$CVE

Sector Update: Energy Stocks Gain Late Afternoon

Energy stocks were higher late Tuesday afternoon, with the NYSE Energy Sector Index rising 1.4% and the State Street Energy Select Sector SPDR ETF (XLE) up 1.3%.The Philadelphia Oil Service Sector Index was decreasing 0.2%, and the Dow Jones US Utilities Index rose 1.2%.Brent crude futures rose close to the $100 mark on Tuesday after attacks on Saudi Arabian energy facilities prompted temporary production shutdowns. Oil prices are up so far in September following two consecutive monthly gains as tensions between the US and Iran escalated. Yemen's Iran-allied Houthi group struck civilian and economic sites in Saudi Arabia, injuring 73 people, the kingdom's Ministry of Foreign Affairs said Tuesday. The attacks sparked fires at several energy facilities, prompting a temporary halt to operations, the Saudi Energy Ministry. The Houthi group targeted Saudi Aramco's facilities across Abha, Najran, and Jazan, Bloomberg reported, citing the group's military spokesperson.Front-month West Texas Intermediate crude oil rose 2.2% to $93.52 a barrel, and the global benchmark Brent crude contract added 1.6% to $98.59 a barrel. Henry Hub natural gas futures fell 2% to $2.92 per 1 million BTU.In corporate news, Cenovus Energy (CVE) shares rose 2.8% after JPMorgan upgraded the stock to overweight from neutral.NextEra Energy (NEE) and the US Department of Energy, through its Office of Energy Dominance Financing, have agreed to a combined conditional commitment of up to $1.9 billion to restart the Duane Arnold Energy Center in Iowa, the company said Tuesday. NextEra shares added 0.9%.Equinor (EQNR) and Standard Lithium's (SLI) Smackover Lithium partnership said Tuesday that a preliminary economic assessment of the Franklin project in northeast Texas estimates annual production of up to 70,000 tonnes of battery-quality lithium carbonate. Equinor shares rose 2.9%.Solaris Energy Infrastructure (SEI) shares jumped past 15% after the firm said Tuesday that it now expects Q3 adjusted Ebitda of $110 million to $130 million, up from its previous guidance of $90 million to $105 million.

Sector Update: Energy

Energy stocks were higher late Tuesday afternoon, with the NYSE Energy Sector Index rising 1.4% and the State Street Energy Select Sector SPDR ETF (XLE) up 1.3%.The Philadelphia Oil Service Sector Index was decreasing 0.2%, and the Dow Jones US Utilities Index rose 1.2%.Brent crude futures rose close to the $100 mark on Tuesday after attacks on Saudi Arabian energy facilities prompted temporary production shutdowns. Oil prices are up so far in September following two consecutive monthly gains as tensions between the US and Iran escalated. Yemen's Iran-allied Houthi group struck civilian and economic sites in Saudi Arabia, injuring 73 people, the kingdom's Ministry of Foreign Affairs said Tuesday. The attacks sparked fires at several energy facilities, prompting a temporary halt to operations, the Saudi Energy Ministry. The Houthi group targeted Saudi Aramco's facilities across Abha, Najran, and Jazan, Bloomberg reported, citing the group's military spokesperson.Front-month West Texas Intermediate crude oil rose 2.2% to $93.52 a barrel, and the global benchmark Brent crude contract added 1.6% to $98.59 a barrel. Henry Hub natural gas futures fell 2% to $2.92 per 1 million BTU.In corporate news, Cenovus Energy (CVE) shares rose 3% after JPMorgan upgraded the stock to overweight from neutral.

Cenovus Energy Shares Rise After JPMorgan Upgrade

Cenovus Energy (CVE) shares were up about 3.2% in Tuesday trading after JPMorgan upgraded the stock to overweight from neutral and raised its price target to 58 Canadian dollars ($42.1) from CA$51.Intraday trading volume stood at over 4.2 million shares against a daily average of roughly 7.5 million.Price: $33.39, Change: $+1.02, Percent Change: +3.14%

JPMorgan Upgrades Cenovus Energy to Overweight From Neutral, Adjusts PT to CA$58 From CA$51

Cenovus Energy (CVE) has an average rating of buy and mean price target of CA$50.67, according to analysts polled by FactSet.

