President of Energy and Oil Pipelines of TransCanada PipeLines Limited and served as its President of Energy from June 1, 2006 to July 2010. Mr. Pourbaix served as the President of Energy & Oil Pipelines of TransCanada Corp. since July 2010. He served as President of Energy of Transcanada Corp. from June 1, 2006 to July 2010 and served as its Executive Vice-President of Corporate Development since July 2009 and served as its Executive Vice President of Power from March 2003 to June 2006. He served as Executive Vice President of Power Development of TransCanada PipeLines Ltd., from May 2001 to March 2003 and its Executive Vice-President of Corporate Development since July 2009. He served as Senior Vice-President of Power Ventures from June 2000 to May 2001. Prior to June 2001, he served as Vice-President of Corporate Development, Power Services at Transcanada Corp. Prior to June 1998, he served senior management positions within affiliates of TransCanada. He serves as the Chairman of TransCanada Turbines Ltd. Mr. Pourbaix serves as a Director of Junior Achievement of Southern Alberta. He serves as a Director of Junior Achievement of Southern Alberta. He also serves on the Board of Management for Alberta Economic Development Authority. He serves as a Director of CPG OpCo GP LLC at CPG OpCo LP. He has been a Director of CPP GP LLC - General Partner of Columbia Pipeline Partners LP since July 1, 2016. He served as an Independent Director of Trican Well Service Ltd. since May 9, 2012 until December 31, 2019. He is also Vice Chairman of the Board of Governors at the Canadian Association of Petroleum Producers, Board Chair at Mount Royal University and a member of the Business Council of Alberta. He serves as a Director of Trican Well Service, L.P., and TransCanada Energy Ltd. He served as a Director of TransCanada Power Services Ltd. He served as a Director of Bruce Power L.P. He is a 2002/2003 recipient of Canada's Top 40 Under 40 Award for leadership excellence for Canadians. He is a member of the Institute of Corporate Directors. Mr. Pourbaix was a member, and past Chairman, of the Board of Directors for the Canadian Energy Pipeline Association. As well, Mr. Pourbaix is a member of the Board of Directors of Cenovus Energy Inc. Areas of Expertise: Financial Literacy; Petroleum Industry Knowledge & Experience; Corporate Finance; Operational Financial Skills; Environmental Experience; Strategic Planning; Mergers & Acquisitions; Human Resources Management; Risk Management; Sales & Marketing; Canadian Business Experience; U.S. Business Experience; Board & Governance; Internal & External Communications; Legal. Mr. Pourbaix holds a Bachelor of Arts, with distinction and a Bachelor of Law from the University of Alberta.

CEO Compensation
  • Alex's compensation has increased in line with Cenovus Energy recently becoming profitable.
  • Alex's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure of the Cenovus Energy management team in years:

2.3
Average Tenure
  • The tenure for the Cenovus Energy management team is about average.
Management Team

Alex Pourbaix

TITLE
CEO, President & Director
COMPENSATION
CA$9M
AGE
53
TENURE
2.4 yrs

Jon McKenzie

TITLE
Executive VP & CFO
COMPENSATION
CA$4M
AGE
51
TENURE
1.9 yrs

Harbir Chhina

TITLE
Executive VP & CTO
COMPENSATION
CA$3M
TENURE
3 yrs

Al Reid

TITLE
Executive VP of Stakeholder Engagement
COMPENSATION
CA$3M
TENURE
8.3 yrs

Joseph Zieglgansberger

TITLE
Executive Vice-President of Strategy & Corporate Development
COMPENSATION
CA$3M
TENURE
0.3 yrs

Sherry Wendt

TITLE
Director of Investor Relations

Kam Sandhar

TITLE
Senior Vice-President of Deep Basin
TENURE
0.3 yrs

Sarah Walters

TITLE
Senior Vice President of Corporate Services
TENURE
2.3 yrs

Keith Chiasson

TITLE
Executive Vice-President of Downstream
TENURE
2.3 yrs

Norrie Ramsay

TITLE
Executive Vice-President of Upstream
TENURE
0.3 yrs
Board of Directors Tenure

Average tenure and age of the Cenovus Energy board of directors in years:

3.2
Average Tenure
66
Average Age
  • The tenure for the Cenovus Energy board of directors is about average.
Board of Directors

