Ovintiv Inc. (DE) (OVV)

FairStock Score: 65/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look at Ovintiv as a cyclical oil and gas producer, not a franchise. It explores and produces in the Permian, Anadarko, and Montney, but it sells commodities at prices set by markets, so the moat is narrow at best. The financial record shows why: in fiscal 2023, the year ended 2023-12-31, revenue was $10.7B, net income $2.1B, and diluted EPS $7.90; in fiscal 2025, the year ended 2025-12-31, revenue fell to $8.7B, net income $1.2B, and diluted EPS $4.78. Quarterly swings are wide too. In fiscal Q1 2026, the quarter ended 2026-03-31, Ovintiv lost $630.0M, or $2.35 per diluted share, then in fiscal Q2 2026, the quarter ended 2026-06-30, it earned $456.0M, or $1.62 per diluted share, on $2.9B of revenue. That is the nature of the business. Balance sheet leverage, with debt-to-equity of 0.44 and an Altman Z-Score of 1.90 as calculated by FairStock, is not alarming but not fortress-like. The Piotroski F-Score of 9/9 suggests recent accounting signals are strong, and trailing free cash flow of $2.3B gives a 12.3% FCF yield against the $18.4B market cap. Still, at the 2026-10-13 close of $66.66, the FairStock P/E is 18.62, P/B is 1.60, and the Graham Number is $57.87, leaving a negative 15.19% margin of safety. I would want a wider discount for a price-taker. The 65/100 FairStock Score and cyclical label fit a fair-to-full valuation on volatile earnings, not a bargain.

In plain English: Ovintiv is an oil and gas producer in North America. It makes money when energy prices are good, but results swing a lot: in the quarter ended 2026-06-30 it earned $456.0M on $2.9B of revenue, while the prior quarter ended 2026-03-31 showed a $630.0M loss. At $66.66 on 2026-10-13, the shares look a bit pricey versus earnings and accounting value, even though the business generates strong cash flow.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer