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.

consensus icon
Consensus
Mixed
valuation icon
Valuation
Fair Value
review icon
Similar
TOU
HOLD
Hang on? He does not think they will go bankrupt. They sell oil in Europe and are getting a better price than in North America, where the debt levels are much higher. He owns it and still considers it a hold. He is glad the dividend was cut to help preserve cash for later.
BUY
Dividend safe? They halved the dividend and cut it further recently. It was a very long-standing dividend payer, but slashed capex because of their balance sheet. The current dividend is safe. He likes VET and has been adding to his position in the past week. VET has been shafted hard, unfairly. He likes the geographic diversity of their assets.
HOLD
It has a lot of assets outside of Canada. The price of oil has collapsed. They took quick action and kept their dividend where it was, then brought their dividend down in half and may have to again. He would not sell here. It will continue to be an oil producer for a long time.
RISKY
Payout ratio is still 103%. Balance sheet isn't horrible. Dividend yield is 27% post-cut. If you don't own energy, this is at least worth a trade, as long as you're not overexposed to oil stocks and the oil situation turns around. Risk/reward is a good bet.
DON'T BUY
It's impressive how far it's fallen. Seasonality is now, but the chart is moving the opposite way. Technicals were negative for a long time. It was hitting resistance so long then finally gave up. Now, the price of oil slammed today. All oil stocks will be vulnerable. But VET is now oversold with a parabolic move down. Parabolic moves are always unsustainable. Be careful if you nibble away here.
WATCH

Dividend cut? Royal Bank analysts think they may cut the dividend. This may be coming Friday, when they report earnings. He thinks there are lots of things management could do, like cut the dividend 50% or eliminate the DRIP program and the share price would jump up. He would not be selling it here, nor would he be a buyer.

PAST TOP PICK

(A Top Pick Apr 11/19, Down 57%) He no longer owns this one. It has always had a premium valuation as it priced its production off the Brent oil market. They switched out back last June, buying ARX-T instead.

DON'T BUY
It pays a huge 16% dividend which is a red flag. The company may insist it won't cut its dividend, but he's suspicious. (VET has never cut its dividend.)
PARTIAL BUY
The dividend yield is 15.55% which scares him. If the market knows a stock will cut the dividend, the stock can actually rally. VET is basing now and looking better on an absolute basis. If this breaks below November lows of $17.10 in a weekly close, then he'd worry. But the basing action now can support a partial buy.
BUY
He likes that VET doesn't produce in Canada and it hasn't fallen apart. It's still a good place to enter here.
HOLD
The poster child of the Canadian energy patch: high 12-14% yield which is an opportunity but also a threat. They could cut that dividend, but they never have, so he doubts they will. If the stock remains flat, at least you get that dividend. VET could buyback shares.
DON'T BUY
Doesn't own any Canadian energy producers. Commodity price outlook in western Canada is not that visible in terms of takeaway capacity. Chinese demand has fallen off. Dividend yield is very high, and the share price is coming off. Depressed prices will impact cash flow.
DON'T BUY
The stock trades at a premium multiple. Their balance sheet is not as strong as others. He is not keen on the stock compensation for senior management. He thinks there are better opportunities out there. He is not sure that management's decision to keep paying the dividend is not a wise strategy at the detriment of maintaining production. Yield 15%
DON'T BUY

Sell BCE to buy VET for the dividend income? Chances of VET cutting its dividend are high, but no chance BCE will. Don't do this trade.

PARTIAL BUY
Average down? He is not close to following this one. Management has said the dividend is safe. Hopefully it is not cut. He does not own it. You could pick away at this, even just looking for a bounce. Yield 14%
Showing 76 to 90 of 603 entries