Ovintiv Inc. (OVV) Valuation Update - Oct 17
Posted: Mon Oct 17, 2022 5:07 pm
OVV closed at $50.37 today.
TipRanks: "In the last 3 months, 11 ranked analysts set 12-month price targets for OVV. The average price target among the analysts is $70.73. The 11 price targets range from $58 to $100."
My updated valuation is $93/share, which is just 5X annualized operating cash flow per share.
Ovintiv is on pace to generate over $2.6 billion of free cash flow from operations. FCF priorities are debt reduction, stock repurchases and dividends.
TipRanks: "In the last 3 months, 11 ranked analysts set 12-month price targets for OVV. The average price target among the analysts is $70.73. The 11 price targets range from $58 to $100."
My updated valuation is $93/share, which is just 5X annualized operating cash flow per share.
Ovintiv is on pace to generate over $2.6 billion of free cash flow from operations. FCF priorities are debt reduction, stock repurchases and dividends.