TPH Sees Oil Sands Stocks Unfazed by Venezuela Headlines, Keeps Outlook Unchanged

Oil sands stocks are expected to hold steady despite headlines from Venezuela, with demand, export capacity, and stock positioning shaping the outlook, Jeoffrey Lambujon, an analyst at TPH Energy Research, said in a Thursday note.Recent Venezuela headlines carry more substance than January speculation, but TPH sees headline risk outweighing fundamental risk as producers maintain medium-term capital plans.Channel checks across TPH's coverage found no expected changes to capital plans despite stronger-than-expected Venezuela volumes this year.TPH sees Petroleum Administration for Defense District 2 demand for Canadian heavy crude as key for Oil Sands producers.Lambujon said he expectes to see PADD 3 displacement as a smaller concern, with the impact ultimately dependent on Venezuela-side execution.The trilateral memorandum of understanding remains the key near-term development, with definitive agreements targeted by Nov. 15, when commitments would become binding.The firm expects Oil Sands producers to seek more egress capacity, while Venezuela's development could increase interest in westbound routes due to better economics than southbound options.Post-war Asian demand will remain important as producers assess export options and their longer-term appeal, TPH said.Oil sands stocks have gained 4% since Venezuela headlines ended last week, broadly matching TPH's global international oil company and North American upstream coverage.TPH said the recent re-escalation in the Middle East has more than offset Oil Sands stock gains in the short term, while Permian headlines reinforce the sector's longer-term appeal to North American oil.TPH kept its positioning unchanged, with Suncor Energy (SU) and Cenovus Energy (CVE) as top picks while watching Canadian Natural Resources (CNQ) for potential Q3 strength from Syncrude premiums.Price: $68.76, Change: $+0.37, Percent Change: +0.54%

CIBC Raises Price Targets on Canadian Natural Resources, Cenovus Energy, Whitecap

CIBC Capital Markets raised its price targets on three Canadian large cap energy companies.Analyst Dennis Fong increased his target on Canadian Natural Resources (CNQ.TO, CNQ) to C$75 from C$70, Cenovus Energy (CVE.TO, CVE) to C$52 from C$48, and Whitecap Resources (WCP.TO) to C$20 from C$19.Fong maintained an outperformer rating on all three stocks."Strong commodity prices have helped provide a strong tailwind for cash flow and notwithstanding planned turnarounds in Q3/26, we continue to expect strong FCF generation with a view of accelerated deleveraging and increased returns to shareholders," the analyst said in a note to clients.

UBS Adjusts Price Target on Cenovus Energy to CA$52 From CA$46, Keeps Buy Rating

Cenovus Energy (CVE) has an average rating of buy and mean price target of CA$49.73, according to analysts polled by FactSet.Price: $32.24, Change: $+0.11, Percent Change: +0.34%

RBC Raises Price Target on Cenovus Energy to CA$51 From CA$47, Keeps Outperform Rating

Cenovus Energy (CVE) has an average rating of buy and mean price target of CA$48.10, according to analysts polled by FactSet.

Cenovus Energy Price Target Raised to C$51 at RBC

RBC Capital Markets raised its price target on Cenovus Energy (CVE.TO, CVE) to C$51 from C$47.Analyst Greg Pardy maintained an Outperform rating on shares of the Canadian integrated oil and natural gas company following its Q2 results on Wednesday.Cenovus shares rose C$1.77, or 4.5%, to C$40.83 on the Toronto Stock Exchange."Cenovus Energy delivered robust second-quarter results top-to-bottom along with a favorable guidance outlook which points toward higher production and lower unit operating costs this year," Pardy said in a note to clients.

