In the latest trading session, Cenovus Energy (CVE) closed at $14.83, marking a +2.84% move from the previous day. The stock's change was more than the S&P 500's daily loss of 1.13%. Elsewhere, the Dow lost 1.79%, while the tech-heavy Nasdaq lost 1.3%.
The oil company's stock has climbed by 5.72% in the past month, exceeding the Oils-Energy sector's gain of 5.03% and the S&P 500's gain of 3.55%.
The investment community will be paying close attention to the earnings performance of Cenovus Energy in its upcoming release. The company's earnings per share (EPS) are projected to be $0.2, reflecting a 48.72% decrease from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $9.21 billion, indicating a 15.35% decline compared to the corresponding quarter of the prior year.
CVE's full-year Zacks Consensus Estimates are calling for earnings of $0.98 per share and revenue of $35.98 billion. These results would represent year-over-year changes of -19.67% and -9.27%, respectively.
Any recent changes to analyst estimates for Cenovus Energy should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 20.53% decrease. Right now, Cenovus Energy possesses a Zacks Rank of #5 (Strong Sell).
From a valuation perspective, Cenovus Energy is currently exchanging hands at a Forward P/E ratio of 14.75. This expresses a premium compared to the average Forward P/E of 14.4 of its industry.
The Oil and Gas - Integrated - Canadian industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 234, this industry ranks in the bottom 5% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Cenovus Energy Inc (CVE): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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