Ovintiv

OVV

Market cap $10.4B

OVV maintains a presence in Canada in the Montney Basin and in the US in the Permina Basin, taking advantage of the different royalty structure in each of the countries. The acquisition of NuVista Energy for $2.7 billion would allow the company to add 100 MBOE/D to production. OVV's EBITDA for Q3 2025 was $966 million, which, if annualized, yields an EV/EBITDA of 4.21x.

Ovintiv continues its pattern of frequent acquisitions, divestitures, and spinoffs. Operational excellence is a hallmark of this management. Recent guidance revisions merely restore production forecasts to previous levels.

OVV's strong production, strategic acquisitions and firm liquidity support the stock even as commodity prices and leverage pressure its outlook.

OVV tops Q3 profit estimates as stronger gas prices and output offset weaker oil revenues and margins.

Ovintiv Inc. ( OVV ) Q3 2025 Earnings Call November 5, 2025 10:00 AM EST Company Participants Jason Verhaest Brendan McCracken - President, CEO & Director Corey Code - Executive VP & CFO Gregory Givens - Executive VP & COO Conference Call Participants Kaleinoheaokealaula Akamine - BofA Securities, Research Division Phillip Jungwirth - BMO Capital Markets Equity Research Scott Gruber - Citigroup Inc., Research Division Wei Jiang - Barclays Bank PLC, Research Division Francis Lloyd Byrne - Jefferies LLC, Research Division Douglas George Blyth Leggate - Wolfe Research, LLC Margaret Drefke - Goldman Sachs Group, Inc., Research Division Kevin MacCurdy - Pickering Energy Partners Insights David Deckelbaum - TD Cowen, Research Division Christopher Baker - Evercore ISI Institutional Equities, Research Division Geoff Jay - Daniel Energy Partners, LLC Presentation Operator Good day, ladies and gentlemen, and thank you for standing by. Welcome to Ovintiv's 2025 Third Quarter Results Conference Call.

Ovintiv (OVV) came out with quarterly earnings of $1.03 per share, beating the Zacks Consensus Estimate of $0.97 per share. This compares to earnings of $1.85 per share a year ago.

Ovintiv said on Tuesday it will acquire NuVista Energy in a cash and stock deal valued at $2.7 billion.

CALGARY, Alberta, Nov. 04, 2025 (GLOBE NEWSWIRE) -- NuVista Energy Ltd. (TSX: NVA) (“NuVista”) is pleased to announce that it has entered into a definitive arrangement agreement (the “Agreement”) with Ovintiv Inc. (“Ovintiv”) (TSX: OVV; NYSE: OVV) and Ovintiv Canada ULC ("Ovintiv Canada") pursuant to which Ovintiv Canada has agreed to acquire all of the issued and outstanding common shares of NuVista (“NuVista Shares”) (the “Transaction”) not already owned by Ovintiv or its affiliates, in a cash and share transaction that values NuVista at approximately $3.8 billion, including the assumption of NuVista's net debt.

Full Year Production Guidance Increased, Capital Investment Unchanged Highlights: Generated cash from operating activities of $812 million, Non-GAAP Cash Flow of $895 million and Non-GAAP Free Cash Flow of $351 million after capital expenditures of $544 million Third quarter production was at or above the high end of the guidance range on every product with average total production volumes of 630 thousand barrels of oil equivalent per day ("MBOE/d"), including 212 thousand barrels per day ("Mbbls/d") of oil and condensate, 98 Mbbls/d of other NGLs (C2 to C4) and 1,925 million cubic feet per day ("MMcf/d") of natural gas Reduced Net Debt by $126 million during the quarter to approximately $5.187 billion Returned $235 million to shareholders through the combination of base dividend payments and share buybacks Raised full year production guidance to a range of 610 MBOE/d to 620 MBOE/d, including oil and condensate of 208 Mbbls/d to 210 Mbbls/d and natural gas of 1,850 MMcf/d to 1,870 MMcf/d Full year capital guidance range maintained at $2.125 billion to $2.175 billion Full year current tax expense guidance reduced by approximately 50% from original 2025 guidance to reflect the impact of internal restructuring and evolving U.S. tax guidelines Received regulatory approval for the renewal of the Company's NCIB program, which enables it to purchase, for cancellation or return to treasury, up to approximately 22.3 million shares of common stock over a 12-month period DENVER , Nov. 4, 2025 /PRNewswire/ - Ovintiv Inc. (NYSE: OVV) (TSX: OVV) ("Ovintiv" or the "Company") today announced its third quarter 2025 financial and operating results. The Company plans to hold a conference call and webcast at 8:00 a.m.

Transaction Adds Scale and High-Quality Oil Inventory to Ovintiv's Premier Montney Position Highlights: Agreement reached to acquire NuVista Energy Ltd. at an average price of approximately C$17.80 per share, or total consideration of approximately $2.7 billion (C$3.8 billion) Acquisition is expected to add approximately 140,000 net acres and approximately 100 thousand barrels of oil equivalent per day ("MBOE/d") in the core of the oil-rich Alberta Montney, highly complementary to Ovintiv's existing acreage Drilling inventory additions of approximately 930 total net 10,000-foot equivalent well locations, at an average cost of $1.3 million per location, including approximately 620 premium(1) return well locations and approximately 310 upside locations Access to additional strategic processing infrastructure and downstream capacity to enable future oil growth optionality and natural gas price diversification Transaction is expected to be immediately and long-term accretive across all key financial metrics including Non-GAAP Free Cash Flow accretion of approximately 10% Annual synergies expected to total approximately $100 million Divestiture process for Ovintiv's Anadarko assets expected to commence in the first quarter of 2026, proceeds expected to be used for accelerated debt reduction Ovintiv expects to be below its Non-GAAP Net Debt target of $4 billion by year-end 2026, enabling increased share buybacks DENVER , Nov. 4, 2025 /PRNewswire/ - Ovintiv Inc. (NYSE: OVV) (TSX: OVV) ("Ovintiv" or the "Company") and NuVista Energy Ltd.