Ovintiv (NYSE:OVV) Stock Price Down 4.3% - Here's What Happened

Key Points

• Ovintiv's stock price fell by 4.3%, trading between $41.19 and $41.32, with a significant drop in trading volume of 89% from the average.
• The company reported earnings of $1.02 per share, falling short of analysts' expectations, along with a revenue of $1.79 billion compared to a forecast of $1.92 billion.
• A recent quarterly dividend of $0.30 per share was announced, translating to an annualized yield of 2.9% and a payout ratio of 53.10%.

Ovintiv Inc. (NYSE:OVV - Get Free Report) shares were down 4.3% during trading on Monday . The company traded as low as $41.19 and last traded at $41.32. Approximately 375,892 shares changed hands during trading, a decline of 89% from the average daily volume of 3,463,053 shares. The stock had previously closed at $43.17.

Analysts Set New Price Targets

A number of research analysts recently commented on OVV shares. Morgan Stanley set a $48.00 price objective on shares of Ovintiv and gave the company an "equal weight" rating in a research report on Monday, August 18th. TD Cowen upgraded Ovintiv to a "strong-buy" rating in a report on Monday, July 7th. The Goldman Sachs Group upgraded Ovintiv from a "neutral" rating to a "buy" rating and increased their price objective for the stock from $47.00 to $51.00 in a report on Tuesday, July 1st. Scotiabank increased their price objective on Ovintiv from $48.00 to $51.00 and gave the stock a "sector outperform" rating in a report on Friday, July 11th. Finally, Mizuho lowered their price target on Ovintiv from $58.00 to $50.00 and set an "outperform" rating on the stock in a report on Monday, September 15th. Two research analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating and three have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $52.69.

Ovintiv Stock Performance

The company has a market capitalization of $10.46 billion, a P/E ratio of 17.99, a PEG ratio of 5.55 and a beta of 1.08. The stock has a fifty day simple moving average of $40.94 and a 200-day simple moving average of $38.97. The company has a quick ratio of 0.43, a current ratio of 0.43 and a debt-to-equity ratio of 0.42.

Ovintiv (NYSE:OVV - Get Free Report) last released its quarterly earnings results on Thursday, July 24th. The company reported $1.02 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.04 by ($0.02). The business had revenue of $1.79 billion during the quarter, compared to the consensus estimate of $1.92 billion. Ovintiv had a net margin of 6.46% and a return on equity of 14.24%. Equities analysts forecast that Ovintiv Inc. will post 5.59 EPS for the current year.

Ovintiv Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 29th. Investors of record on Monday, September 15th will be given a $0.30 dividend. The ex-dividend date is Monday, September 15th. This represents a $1.20 annualized dividend and a dividend yield of 2.9%. Ovintiv's payout ratio is currently 53.10%.

Institutional Investors Weigh In On Ovintiv

Institutional investors and hedge funds have recently made changes to their positions in the stock. Texas Permanent School Fund Corp grew its holdings in shares of Ovintiv by 31.1% during the 2nd quarter. Texas Permanent School Fund Corp now owns 227,500 shares of the company's stock worth $8,656,000 after purchasing an additional 53,993 shares in the last quarter. Neuberger Berman Group LLC raised its position in shares of Ovintiv by 6.9% during the second quarter. Neuberger Berman Group LLC now owns 24,919 shares of the company's stock worth $948,000 after acquiring an additional 1,616 shares during the last quarter. Nomura Holdings Inc. bought a new position in shares of Ovintiv during the second quarter worth about $240,000. Headlands Technologies LLC raised its position in shares of Ovintiv by 740.0% during the second quarter. Headlands Technologies LLC now owns 12,054 shares of the company's stock worth $459,000 after acquiring an additional 10,619 shares during the last quarter. Finally, Vident Advisory LLC grew its stake in Ovintiv by 14.2% during the second quarter. Vident Advisory LLC now owns 25,930 shares of the company's stock worth $987,000 after purchasing an additional 3,231 shares during the period. Institutional investors own 83.81% of the company's stock.

About Ovintiv

Ovintiv Inc, together with its subsidiaries, explores, develops, produces, and markets natural gas, oil, and natural gas liquids in the United States and Canada. The company operates through USA Operations, Canadian Operations, and Market Optimization segments. Its principal assets include Permian in west Texas and Anadarko in west-central Oklahoma; and Montney in northeast British Columbia and northwest Alberta.

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