Cenovus Energy (NYSE:CVE) Issues Quarterly Earnings Results, Beats Expectations By $0.08 EPS

Cenovus Energy (NYSE:CVE) (TSE:CVE) announced its quarterly earnings results on Thursday. The oil and gas company reported $0.36 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.28 by $0.08, Zacks reports. The firm had revenue of $9.44 billion during the quarter, compared to the consensus estimate of $10.89 billion. Cenovus Energy had a return on equity of 10.73% and a net margin of 6.23%.During the same period in the prior year, the firm earned $0.07 EPS.

Here are the key takeaways from Cenovus Energy’s conference call:

• Cenovus set upstream production records (2025: 834,000 BOE/d; Q4: 918,000 BOE/d; December >970,000 BOE/d including MEG) and delivered operational gains—Foster Creek added ~30,000 b/d ahead of schedule, Sunrise ramped activity and turnaround cycles were extended—supporting near‑term volume growth.
• The MEG acquisition (closed Nov 13) adds >100,000 b/d at Christina Lake; management says corporate synergies (~CAD 120M) are largely captured and forecasts CAD 150M annual synergies in 2026–27 and >CAD 400M by end‑2028, with a 42‑well redevelopment program already underway.
• Downstream ran at high utilization (~95% combined; Canadian ~105%, U.S. ~97%), produced CAD 149M downstream operating margin in Q4 (adjusted ~CAD 235M) and achieved an unusually strong U.S. market capture (~95% in Q4), though management reiterates a long‑term market capture guide of ~70% at a $14 WCS differential.
• Net debt rose to ~CAD 8.3B after the MEG deal (partly offset by CAD 1.9B proceeds from the WRB sale); 2025 capex was CAD 4.9B, 2026 growth spend guidance is modestly lower, and the capital allocation framework balances deleveraging and shareholder returns with a long‑term net debt target of CAD 4B (and enhanced returns planned when net debt reaches CAD 6B).
• Major projects are progressing: West White Rose platform is commissioned and habitable with first oil targeted in Q2 (timeline is tight due to severe weather), while extensions to China gas sales (Liwan fields) are expected to add nearly CAD 2B of incremental free cash flow over the fields’ lives.

Cenovus Energy Stock Up 4.0%

Shares of NYSE:CVE traded up $0.90 during midday trading on Thursday, reaching $23.15. The company had a trading volume of 14,686,807 shares, compared to its average volume of 14,218,060. The stock has a market capitalization of $43.52 billion, a P/E ratio of 18.97 and a beta of 0.48. The stock’s fifty day moving average price is $18.45 and its 200-day moving average price is $17.46. The company has a debt-to-equity ratio of 0.25, a current ratio of 1.73 and a quick ratio of 1.18. Cenovus Energy has a one year low of $10.23 and a one year high of $23.24.

Institutional Investors Weigh In On Cenovus Energy

Hedge funds and other institutional investors have recently modified their holdings of the stock. FIL Ltd boosted its stake in Cenovus Energy by 40.0% in the fourth quarter. FIL Ltd now owns 38,533,059 shares of the oil and gas company’s stock valued at $651,880,000 after acquiring an additional 11,019,212 shares during the period. Dimensional Fund Advisors LP lifted its holdings in shares of Cenovus Energy by 5.0% in the 4th quarter. Dimensional Fund Advisors LP now owns 18,018,995 shares of the oil and gas company’s stock worth $304,894,000 after purchasing an additional 855,618 shares during the last quarter. Smead Capital Management Inc. lifted its holdings in shares of Cenovus Energy by 13.3% in the 2nd quarter. Smead Capital Management Inc. now owns 17,552,075 shares of the oil and gas company’s stock worth $238,999,000 after purchasing an additional 2,056,163 shares during the last quarter. The Manufacturers Life Insurance Company boosted its position in Cenovus Energy by 28.6% during the 4th quarter. The Manufacturers Life Insurance Company now owns 15,612,441 shares of the oil and gas company’s stock valued at $264,676,000 after purchasing an additional 3,468,398 shares during the period. Finally, Canada Pension Plan Investment Board grew its stake in Cenovus Energy by 322.7% during the 2nd quarter. Canada Pension Plan Investment Board now owns 15,521,050 shares of the oil and gas company’s stock worth $211,338,000 after buying an additional 11,849,355 shares during the last quarter. Institutional investors own 51.19% of the company’s stock.

Analysts Set New Price Targets

CVE has been the subject of a number of recent research reports. The Goldman Sachs Group reiterated a “buy” rating and issued a $22.00 target price on shares of Cenovus Energy in a research note on Monday, February 2nd. Wall Street Zen raised shares of Cenovus Energy from a “hold” rating to a “buy” rating in a research report on Sunday. Scotiabank cut shares of Cenovus Energy from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, January 20th. JPMorgan Chase & Co. restated a “neutral” rating on shares of Cenovus Energy in a research note on Tuesday, January 20th. Finally, TD Securities reaffirmed a “buy” rating on shares of Cenovus Energy in a research note on Wednesday, December 3rd. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $27.33.

Cenovus Energy Company Profile

Cenovus Energy Inc is a Canadian integrated energy company engaged in the exploration, development and production of crude oil, natural gas liquids and natural gas, together with downstream refining and marketing activities. Headquartered in Calgary, Alberta, Cenovus operates a mix of oil sands thermal and dilbit assets, conventional oil and gas properties, and owns refining and midstream assets designed to move and process hydrocarbons into finished petroleum products for commercial markets.

The company was originally formed as a spin‑off from Encana Corporation in 2009 and has grown through organic development and strategic acquisitions.