Pat Daniel

TITLE
Independent Chairman of the Board
COMPENSATION
CA$330K
AGE
73
TENURE
3 yrs

Alex Pourbaix

TITLE
CEO, President & Director
COMPENSATION
CA$9M
AGE
53
TENURE
2.4 yrs

Steve Leer

TITLE
Independent Director
COMPENSATION
CA$214K
AGE
66
TENURE
5 yrs

Rhonda Zygocki

TITLE
Independent Director
COMPENSATION
CA$216K
AGE
61
TENURE
4 yrs

Claude Mongeau

TITLE
Independent Director
COMPENSATION
CA$223K
AGE
57
TENURE
3.3 yrs

Wayne Thomson

TITLE
Independent Director
COMPENSATION
CA$208K
AGE
68
TENURE
10.4 yrs

Rich Marcogliese

TITLE
Independent Director
COMPENSATION
CA$208K
AGE
66
TENURE
4 yrs

Sue Dabarno

TITLE
Independent Director
COMPENSATION
CA$209K
AGE
66
TENURE
3 yrs

Keith A. MacPhail

TITLE
Independent Director
COMPENSATION
CA$202K
AGE
62
TENURE
2 yrs

Hal Kvisle

TITLE
Independent Director
COMPENSATION
CA$202K
AGE
66
TENURE
2 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Cenovus Energy individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
20. Mar 20 Buy Harold Kvisle Individual 20. Mar 20 20. Mar 20 32,000 €1.60 €51,106
23. Mar 20 Buy Keith A. MacPhail Individual 20. Mar 20 20. Mar 20 50,000 €1.63 €81,476
12. Mar 20 Buy Norrie Ramsay Individual 12. Mar 20 12. Mar 20 22,000 €2.43 €53,442
12. Mar 20 Buy Harold Kvisle Individual 12. Mar 20 12. Mar 20 35,000 €2.32 €81,136
11. Mar 20 Buy Keith A. MacPhail Individual 09. Mar 20 09. Mar 20 30,000 €2.74 €82,087
10. Mar 20 Buy Joseph Zieglgansberger Individual 06. Mar 20 06. Mar 20 50,000 €5.52 €276,143
10. Mar 20 Buy Norrie Ramsay Individual 09. Mar 20 09. Mar 20 4,552 €2.83 €12,875
10. Mar 20 Buy Kam Sandhar Individual 09. Mar 20 09. Mar 20 4,552 €2.83 €12,875
09. Mar 20 Buy Keith Chiasson Individual 06. Mar 20 06. Mar 20 25,475 €5.17 €131,709
09. Mar 20 Buy Kam Sandhar Individual 06. Mar 20 06. Mar 20 2,450 €5.23 €12,806
09. Mar 20 Buy M. Lewis Individual 09. Mar 20 09. Mar 20 60,000 €2.74 €164,175
05. Mar 20 Buy Alexander Pourbaix Individual 05. Mar 20 05. Mar 20 55,500 €6.03 €334,617
24. Feb 20 Buy Alan Reid Individual 24. Feb 20 24. Feb 20 260 €7.93 €2,063
16. Jan 20 Buy Keith Chiasson Individual 13. Jan 20 13. Jan 20 3,955 €8.71 €34,465
26. Dec 19 Buy Keith A. MacPhail Individual 19. Dec 19 19. Dec 19 20,000 €8.96 €179,157
09. Oct 19 Buy Harold Kvisle Individual 09. Oct 19 09. Oct 19 9,000 €7.31 €65,820
07. Oct 19 Buy Keith A. MacPhail Individual 07. Oct 19 07. Oct 19 36,000 €7.86 €282,990
24. Sep 19 Buy Jonathan McKenzie Individual 24. Sep 19 24. Sep 19 15,000 €8.83 €132,517
03. Sep 19 Buy Keith Chiasson Individual 29. Aug 19 29. Aug 19 10,000 €7.98 €79,752
08. Aug 19 Buy M. Lewis Individual 08. Aug 19 08. Aug 19 20,000 €7.51 €150,159
06. Aug 19 Buy Keith A. MacPhail Individual 31. Jul 19 31. Jul 19 30,000 €8.44 €253,275
01. Aug 19 Buy Jonathan McKenzie Individual 01. Aug 19 01. Aug 19 10,000 €8.25 €82,478
04. Jun 19 Sell Keith Chiasson Individual 03. Jun 19 03. Jun 19 -16,850 €7.41 €-124,930
04. Jun 19 Buy Keith Chiasson Individual 03. Jun 19 03. Jun 19 16,850 €7.41 €124,930
27. May 19 Sell Kam Sandhar Individual 21. May 19 21. May 19 -4 €7.84 €-31
06. May 19 Buy Jonathan McKenzie Individual 03. May 19 03. May 19 10,000 €8.01 €80,060
29. Apr 19 Buy Keith A. MacPhail Individual 26. Apr 19 26. Apr 19 14,000 €8.96 €125,427
X
Management checks
We assess Cenovus Energy's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Cenovus Energy has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Cenovus Energy Inc., together with its subsidiaries, develops, produces, and markets crude oil, natural gas liquids, and natural gas in Canada and the United States. The company operates through Oil Sands, Deep Basin, and Refining and Marketing segments. The Oil Sands segment develops and produces bitumen in northeast Alberta. Its bitumen assets include Foster Creek, Christina Lake, and Narrows Lake, as well as other projects in the early stages of development. The Deep Basin segment holds assets primarily located in Elmworth-Wapiti, Kaybob-Edson, and Clearwater operating areas of British Columbia and Alberta, as well as various interests in natural gas processing facilities. The Refining and Marketing segment transports, sells, and refines crude oil into petroleum and chemical products. This segment owns a 50% ownership in Wood River and Borger refineries located in the United States; and owns and operates a crude-by-rail terminal in Alberta. Cenovus Energy Inc. was founded in 2009 and is headquartered in Calgary, Canada.

Details
Name: Cenovus Energy Inc.
CXD
Exchange: DB
Founded: 2009
CA$3,092,540,679
1,228,869,903
Website: http://www.cenovus.com
Address: Cenovus Energy Inc.
225, 6 Avenue SW,
PO Box 766,
Calgary,
Alberta, T2P 0M5,
Canada
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
TSX CVE Common Shares The Toronto Stock Exchange CA CAD 02. Nov 2009
NYSE CVE Common Shares New York Stock Exchange US USD 02. Nov 2009
DB CXD Common Shares Deutsche Boerse AG DE EUR 02. Nov 2009
Number of employees
Current staff
Staff numbers
2,361
Cenovus Energy employees.
Industry
Integrated Oil and Gas
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/04/07 23:11
End of day share price update: 2020/04/07 00:00
Last estimates confirmation: 2020/04/07
Last earnings filing: 2020/02/12
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.