TSE:VET

Vermilion Energy Inc (VET.TO)

13.81
+0.05 (0.36%)
as of Jul 20, 2026, 6:34:54 pm Market Open.
584 watching
0
Investor Insights
star iconJul 20, 2026, 12:00 am

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

Vermilion Energy Inc (VET-T) is undergoing a significant transformation as it restructures its geographical exposure and focuses on its strengths, particularly in natural gas. Experts note the company's progress and the disciplined management team's ability to adapt strategies for a changing market, making it a top pick for some analysts this year. The demand for energy, especially in Europe, is anticipated to rise due to geopolitical tensions, which could position Vermilion favorably for growth. However, there are concerns regarding volatility, a mixed performance history, and the need for careful investment strategies, with many experts suggesting a short-term trading perspective. The yield is appealing at around 2.90-4%, but most analysts indicate caution due to its current valuation level and market dynamics.

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TOU
BUY
14% dividend right now. Even if they cut their dividend, it would be 7%. Their main interest is in Europe. The company has said they won’t cut the dividends. He doesn’t see further weakness in oil price, and we could see a firm period.
DON'T BUY
The shorts are willing to pay the costs of borrowing and the dividend is 13%. Dividend sustainability is not an issue but he thinks you are beating a dead horse.
DON'T BUY
He doesn't like energy, and careful with this high 13.5% dividend if there is a downturn. He'd rather buy a Canadian bank. He's not sure if the dividend is sustainable. The sector needs higher oil prices.
DON'T BUY
They have some international price exposure. She does not own any energy producers, due to take away issues. The yield is quite high, but the company has committed to maintain it she hears -- but never say never. She would not recommend this as an income stock. Yield 13%
HOLD
The company is saying capex and the dividend are fully funded down to $55 WTI prices. The 14% dividend is sustainable they say. He is not modelling earnings growth. You could buy it for the dividend if you think oil prices are going to stay here or for capital appreciation if you think oil prices are going higher.
COMMENT
Why is this down so much? It comes down to an exodus of capital from the oil sector. VET does fetch the world oil price, better than Canadian oil. The dividend is the biggest issue, yielding above 12%. It's a sector story, not the stock itself. All oil stocks are cheap, from Encana to Crescent Point, which are well-managed and cheaply valued. Pick and stick to an oil stock you feel most comfortable with. VET is not as cheap as its peers, but offers better assets and balance sheet.
DON'T BUY
He said to get out last year and he still feels you should get out. -61% in terms of value from his model price. The dividend is not safe. There are no earnings here and it could fall another 50% again next year.
COMMENT
The big question remains the big dividend. On the plus side, they are diversified internationally. Any bounce in oil will benefit VET a lot. Their balance sheet is fine. He expects them to continue share buybacks, but are phasing out their DRIP program.
HOLD
Management has stated the dividend is safe as they would rather not grow to protect it. Unfortunately there as less and less investors wanting to buy into the space, because pipeline development is not being supported by government. There are too many other opportunities globally. Fundamentally the company is fine, but he is not sure this is the space to invest.
DON'T BUY
Dividend safe? The stock has come down because of doubts over that dividend. Also, VET has invested around the world, sowing confusion among investors--What kind of company are you? The 14% yield makes him doubt.
PAST TOP PICK
(A Top Pick Dec 17/18, Down 23%) The volumes came down in the quarter. There is a question about dividend sustainability at $50 oil. He likes the stock. There is significant upside in the stock. $36 is his target in a $70 oil price environment. Buy during tax loss season.
COMMENT
He has a $35 target. VET is one of the few oil stocks he has, but he doesn't like oil in general.
HOLD
The management team has done a great job and maintained their dividend. Now their dividend is being called into question like never before. They can pay it at these levels. Even if they cut the dividend, they have strong assets across the globe and the dividend would still be good.
PARTIAL BUY
Energy is trying to stabilize. VET has been in a long downtrend and trying to base around $18. As long as it doesn't fall below that point, VET is worth nibbling away now (add exposure) and hold for a year or two. He has a very long-term view on markets.
DON'T BUY
Buy for Yield? He would not buy here. Although the dividend is juicy, he thinks oil producers will fair better. VET still commands a higher multiple than other plays, so he sees better choices out there.
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