Canadian Oilfield Services Stocks Slip as WCSB Drilling Activity Climbs, RBC Says

Canadian oilfield services stocks fell 5% over the past week even as drilling activity in the Western Canadian Sedimentary Basin climbed further above historical levels, RBC Capital Markets analysts said in a note on Tuesday.The WCSB rig count rose by six week over week to 227, up 40 rigs from a year earlier and 35 above the five-year average. The Q3 average of 220 rigs is well ahead of RBC's forecast of 201.Private operators accounted for most of the increase, adding five rigs during the week, while large exploration and production companies producing over 75,000 barrels of oil equivalent per day added two.Montney activity increased by four rigs to 39, led by ARC Resources (ARC) and Ovintiv (OVV) with six rigs each, followed by Tourmaline Oil with five. Precision Drilling (PDS) remained the largest contractor in the play with 21 rigs, or 54% of the total.Heavy oil drilling also rose by four rigs to 68, led by Canadian Natural Resources (CNQ) with 13 rigs and Cenovus Energy (CVE) with 10. Duvernay activity edged up one rig to 18, while oil sands drilling slipped by two rigs to six.Despite stronger drilling activity, Canadian oilfield services stocks under RBC coverage declined 5% during the week.CES Energy Solutions posted the smallest loss, down 1.2%, followed by Calfrac Well Services, down 2.7%, and Pulse Seismic, down 3.7%.Trican Well Service, Precision Drilling (PDS) and Enerflex (EFXT) were the weakest performers, falling 6.5%, 7.4% and 9.8%, respectively.RBC's Canadian oilfield services coverage group has gained 28.7% year to date, compared with a 41.3% gain for the S&P/TSX Capped Energy Index.The bank forecast Canadian exploration and production companies under its coverage will generate pre-dividend free cash flow of $7.2 billion Canadian dollars ($5.12 billion) in 2026 and $7.8 billion in 2027, while reinvesting 64% and 62% of cash flow, respectively.

Cenovus Raises Full-Year Production Guidance on Strong Oil Sands Performance

Cenovus Energy (CVE) reported Q2 earnings on Wednesday, raising its full-year upstream production guidance after stronger-than-expected performance from its oil sands operations helped offset maintenance-related disruptions elsewhere in its portfolio.The Canadian oil producer said it now expects total upstream production of between 970,000 million barrels of oil equivalent per day and 1.01 mmboe/d in 2026, an increase of 25,000 boe/d at the midpoint from its previous forecast.The company also said it remains on track to surpass more than 1 million boe/d of upstream production during July.Total upstream production averaged 970.4 mmboe/d in Q2, compared to 765.9 mmboe/d for the corresponding period a year ago.Output at Cenovus' flagship Christina Lake oil sands project rose to 372.1 million barrels per day in Q2, supported by strong well performance at Narrows Lake and continued progress on redevelopment drilling at Christina Lake North.The company said production at Foster Creek declined to 214.5 million b/d in Q2 after an unplanned operational disruption in late May, while output from the Sunrise project rose to 65.7 million b/d as production ramped up from its first well pad in the East development area.Production from Cenovus' Lloydminster thermal assets increased to 103.1 million b/d, while conventional heavy oil production in the region slipped to 28.4 million b/d.Production from the energy firm's conventional segment fell to 118.2 million boe/d, due to third-party maintenance activities.Offshore production declined to 65.8 million boe/d in Q2, due to planned maintenance in China and Indonesia that reduced Asia Pacific production to 51.2 million boe/d, while turnaround work at the Terra Nova field lowered Atlantic region output to 14.6 million b/d.On the downstream side, total crude throughput averaged 451.5 million b/d in Q2, down from 665.8 million b/d a year ago.Canadian refining throughput declined to 101.7 million b/d, representing a 94% utilization rate, after turnaround work at the Lloydminster Upgrader.The company lowered expected oil sands operating costs to $10.75-$11.75/boe/d, from $11.25-$12.75, while conventional operating cost guidance was reduced to $10.00-$10.50/boe/d from $11.00-$12.00.Cenovus also increased its Canadian refining throughput guidance to 110 million -115 million b/d, while lowering expected Canadian refining operating expenses to $10.50-$11.50/bbl, citing strong year-to-date operating performance.The company updated its commodity price assumptions and cash tax guidance but left its 2026 capital spending forecast unchanged at $5 billion to $5.3 billion.Price: $29.11, Change: $+1.45, Percent Change: +5.22%

