Ovintiv Inc. (OVV) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+3.8%

$71.13

vs $68.53 price

Levered DCF

$69.55

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

2.32

Grey zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	8.11×	9.53×	5.48×	3.54×	6.19×	-0.61×	26.06×	5.19×
P/B	0.9×	1.04×	1.1×	1.67×	1.73×	0.97×	0.62×	0.74×
P/S	1.15×	1.17×	1.05×	1.03×	1.01×	0.61×	0.91×	0.93×
EV / EBITDA	5.24×	4.19×	3.86×	3.48×	5.18×	-3.33×	5.23×	3.66×
Gross margin	28.6%	54.4%	54.2%	55.2%	48.8%	44.6%	50.8%	57.6%
Operating margin	21.6%	17.3%	26.3%	30.9%	17.5%	-88.7%	8.9%	28.5%
Net margin	14.2%	12.3%	19.2%	29.2%	16.4%	-100.2%	3.5%	18.0%
Current ratio	0.54×	0.51×	0.6×	0.61×	0.58×	0.51×	0.77×	1.33×
Debt / equity	0.67×	0.61×	0.64×	0.58×	1.14×	2.09×	0.83×	0.77×
Interest coverage	5.03×	3.83×	8.07×	12.39×	4.47×	-14.55×	1.57×	4.83×
Dividend yield	3.1%	2.9%	2.7%	1.9%	1.4%	2.6%	1.7%	1.0%
Payout ratio	24.8%	28.1%	14.7%	6.6%	8.6%	-1.6%	43.6%	5.2%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	11.1%	10.9%	20.1%	47.3%	27.9%	-158.9%	2.4%	14.4%
Return on invested capital	10.2%	7.6%	13.6%	30.2%	13.4%	-42.4%	2.3%	11.2%
Return on assets	6.1%	5.8%	10.4%	24.2%	10.1%	-42.1%	1.1%	7.0%
Free cash flow yield	14.9%	13.2%	12.5%	15.8%	18.3%	4.3%	4.8%	5.9%
Earnings yield	12.3%	10.5%	18.3%	28.3%	16.1%	-163.4%	3.8%	19.3%
Enterprise value	$17.6B	$17B	$18.1B	$17.3B	$14.4B	$11.7B	$14.2B	$10.2B
Net debt / EBITDA	2.24×	1.54×	1.42×	0.9×	2.02×	-2.27×	2.97×	1.67×
Cash conversion cycle (days)	26	7	2	19	32	39	44	11