Ovintiv (NYSE:OVV) Shares Gap Down – Should You Sell?

Ovintiv Inc. (NYSE:OVV)’s stock price gapped down before the market opened on Friday . The stock had previously closed at $55.72, but opened at $52.51. Ovintiv shares last traded at $51.8390, with a volume of 265,511 shares changing hands.

Analyst Ratings Changes

Several equities analysts have recently commented on the stock. Wall Street Zen upgraded shares of Ovintiv from a “hold” rating to a “buy” rating in a report on Saturday. Scotiabank boosted their price target on shares of Ovintiv from $58.00 to $65.00 and gave the company a “sector outperform” rating in a report on Thursday, March 19th. Barclays boosted their price target on shares of Ovintiv from $58.00 to $62.00 and gave the company an “overweight” rating in a report on Monday, March 16th. Jefferies Financial Group restated a “buy” rating and set a $54.00 price target on shares of Ovintiv in a report on Saturday, January 17th. Finally, UBS Group lowered their price target on shares of Ovintiv from $76.00 to $75.00 and set a “buy” rating on the stock in a report on Thursday, April 9th. Fifteen research analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $60.37.

Ovintiv Price Performance

The stock has a market capitalization of $14.96 billion, a P/E ratio of 10.91, a PEG ratio of 1.82 and a beta of 0.59. The stock’s fifty day moving average is $53.99 and its 200-day moving average is $44.53. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.54 and a quick ratio of 0.54.

Ovintiv (NYSE:OVV) last posted its earnings results on Monday, February 23rd. The company reported $1.39 earnings per share for the quarter, beating the consensus estimate of $0.98 by $0.41. Ovintiv had a return on equity of 12.00% and a net margin of 13.94%.The company had revenue of $1.89 billion for the quarter, compared to analyst estimates of $1.89 billion. During the same period last year, the company earned ($0.23) earnings per share. On average, equities analysts anticipate that Ovintiv Inc. will post 5.59 earnings per share for the current year.

Ovintiv Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Friday, March 13th were paid a $0.30 dividend. This represents a $1.20 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend was Friday, March 13th. Ovintiv’s dividend payout ratio (DPR) is presently 24.79%.

Insider Buying and Selling

In related news, Director Howard John Mayson sold 5,000 shares of the firm’s stock in a transaction that occurred on Tuesday, March 3rd. The stock was sold at an average price of $52.39, for a total value of $261,950.00. Following the transaction, the director directly owned 45,780 shares of the company’s stock, valued at approximately $2,398,414.20. This trade represents a 9.85% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Meghan Nicole Eilers sold 11,582 shares of the company’s stock in a transaction dated Friday, March 13th. The shares were sold at an average price of $54.78, for a total transaction of $634,461.96. Following the sale, the executive vice president owned 54,092 shares of the company’s stock, valued at $2,963,159.76. This trade represents a 17.64% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 0.85% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Ovintiv

Hedge funds have recently bought and sold shares of the company. Citigroup Inc. raised its position in shares of Ovintiv by 42.1% during the third quarter. Citigroup Inc. now owns 174,090 shares of the company’s stock valued at $7,030,000 after buying an additional 51,562 shares during the last quarter. Wealth Enhancement Advisory Services LLC raised its position in Ovintiv by 296.2% in the third quarter. Wealth Enhancement Advisory Services LLC now owns 79,012 shares of the company’s stock worth $3,134,000 after purchasing an additional 59,069 shares in the last quarter. Hillsdale Investment Management Inc. acquired a new position in Ovintiv in the third quarter worth about $1,816,000. Moody Aldrich Partners LLC raised its position in Ovintiv by 152.1% in the third quarter. Moody Aldrich Partners LLC now owns 140,423 shares of the company’s stock worth $5,670,000 after purchasing an additional 84,730 shares in the last quarter. Finally, Savant Capital LLC raised its position in Ovintiv by 412.9% in the third quarter. Savant Capital LLC now owns 36,771 shares of the company’s stock worth $1,485,000 after purchasing an additional 29,602 shares in the last quarter. 83.81% of the stock is currently owned by institutional investors.

Ovintiv Company Profile

Ovintiv Inc is a North American energy company focused on the exploration, development and production of oil, natural gas and natural gas liquids. Formerly known as Encana Corporation, the company rebranded as Ovintiv in January 2020 and established its headquarters in Denver, Colorado. Ovintiv’s upstream portfolio spans multiple unconventional resource plays, reflecting a strategy centered on high-return projects and disciplined capital allocation.

The company’s core business activities include the acquisition and development of acreage in major shale basins across the United States and Canada.