Sector Update: Energy Stocks Higher Pre-Bell Wednesday

Energy stocks were higher premarket Wednesday, with the State Street Energy Select Sector SPDR ETF (XLE) gaining 2.2%.The United States Oil Fund (USO) was up 6.4%, while the United States Natural Gas Fund (UNG) was 0.3% higher.Front-month US West Texas Intermediate crude oil was up 6.7% to $84.56 per barrel at the New York Mercantile Exchange. Global benchmark North Sea Brent crude oil rose 7.1% to $90.05 per barrel, and natural gas futures were 0.5% lower at $2.65 per 1 million British Thermal Units.Eni (E) stock was up more than 6% before market open after the company reported higher Q2 net profit and sales.Cenovus Energy (CVE) gained more than 4% after the company reported higher Q2 earnings.Woodside Energy Group (WDS) rose 3% after the company reported higher Q2 operating revenue.

Cenovus Energy Q2 Earnings Rise

Cenovus Energy (CVE) reported Q2 earnings Wednesday of CA$1.53 ($1.08) per diluted share, up from $0.455 a year earlier.Three analysts surveyed by FactSet expected $1.64.Revenue for the quarter ended June 30 was $17.4 billion.Analysts expected $16.87 billion.Shares of the company were up 4.3% in recent Wednesday premarket activity.

Earnings Flash (CVE) Cenovus Energy Posts Q2 Revenue CA$17.4B, vs. FactSet Est of CA$16.87B

Earnings Flash (CVE) Cenovus Energy Posts Q2 EPS CA$1.53, vs. FactSet Est of CA$1.64

Aker Solutions Q2 Order Intake Declines YOY; Order Backlog Up

Norwegian energy engineering firm Aker Solutions Tuesday reported that its order intake for Q2 decreased year over year, but its order backlog grew.The company's Q2 order intake totaled 9.92 billion Norwegian krone ($1.02 billion), down from the previous year's 10.93 billion krone, according to the report.Order backlog at the end of the quarter, meanwhile, stood at 77.17 billion krone, up versus the prior year's 67.95 billion krone.During the quarter, Aker Solutions secured a long-term engineering and maintenance agreement with Cenovus Energy (CVE) for the White Rose field assets in Canada, and was awarded a supply contract for Tussa II hydropower plant's electromechanical equipment.The company said it has also completed the load-out of Hugin B platform topside for Aker BP and has begun the construction of carbon capture and storage project in Norway.

Canadian Rig Activity Eases While Sector Outlook Remains Firm, RBC Says

Canadian drilling activity softened as the Western Canadian Sedimentary Basin rig count fell to 204, while sector fundamentals remained resilient, RBC Capital Markets said in a Tuesday note.The firm said its Canadian oilfield services coverage group remains up 31% year to date, outperforming the S&P/TSX Capped Energy Index, which has advanced 26.3% over the same period.CES Energy Solutions led the group with a 4.8% gain, while Pason Systems slipped 0.8% and Enerflex declined 3%, making them the top three performers, RBC said.Precision Drilling was the weakest performer, falling 8.2%. Ensign Energy Services dropped 4.6% and Trican Well Service lost 4.1%, rounding out the bottom three performers, the note said.RBC said the Q2 average rig count reached 165, exceeding its estimate of 143. Private operators added one rig over the week, while large exploration and production companies reduced activity by one rig.The Montney rig count increased by three week over week to 39. Ovintiv (OVV) led operators with six rigs, followed by Tourmaline with five, while Precision Drilling remained the top contractor with 23 rigs, ahead of Ensign with seven and Savanna with five, RBC said.The Duvernay rig count declined by one week over week to 14. Whitecap Resources led operators with three rigs, followed by Canadian Natural Resources with two, while Ensign Energy Services remained the top driller with six rigs, ahead of Precision Drilling and Savanna, each with two.The Viking rig count fell by three week over week to two. Teine Energy operated both active rigs, while Ensign Energy Services and Savanna each drilled one rig, according to the note.The Oil Sands rig count declined by four week over week to 10. Cenovus Energy (CVE) led operators with four rigs, while CNOOC and Canadian Natural Resources each ran two. Precision Drilling remained the leading contractor with eight rigs.RBC said Canadian exploration and production companies are on track to generate $6.9 billion in pre-dividend free cash flow in 2026 and $6.4 billion in 2027 using futures strip pricing.RBC expects producers to reinvest 64% of cash flow in 2026 and 67% in 2027, compared with the five-year trailing average of 64%.Price: $23.81, Change: $-0.71, Percent Change: -2.88%

