TSE:VET

Vermilion Energy Inc (VET.TO)

16.23
+0.39 (2.46%)
as of Jun 8, 2026, 8:00:00 pm Market Open.
584 watching
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Investor Insights
star iconJun 8, 2026, 12:00 am

This summary was created by AI, based on 14 opinions in the last 12 months.

Vermilion Energy Inc (VET-T) has received mixed reviews from analysts. While some see potential for growth due to increasing demand for natural gas in Europe and a disciplined management team, others consider it a value trap lacking catalysts. The company is working on consolidating its geographical exposure, with a focus on its operations in Canada and Western Europe, particularly in light of Europe's energy challenges post-conflict in Ukraine. Some experts highlight the firm's strong cash flow return and dividend payouts, while cautioning about the volatility associated with geopolitical factors impacting energy prices. Overall, while there are positive indicators, most experts suggest caution and strategic planning for exits in the context of market fluctuations.

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Consensus
Mixed
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Valuation
Fair Value
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Similar
TOU
SELL ON STRENGTH
Pays a dividend of nearly 10%. He's owned this in the past. Lots of if's here. If it holds $27 it could return to $35, then sell it. The last it did this, the stock then got really ugly, so sell it at that point.
PAST TOP PICK
(A Top Pick Sep 07/18, Down 25%) They used to get a nice premium because they got international oil prices, not Canadian. But then they made a Canadian acquisition--and investors don't want Canadian oil stocks. If the Liberals are voted out in October, this sector will sharply rebound. If the Liberals stay, oil will continue to suffer for four years.
COMMENT
It is a rich dividend. There is a question when they get this high. They can cover the dividend, however. She does not own energy producers. The dividend could be so high because the energy sector in Canada has been humbled. There is not a lot of certainty.
HOLD
Likes it because it's well diversified geographically. Really tough sector to call. A lot of false rallies. Favourite because it's not tied to Canadian pricing. Good management. Keep it as a long. But can't predict what's going to happen in the sector. Strong balance sheet. Yield is 9.8%.
COMMENT

He does not own SU-T and remains underweight in energy. If the US dollar weakens, this could result in a higher oil price and good value for SU-T. There are just too many secular issues that are beyond the company's control. He owns VET-T because of its international assets.

BUY
It is a good buy at these levels. It is under pressure with world oil prices. It is an extremely well run company and internationally diversified. Their payout ratio is on the high side. Debt to cash flow is a little above industry norms but not significant. The dividend is secure, at least for the time being.
SELL
The dividend isn't sustainable and needs to be but. VET suffers from weak cash flow and earnings. This will fall lower.
SELL
Should be a core position that you just tuck away. Very stable income stream. Believes the dividend is sustainable. It was expensive, and all the other stuff got so cheap, so they redeployed the money into ARC.
DON'T BUY
From the perspective of market behavior, he is a bear. He thinks Canada will under-perform for a long time. From a technical perspective, if the lows hold and we start to make higher highs, it says 'bottom'. And not until then do you get confidence from a chart perspective. There is nothing good happening yet. It is becoming tradable but not investible.
HOLD
It has been so painful. Oil is just so uninvestible. It is such a hot political situation. It is about a 9% yield. You have to wonder about it because the market is quite smart about these things. No one loves it. He is hanging on to it for the yield.
DON'T BUY
They pay way too much in their dividend. They should cut it a lot, actually. Their earnings forecasts have been declining, too. VET is cheap at 1.5x book value now, but what's the upside? Maybe oil prices will become much stronger, but lately they've been declining. The dividend yield is nearly 10%.
DON'T BUY
Income holding? Personally, anything that yields more than 8% can lead to dividend cuts regardless of management promises to not do so. The assets in Europe can generally support the required income stream. He would look outside the energy space for income streams or at pipeline companies that are backed by long term contracts. Yield 9.7%
PAST TOP PICK
(A Top Pick Dec 17/18, Up 7%) Just a month ago it was trading $34. It is trending down with WTI oil prices. It could drop to $27 soon as WTI seasonally weakens, creating a 10% yield. Yield 9.6%. A buy!
HOLD
When you break through all the moving averages, the strategy becomes prayer and he can't help you. With the larger energy companies like these, any continued pressure is either a hold or continue to buy.
BUY

Canadian company with European assets. So doesn't get the discount. Gets Brent prices. 60% exposure there. They confirmed the dividend. Nothing transformational about the company.

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