10 Best Undervalued Energy Stocks To Buy According to Hedge Funds

8. Cenovus Energy Inc. (NYSE:CVE)

Number of Hedge Fund Investors: 48

Forward P/E Ratio as of December 16: 11.53

Cenovus Energy Inc. (NYSE:CVE) based in Calgary, is a major Canadian oil sands producer and integrated energy company. The company is involved in oil and natural gas production, refining, and marketing. Cenovus Energy Inc.’s (NYSE:CVE) customers include industrial users and retail consumers, served through its fuel distribution networks.

Cenovus Energy Inc. (NYSE:CVE) is actively pursuing several key growth initiatives to enhance its long-term value and operational efficiency. One of the most significant projects is the development of the Narrows Lake expansion at Christina Lake. This project is expected to add 20,000 to 30,000 barrels per day to Christina Lake’s production, with first production anticipated in mid-2025. Additionally, Cenovus Energy Inc. (NYSE:CVE) is focusing on the development of the Sunrise and Foster Creek Optimization projects, which are expected to drive material growth in the oil sands business over the next two years. These projects are designed to be highly profitable, even at bottom-of-the-cycle pricing, and will add significant incremental value at very low capital costs.

Additionally, Cenovus Energy Inc. (NYSE:CVE) is focused on reducing costs, enhancing production efficiency, and pursuing environmental initiatives such as carbon capture and renewable energy projects. The company’s strategic focus includes optimizing its existing assets, expanding its growth projects, and enhancing the reliability and efficiency of its downstream operations.