Cenovus Energy Gets a Buy Rating from GMP FirstEnergy

By Ryan Adsit

Cenovus Energy (TSX: CVE), the Materials sector company was revisited today, and remains undervalued for at least one analyst on the street. Analyst Michael Dunn from GMP FirstEnergy reiterated a Buy rating, with a C$14 price target.

According to TipRanks.com, Dunn is ranked #4509 out of 4569 analysts.

Currently, the analyst consensus on Cenovus Energy is Moderate Buy and the average price target is C$20.10, representing an 119.9% upside.

In a report released yesterday, AltaCorp Captial also reiterated a Buy rating on the stock with a C$21.50 price target.

Cenovus Energy’s market cap is currently C$7.87B and has a P/E ratio of 0.

Cenovus Energy, Inc. engages in gas and oil provisions. Its activities include development, production, and marketing of crude oil, natural gas liquids, and natural gas in Canada. It operates through the following segments: Oil Sands, Conventional, Refining and Marketing; and Corporate and Eliminations. The Oil sands segment includes the development and production of bitumen and natural gas assets in northeast Alberta including Foster Creek, Christina Lake and Narrows Lake as well as projects in the early stages of development, such as Grand Rapids and Telephone Lake. The Conventional segment is the development and production of conventional crude oil, natural gas, and natural gas in Alberta and Saskatchewan which consists of heavy oil assets at Pelican Lake. The Refining and Marketing segment provides transportation, sale and refine services of crude oil into petroleum and chemical products. The Corporate and Eliminations segment refers primarily to unrealized gains and losses recorded on derivative financial instruments, gains and losses on divestiture of assets, as well as other wide costs for general and administrative, financing activities and research costs. The company was founded on November 30, 2009 and is headquartered in Calgary, Canada.

The company’s shares closed last Wednesday at $9.14, close to its 52-week low of $9.11.