Sector Update: Energy Stocks Decline Premarket Friday

Energy stocks were declining premarket Friday, with the State Street Energy Select Sector SPDR ETF (XLE) 0.4% lower.The United States Oil Fund (USO) was down 3% and the United States Natural Gas Fund (UNG) was 2.3% higher.Front-month US West Texas Intermediate crude oil was 3.2% lower at $69.64 per barrel at the New York Mercantile Exchange. Global benchmark North Sea Brent crude oil lost 3.5% to $72.64 per barrel, and natural gas futures were up 1.5% at $3.39 per 1 million British Thermal Units.Equinor (EQNR) shares were down more than 1% after the company said it is ending its offshore wind business activities in Japan and shut its Tokyo office by the end of the year.Cenovus Energy (CVE) has awarded a five-year engineering and maintenance services contract for its White Rose offshore field assets to Aker Solutions, the latter said. Cenovus Energy stock was 0.6% lower premarket.TotalEnergies (TTE) said the Paris Judicial Court rejected a bid by environmental groups and the City of Paris to block new oil and gas projects or force production cuts under France's duty of vigilance law. Shares of TotalEnergies were down 0.2% pre-bell.

Cenovus Energy Awards 5-Year White Rose Engineering, Maintenance Contract to Aker Solutions

Cenovus Energy (CVE) has awarded a five-year engineering and maintenance services contract for its White Rose offshore field assets to Aker Solutions, the latter said Friday.Aker said the contract is classified as "sizeable," typically valued between 500 million Norwegian kroner ($50.5 million) and 1.5 billion kroner.The agreement covers support for the West White Rose platform and the SeaRose floating production storage and offloading vessel located about 350 km east of St. John's, Newfoundland and Labrador in Canada, Aker said.

Cenovus' Foster Creek, Christina Lake Lead May Oil Sands Performance, TPH Energy Says

May production estimates pointed to strong performance at Cenovus' (CVE) Foster Creek and Christina Lake assets, while other major oil sands operations produced mixed results, TPH Energy said in a Thursday note.TPH Energy estimated combined production at Foster Creek and Christina Lake averaged about 603,000 barrels per day in May, lifting the quarter-to-date average to about 602,000 b/d, above its second-quarter forecast of 576,000 b/d.Foster Creek increased about 8,000 b/d from April to roughly 223,000 b/d, while Christina Lake added about 13,000 b/d to 379,000 b/d.Sunrise also rose about 6,000 b/d, lifting its quarter-to-date average to about 65,000 b/d versus TPH Energy's 60,000 b/d estimate.Imperial Oil's Cold Lake production declined about 9,000 b/d from April to an estimated 142,000 b/d. Its quarter-to-date average reached about 147,000 b/d, below TPH Energy's second-quarter forecast of 156,000 b/d.Suncor Energy's (SU) Firebag production fell about 111,000 b/d to roughly 105,000 b/d ahead of a planned turnaround.However, its quarter-to-date average remained at about 161,000 b/d, slightly above TPH Energy's 159,000 b/d estimate, while MacKay River averaged about 36,000 b/d versus the firm's 35,000 b/d forecast.Canadian Natural Resources (CNQ) posted mixed operating results. Kirby increased about 2,000 b/d to 60,000 b/d, lifting its quarter-to-date average to about 59,000 b/d compared with TPH Energy's 53,000 b/d forecast.Primrose Wolf Lake rose about 1,000 b/d to 74,000 b/d but stayed below the firm's 91,000 b/d outlook, while Jackfish rebounded about 30,000 b/d to 145,000 b/d, bringing its quarter-to-date average to about 130,000 b/d versus the projected 132,000 b/d.Price: $24.58, Change: $-0.11, Percent Change: -0.45%