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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TOU
BUY ON WEAKNESS
They stand by their dividend, not cutting it in the last few years. 30% of their production is out of Canada. They have Australia, France, Germany, and the Netherlands. Below $40 it is a name you should own as an oil stock. (Analysts’ price target is $42.00)
BUY

Pays a good dividend which is safe unless oil plunges to $40, but he expects it to reach the mid-$50's to mid-$60's. They diversified their production into Europe and Australia which has helped their bottom line. A good move.

BUY ON WEAKNESS
About 8.7% yield. If the valuation backed off another dollar, it would be very attractive. At $28 it would be very attractive. (Analysts’ price target is $43.00)
BUY
He owns this in some of their income funds. Most of the assets are not in North America so they are avoiding all the Canadian mess right now. However, the stock still has been hit. For income investors, who understand dividends are not always safe, he would be a buyer here. He thinks the dividend is safe. Yield 8.5%. (Analysts’ price target is $43.00)
BUY
He sees 11% production growth, 8% cash flow per share growth which is not as good as it was, because oil prices have fallen. Good news: trading at 7.4x vs. 9.7x 5-year average. Okay balance sheet, but needs to see a better balance sheet in case the oil price falls. 116% payout ratio for 2020. The dividend is safe-ish. This one of the few dividend oil names you can own.
BUY
Depends not on WTI, but Brent oil, and Canadian as well as European natural gas prices. They have stable demand and good prices in Europe. This supports their dividend. They manage their capital well (i.e. has not overspent in acquisitions) over the years. Pays a 8.6% dividend.
TOP PICK
Likes it because of diversified asset base. More international of the oil & gas producers in Canada. Attractive yield. Doesn't get enough credit for having a high proportion of earnings getting Brent prices instead of WTI or WCS. Outstanding long-term buy at this valuation. Yield is 8.6%. (Analysts’ price target is $44.03)
HOLD

Mostly oil and mostly in Europe. It's held up well in this oil sell-off, though it got hit recently with the drop in international oil prices. Pays a fine dividend. Certainly hold onto this, but he's cautious about oil prices until they rise into the $60s. Prices are in contango now. A lot depends on Saudi Arabia; they cut back production, oil will leap into the $70s.

HOLD
Energy should get a bit of a pickup by the end of January. If not, then move into one of the stronger energy names.
COMMENT
Is this a good stock as a long term income hold? - Energy producers are not income stocks as they rely on the price of the commodity. (Analysts’ price target is $44.03)
HOLD
One of his very few energy holdings. He was buying back in December. About half the assets are overseas, yet it still got hit as hard as those with no international assets. The yield is near 9%. He likes the fact it derives a large portion of its revenues off Brent oil prices. He thinks the dividend can be sustained if oil prices can be sustained.
BUY
They were taken down with other energy names. He has always been attracted by its non-Canadian production. They have production in the North Sea. It is a well run company. He worries how safe the dividend is. You don’t buy resource companies for the dividend. Put it away and hope they don't cut the dividend.
DON'T BUY
The issue with this stock is that the dividend is $2.76 and expected earning is $1.59. When the dividend is too high the market fears a cut. Doesn't have a lot of upside potential. He would be careful. You don't want to be there when the dividend is not trusted.
DON'T BUY
It is one of the stronger companies out there. They look better than most of the industry. It is overdue for a bounce. Analyst reports suggest the stocks are a buy these days but they use $60 oil, yet we are at $45. He has a less optimistic outlook on energy long term. The move to eclectic vehicles is going to take away a great deal of long term demand. He would gravitate to transporters of oil.
TOP PICK
A case of throwing out the baby with the bathwater as Canadian oil stocks got killed due to a wide WCS differential. But VET has not exposed to that oil differential. The dividend is safe. Debt loads are still low. Good managers. A safe spot to park money and earn a dividend. (Analysts’ price target is $48.32)
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