Ovintiv (NYSE:OVV) Upgraded at Zacks Research

Key Points

• Zacks Research upgraded Ovintiv from “Hold” to “Strong Buy,” citing improving earnings expectations and favorable momentum, value and income characteristics.
• Analyst sentiment is broadly positive: Ovintiv has a consensus “Moderate Buy” rating and an average price target of $72.32, while several firms recently raised targets or reaffirmed buy ratings.
• Ovintiv’s proposed $890 million Logan Energy acquisition could add approximately 266,000 net acres and 20,000 barrels of oil equivalent per day in the Montney region, though investors will monitor closing, integration and commodity-price risks.

Ovintiv (NYSE:OVV - Get Free Report) was upgraded by investment analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a research note issued on Tuesday, Zacks reports.

A number of other research analysts have also issued reports on OVV. Stifel Nicolaus set a $92.00 price target on shares of Ovintiv and gave the stock a "buy" rating in a research note on Wednesday, September 9th. UBS Group reaffirmed a "buy" rating and issued a $85.00 price objective on shares of Ovintiv in a report on Monday, September 14th. Truist Financial boosted their target price on Ovintiv from $73.00 to $77.00 and gave the stock a "buy" rating in a research report on Monday, October 12th. Scotiabank increased their target price on Ovintiv from $75.00 to $80.00 and gave the stock a "sector outperform" rating in a research note on Monday, October 19th. Finally, Morgan Stanley raised their price target on Ovintiv from $67.00 to $71.00 and gave the company an "equal weight" rating in a report on Thursday, October 15th. Two investment analysts have rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $72.32.

Ovintiv Stock Up 0.3%

Shares of Ovintiv stock opened at $71.31 on Tuesday. Ovintiv has a one year low of $35.47 and a one year high of $73.61. The company has a market cap of $19.65 billion, a P/E ratio of 20.15 and a beta of 0.65. The company has a debt-to-equity ratio of 0.32, a quick ratio of 1.01 and a current ratio of 1.01. The firm has a fifty day moving average of $64.75 and a two-hundred day moving average of $57.09.

Insider Transactions at Ovintiv

In other Ovintiv news, EVP Rachel Moore sold 7,753 shares of the company's stock in a transaction dated Wednesday, August 12th. The shares were sold at an average price of $63.32, for a total value of $490,919.96. Following the sale, the executive vice president owned 72,530 shares of the company's stock, valued at $4,592,599.60. This represents a 9.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.85% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the business. BlackRock Inc. acquired a new stake in Ovintiv during the 2nd quarter valued at $1,422,959,000. Arrowstreet Capital Limited Partnership lifted its stake in shares of Ovintiv by 16.9% during the first quarter. Arrowstreet Capital Limited Partnership now owns 7,880,705 shares of the company's stock valued at $467,874,000 after buying an additional 1,137,162 shares during the period. Bank of New York Mellon Corp lifted its stake in shares of Ovintiv by 8.8% during the first quarter. Bank of New York Mellon Corp now owns 2,945,692 shares of the company's stock valued at $174,856,000 after buying an additional 239,054 shares during the period. Van ECK Associates Corp lifted its stake in shares of Ovintiv by 119.7% during the second quarter. Van ECK Associates Corp now owns 1,717,400 shares of the company's stock valued at $90,421,000 after buying an additional 935,860 shares during the period. Finally, Wellington Management Group LLP boosted its position in Ovintiv by 42.5% during the second quarter. Wellington Management Group LLP now owns 1,577,210 shares of the company's stock worth $83,040,000 after acquiring an additional 470,241 shares during the last quarter. 83.81% of the stock is owned by hedge funds and other institutional investors.

Key Ovintiv News

Here are the key news stories impacting Ovintiv this week:

• Positive Sentiment: Analyst support strengthened: National Bank Financial raised its price target from $94 to $95 and maintained an “outperform” rating, implying substantial upside from recent trading levels. Stifel Nicolaus also reaffirmed its “buy” rating. National Bank Financial rating Stifel Nicolaus rating
• Positive Sentiment: Logan Energy acquisition adds growth potential: Ovintiv’s proposed $890 million acquisition is expected to add approximately 266,000 net acres and 20,000 barrels of oil equivalent per day in the Montney region. The deal could expand liquids production, generate synergies and support stronger cash-flow growth. Ovintiv Logan acquisition
• Positive Sentiment: Improving earnings expectations: Zacks upgraded OVV to Rank #1, or “Strong Buy,” citing growing optimism about the company’s earnings prospects and the potential for a favorable upcoming earnings report. The stock was also included in Zacks’ Strong Buy momentum, value and income lists. Zacks Strong Buy upgrade
• Neutral Sentiment: The Logan transaction and expected earnings beat remain forward-looking catalysts. Investors will still watch for closing conditions, integration execution, commodity prices and confirmation of earnings growth in Ovintiv’s upcoming results. Logan acquisition analysis

About Ovintiv

Ovintiv Inc is an independent energy company engaged in the exploration, development, production and marketing of oil, condensate, natural gas liquids and natural gas. The company's operations are focused on North America, with production and resource development activities in the United States and Canada.

Ovintiv's U.S. operations include assets in the Permian Basin of Texas and New Mexico and the Uinta Basin of Utah. In Canada, the company's portfolio includes the Montney and Horn River natural gas and liquids-rich plays in British Columbia and Alberta.

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