5 Most Promising Energy Stocks According to Analysts

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1. Cenovus Energy Inc. (NYSE:CVE)

Average Analyst Price Target Upside: 48.92%

Average Analyst Price Target: $24.20

Cenovus Energy Inc. (NYSE:CVE) is an integrated energy company with crude oil, natural gas liquids (NGLs), and natural gas assets and projects across Canada, the United States, and the Asia Pacific region.

Cenovus Energy Inc. (NYSE:CVE) was covered by 11 Wall Street analysts, and 10 kept a Buy rating on the stock. The average price target of $24.20 represented an upside of 48.92% as of the December 15 market close.

On December 14, Cenovus Energy Inc. (NYSE:CVE) announced its 2024 budget, which outlined investments of $4.5 billion-$5 billion. The company plans on continuing its growth mission of 2023 and will be progressing with multiple projects, including the West White Rose project, Foster Creek, Christina Lake, and Sunrise oil sands facilities.

Cenovus Energy Inc. (NYSE:CVE) was mentioned in L1 Capital’s third-quarter 2023 investor letter. Here is what it said:

“Cenovus Energy Inc. (NYSE:CVE) (Long +23%) shares rallied as WTI oil prices rose to ~US$91/bbl over the month, the highest level since November 2022. The company also had tailwinds from higher refinery margins, particularly in North America which remains their key exposure. Cenovus continues to generate strong free cash flow at current oil price levels, with the long-life nature of its oil sands assets and its low cost of production providing a break-even oil price at around ~US$40/bbl. We estimate the company can reach its net debt target in early CY24, enabling a step-up in shareholder returns through on-market share buybacks.”

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