| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 65 | 22.4x | 17.3x | Around median | |
Growth | 46 | — | 7.1% | Around median | |
Quality | 61 | — | 4.5% | Around median | |
Safety | 80 | 0.9x | 2.6x | Top tier | |
Capital Return | 90 | 1.70% | 0.06% | Top tier | |
Momentum | 97 | 86.4% | -1.6% | Top tier | |
Sentiment | 67 | 7 | 3 | Top tier |
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Cenovus Energy combines oil and gas production with crude refining, with operations centered on the Canadian oil sands and assets such as Christina Lake, Foster Creek, and Sunrise. The company generates revenue from selling production and refined products, while its refineries provide an outlet for part of its production and allow it to benefit from price spreads between crude and petroleum products. In quarter 2 of fiscal year 2026, ended 2026-06-30, upstream production exceeded 970,000 barrels of oil equivalent per day, including more than 786,000 barrels per day from the oil sands, making the performance of these assets a key driver of the company's results.
According to EL7 data, revenue in quarter 2 of fiscal year 2026, ended 2026-06-30, was approximately 17.4 billion Canadian dollars, net income was 2.9 billion Canadian dollars, and diluted earnings per share were 1.55 Canadian dollars. The operating margin calculated by EL7 was 24.2%, while operating cash flow, according to EL7 data, was approximately 5.6 billion Canadian dollars for the same period. Christina Lake production was approximately 372,000 barrels per day, Foster Creek production was approximately 215,000 barrels per day, and Sunrise production was around 66,000 barrels per day, illustrating the importance of thermal assets within the production base.
Operational performance extended to refining in quarter 2 of fiscal year 2026, ended 2026-06-30; Canadian refineries processed 102,000 barrels per day at a utilization rate of approximately 94%, while U.S. refineries processed 350,000 barrels per day at a utilization rate of approximately 96%. This integration broadens the sources of profit, but also ties results to refining margins, crude slate costs, and refinery availability. For the last 12 months through 2026-06-30, revenue was 53.9 billion Canadian dollars and net income was 6.7 billion Canadian dollars, providing a broader basis for assessing performance than a single quarter.
Q2 FY2026
Last 12 months to 2026-06-30
When: 2026-10-30
Update to fiscal year 2026 production guidance of 970,000–1,010,000 barrels of oil equivalent per day
Update to the fiscal year 2026 capital expenditure ceiling of 5.3 billion Canadian dollars
The discounted cash flow model value is 40 dollars, within a range of 31–53 dollars and at a discount rate of 8.7%, measuring the present value of expected cash generation; the median target of five analysts is 36 dollars, reflecting their growth expectations. The industry multiple value is 35 dollars, within a range of 30–56 dollars, based on earnings for the last 12 months through 2026-06-30 and a median multiple of 14.1 across 11 companies, valuing Cenovus relative to its peers. The no-growth value is 33 dollars at a discount rate of 8.7%, representing the value of holding after-tax operating profit constant in perpetuity if growth stops. Analyst targets and the industry multiple value converge at 36 and 35 dollars, while the cash flow result of 40 dollars is higher and the no-growth value of 33 dollars is lower; this reflects differences between pricing growth, peer comparisons, expected cash flows, and constant profit, with analyst targets generally tending toward optimism and the cash flow model generally tending toward conservatism.
Figures in the text are as of 2026-10-19; the live price is shown at the top of the page.
According to EL7 data, revenue was approximately 17.4 billion Canadian dollars and net income was 2.9 billion Canadian dollars in quarter 2 of fiscal year 2026, ended 2026-06-30. Oil sands production exceeded 786,000 barrels per day, with Christina Lake reaching 372,000 barrels per day and U.S. refineries benefiting from utilization of approximately 96%. The operating margin calculated by EL7 was 24.2%, but management also linked performance to favorable oil prices and refining margins, making continued profitability dependent on both operations and the pricing environment.
The cash-and-share transaction announced in the 2026-10-05 news report is valued at approximately 5.7 billion Canadian dollars, with an expected addition of around 45,000 barrels of oil equivalent per day. The assets include Leismer and Corner, with proved and probable reserves extending beyond 75 years, and the agreement also includes granting Cenovus full ownership of Duvernay Energy. The main addition is the expansion of long-life oil sands resources, while the announcement remains an acquisition agreement and does not establish that the transaction has closed.
Automated analysis for informational purposes only — not investment advice.
Update to U.S. refinery utilization relative to the 96% level
According to EL7 data, operating cash flow was 12.4 billion Canadian dollars compared with net income of 6.7 billion Canadian dollars for the last 12 months through 2026-06-30, a conversion ratio of 185%. Free cash flow calculated by EL7 (operating cash flow minus capital expenditures) for the last 12 months was approximately 7.6 billion Canadian dollars, compared with share repurchases of 3.5 billion Canadian dollars for the same period. However, management explained on the 2026-07-29 call that part of the working capital improvement was associated with an increase in income taxes payable, and that a substantial portion of fiscal year 2026 cash taxes would be paid in February 2027.
According to EL7 data, total debt was 11.6 billion Canadian dollars compared with cash and short-term investments of 3.2 billion Canadian dollars in quarter 2 of fiscal year 2026, ended 2026-06-30. The cash comparison is limited to cash and cash equivalents and current short-term investments, so it is insufficient to assess overall liquidity. Diluted shares totaled 1.87 billion in the same quarter compared with 1.83 billion in quarter 3 of fiscal year 2025, an increase of 2.2% illustrating that repurchases did not prevent the share base from expanding between the two periods.
The announcement is expected to clarify whether the production trajectory that prompted management on the 2026-07-29 call to raise fiscal year 2026 guidance to 970,000–1,010,000 barrels of oil equivalent per day is continuing. Maintaining fiscal year 2026 capital expenditure guidance at 5–5.3 billion Canadian dollars is particularly significant because it tests the company's ability to increase production within budget. An update on the Lima turnaround associated with the September and October 2026 plan also warrants attention, given U.S. refinery utilization of approximately 96% in quarter 2 of fiscal year 2026, ended 2026-06-30.