Zacks Research Brokers Boost Earnings Estimates for Ovintiv

Key Points

• Zacks Research raised Ovintiv’s FY2026 EPS estimate slightly to $6.71 from $6.70 and issued estimates for 2027 and 2028, while maintaining a “Hold” rating. The broader analyst consensus remains more bullish, with a “Moderate Buy” rating and an average price target of $69.15.
• Ovintiv’s latest quarterly results included $1.74 in EPS, below the $1.94 consensus estimate, although revenue of $3.01 billion exceeded analyst expectations of $2.37 billion.
• The stock opened at $57.80, down 1.7%, while the company maintained its quarterly dividend at $0.30 per share, representing a 2.1% annualized yield.

Ovintiv Inc. (NYSE:OVV - Free Report) - Analysts at Zacks Research lifted their FY2026 EPS estimates for shares of Ovintiv in a report issued on Wednesday, September 30th. Zacks Research analyst Team now anticipates that the company will post earnings of $6.71 per share for the year, up from their previous forecast of $6.70. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for Ovintiv's current full-year earnings is $7.28 per share. Zacks Research also issued estimates for Ovintiv's Q1 2027 earnings at $1.38 EPS, Q2 2027 earnings at $1.27 EPS, Q3 2027 earnings at $1.27 EPS, Q4 2027 earnings at $1.31 EPS, FY2027 earnings at $5.24 EPS, Q1 2028 earnings at $1.48 EPS, Q2 2028 earnings at $2.01 EPS and FY2028 earnings at $6.67 EPS.

Ovintiv (NYSE:OVV - Get Free Report) last released its quarterly earnings results on Thursday, July 23rd. The company reported $1.74 EPS for the quarter, missing the consensus estimate of $1.94 by ($0.20). Ovintiv had a net margin of 9.43% and a return on equity of 14.84%. The firm had revenue of $3.01 billion for the quarter, compared to analyst estimates of $2.37 billion.

A number of other research analysts have also issued reports on OVV. UBS Group reiterated a "buy" rating and set a $85.00 target price on shares of Ovintiv in a research report on Monday, September 14th. Wall Street Zen upgraded Ovintiv from a "hold" rating to a "buy" rating in a report on Saturday, July 25th. Weiss Ratings upgraded Ovintiv from a "hold (c)" rating to a "buy (b-)" rating in a research report on Tuesday, July 28th. Stephens reissued a "positive" rating and issued a $69.00 price objective on shares of Ovintiv in a research note on Friday, July 24th. Finally, Truist Financial reissued a "buy" rating and issued a $73.00 target price (up from $66.00) on shares of Ovintiv in a research note on Monday, July 27th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have assigned a Buy rating and three have given a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $69.15.

Ovintiv Trading Down 1.7%

Shares of Ovintiv stock opened at $57.80 on Thursday. The firm has a 50-day simple moving average of $62.87 and a two-hundred day simple moving average of $59.01. The company has a debt-to-equity ratio of 0.32, a quick ratio of 1.01 and a current ratio of 1.01. Ovintiv has a fifty-two week low of $35.47 and a fifty-two week high of $67.51. The company has a market cap of $15.93 billion, a P/E ratio of 16.33 and a beta of 0.53.

Ovintiv Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, September 29th. Stockholders of record on Tuesday, September 15th were given a dividend of $0.30 per share. This represents a $1.20 annualized dividend and a dividend yield of 2.1%. The ex-dividend date of this dividend was Tuesday, September 15th. Ovintiv's dividend payout ratio (DPR) is 33.90%.

Insiders Place Their Bets

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

Institutional Trading of Ovintiv

Several institutional investors and hedge funds have recently made changes to their positions in OVV. BlackRock Inc. acquired a new stake in Ovintiv in the second quarter valued at about $1,422,959,000. Millennium Management LLC grew its holdings in Ovintiv by 116.3% during the fourth quarter. Millennium Management LLC now owns 5,692,806 shares of the company's stock worth $223,101,000 after acquiring an additional 3,060,691 shares during the period. Bank of New York Mellon Corp purchased a new position in Ovintiv in the second quarter worth $124,308,000. Bank of America Corp DE acquired a new stake in Ovintiv in the second quarter valued at $79,475,000. Finally, Arrowstreet Capital Limited Partnership lifted its holdings in Ovintiv by 16.9% in the first quarter. Arrowstreet Capital Limited Partnership now owns 7,880,705 shares of the company's stock valued at $467,874,000 after acquiring an additional 1,137,162 shares during the period. 83.81% of the stock is owned by hedge funds and other institutional investors.

Trending Headlines about Ovintiv

Here are the key news stories impacting Ovintiv this week:

• Positive Sentiment: National Bank Financial raised its price target to $91 from $83 and reiterated an “Outperform” rating. The new target implies substantial upside from the referenced $57.80 share price, signaling confidence in Ovintiv’s valuation and earnings potential. Ovintiv stock information
• Positive Sentiment: Zacks Research raised its earnings estimates across multiple future periods. The changes include FY2026 EPS increasing to $6.71 from $6.70, FY2027 EPS to $5.24 from $5.11, and FY2028 EPS to $6.67 from $6.57. Quarterly estimates were also increased, including Q1 2027 EPS to $1.38 from $1.31 and Q1 2028 EPS to $1.48 from $1.45. These revisions suggest slightly improved expectations for Ovintiv’s operating performance.
• Neutral Sentiment: Zacks Research kept its “Hold” rating. Although estimates improved, the unchanged rating indicates the research firm does not view the revisions as sufficient to justify a more bullish stance. The current-year consensus EPS estimate remains $7.28.
• Negative Sentiment: The earnings revisions are relatively small and focused on periods well into the future. Without a new near-term operating update, production result, commodity-price catalyst, or change in the broader energy market, investors may remain cautious despite the higher price target and forecasts.

About Ovintiv

Ovintiv Inc NYSE: OVV is an energy company engaged in the exploration, development, production and operation of oil and natural gas properties. Its production includes crude oil, condensate, plant condensate, natural gas liquids and natural gas.

The company's operations are concentrated in North America, with core assets in the Permian Basin, Uinta Basin and Anadarko Basin in the United States, as well as the Montney region in western Canada. Ovintiv also owns and operates related processing, gathering and other midstream infrastructure that supports the production and transportation of its energy products.

Ovintiv was formerly known as Encana Corporation and adopted its current name in 2020.

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