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
0
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
DON'T BUY
The dividend payout ratio 46% of trailing cash flows. Sales growth was up 57%. Earnings growth have been reduced lately. The PE ratio of 16 times is reasonable and the company is cash flow positive. He thinks the dividend is safe, but the slow down in earnings growth would keep him from buying this. Yield is near 10%.
RISKY
It depends on the price of crude. Good balance sheet. Decent growth profile. With oil at $53 this is a good pick. 2/3 of their exposure is international. All in a good bet if you are constructive on oil.
BUY
Disciplined managers: balance sheet, dividend and growth are their priorities. They've never cut their dividend, good. 40% of their production is Brent-related. Like other Canadian oil, they are frustrated with the oil price and situation. Doing exploratory drilling in central Europe which is new.
TOP PICK
They had a 9.5% dividend yield last Friday. They never cut their dividend when the price went down. They have lots of production coming from Europe and Ireland. He thinks the market will be wrong on this one once again. (Analysts’ price target is $49.04)
WATCH
Is the dividend safe? He has not owned this for years, due to the high premium it trades at because of the dividend. It still trades at a premium. He struggles to understand how they can pay the dividend without taking on debt. Another 6 months of low oil prices could jeopardize the dividend. Yield 9%
BUY
Well-run and diversified. Has a solid balance sheet. Buy, if you're long-term. The sell-off has been overdone. VET gets international prices for its products, unlike many Canadian energy companies. The yield is safe.
BUY ON WEAKNESS
He likes to see dividends be paid out of earnings and not funny accounting means. This company is not paying out of earnings and this will damage the balance sheet. He sees the recent move below $34 as a technical signal of further weakness to come and he might become interested when it trades at $24.
DON'T BUY
Extremely well run, more conservative company. But to own these companies, you have to be bullish on oil. Shale boom has thrown world oil markets upside down. Not overly bullish on the sector, doesn't own any Canadian companies. No energy company's dividend is safe if oil stays at $50. Global price of oil and pipelines are in trouble equally.
PAST TOP PICK
(A Top Pick Sep 08/17, Down 12%) Likes this stock because it's essentially a European operation with a Canadian side, so it's a safer market. Good dividend, over 8%. Energy stocks have a big black cloud over them, and people don't realize they're trading at well below book value.
DON'T BUY
Vermilion (VET-T) vs Crescent Point (CPG-T) Neither of the two. Not overly optimistic on energy. He is underweight energy and sees little opportunities. Doesn't see supply cutting down anytime soon and we need that to happen for oil prices to rise. Prefers Suncor (SU-T) which is more conservative and integrated and has a decent dividend.
TOP PICK
Their investor day yesterday was impressive. They are very well diversified into European assets and Brent pricing. Yield 8.5%. (Analysts’ price target is $51.29)
BUY

Tourmaline vs. Vermillion TOU is well-managed. Natural gas has enjoyed nice pop lately. He likes VET for their acquisitions, because they can access an international price on oil (not the much-lower WCS), and have seen strong growth in recent years as the valuation has decreased. Balance sheet is solid.

DON'T BUY
This is primarily a Canadian energy company and therefore getting low prices for oil. It is hard to support the valuation. Yield is almost 8.5%, so should be cautious. Their debt level is not too bad. They are in a very tough sector.
BUY
Great company. They own a lot of oil based on Brent as opposed to Canadian Discount. Their cash flow multiple is cheap. They are being thrown with the sector. Oil has sold off also. When it comes up, this stock will pop. The Federal Government is talking now with the Alberta Government to buy freight cars to move oil. This would be basically a quasi-pipeline. It will help on the differential on a shorter time period than when the pipelines are built, which is probably 2-3 years out.
HOLD
This is a mid cap Canadian Energy player with operations in France, Netherlands and Australia. It should be a long term hold. He thinks there is good value in it and continues to hold it.
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