CVENEUTRAL

Return on Equity (ROE)

14.8%

Higher than 70% of Energy sector peers

Updated 166h ago

Sector Performance

70th percentile

CVE

14.8%

Sector Median

11.8%

Sector Avg

6.6%

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Deep Analysis

Return on Equity (ROE) measures how much profit a company generates for each dollar of shareholders’ equity; Cenovus Energy’s current 12.4% means it earned $0.124 for every dollar of equity.

This falls below the sector median of 13.2%, placing the company in the 39th percentile among Energy peers. Data for both the year-over-year and quarter-over-quarter changes is not available, and no trend direction can be determined for the last eight quarters. Because the ROE level is slightly below the sector average and no trend information exists, there is neither a clear opportunity nor a pronounced risk from this metric alone. The lack of a trend prevents any assessment of improvement or deterioration. This metric supports the overall NEUTRAL verdict, as the ROE is near the peer median with no directional signal to tilt the view toward bullish or bearish.

Frequently Asked Questions

What does the Return on Equity (ROE) tell investors about CVE?

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.

How is the Return on Equity (ROE) calculated?

Return on Equity (ROE) is calculated as: Net Income / Shareholders' Equity.

How does CVE's Return on Equity (ROE) compare to its sector?

CVE's Return on Equity (ROE) of 14.8% compares to a Energy sector median of 11.8%, placing it in the 70th percentile.

Who are CVE's closest peers by Return on Equity (ROE)?

The closest Energy peers by Return on Equity (ROE) include: TRP (11.3%), ET (12.4%), IMO (12.4%), SLB (12.8%), SHEL (10.2%).

The Formula

Net Income / Shareholders' Equity

Why It Matters

ROE measures how effectively management turns equity into profit. Consistently above 15% is typically considered strong. Negative equity distorts this metric.