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TSE:VET

Vermilion Energy Inc (VET.TO)

17.36
-0.27 (1.53%)
as of Aug 28, 2026, 8:00:00 pm Market Open.
585 watching
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Investor Insights
star iconAug 28, 2026, 12:00 am

This summary was created by AI, based on 15 opinions in the last 12 months.

Vermilion Energy Inc. (VET-T) has garnered mixed reviews from experts, highlighting its diverse geographical exposure which includes assets in Europe, Australia, and Canada. While some analysts express concerns over the lack of focus and the company's extensive international footprint, others point out that recent management efforts to streamline operations and concentrate on Canadian assets are promising. The company is noted for having significant natural gas production, particularly in Europe, which is expected to benefit from rising demand amidst energy supply challenges. Despite being perceived as undervalued and having improved performance metrics, some experts caution about inherent volatility and urge vigilance regarding geopolitical impacts on gas prices. Overall, while there's optimism about future growth, particularly in natural gas, doubts about the company’s strategic execution and catalysts persist.

consensus icon
Consensus
Mixed
valuation icon
Valuation
Undervalued
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TOU
DON'T BUY
It comes down to how you feel about energy. He's out of energy, period. But if energy comes back, VET will attract investors. Pays a good dividend and is well-run. But you may ride this down further which will cancel out your dividend. Buy utilities instead.
DON'T BUY

The bulls say you get international diversification and a high dividend and a good CEO. The bears argue the dividend is understating their maintenance capital, so maybe the dividend isn't sustainable and the CEO is overpaid as the stock struggles. Their maintenance capex is a little high. VET trades at a premium to the sector due to their dividend, which is sustainable. He wouldn't buy it now. He'd prefer WCP, because it has a lower valuation and has good cash flow.

RISKY
Say they can meet their generous dividend if WTI goes to $40. Balance sheet is fine. Likes it, but as oil prices bounce around, its metrics started to deteriorate. It's a good name as long as they execute and oil stays up. Yield is 10.5%.
HOLD
A rare company holding assets across several continents. The Spartan acquisition took investors by surprise. He likes the dividend sustainability -- it has never been cut. He will continue to hold it.
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%.
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