Cash conversion efficiency is highly variable, highlighted by an operating cash flow to net income ratio of -1.68 in 2026Q1 and capital expenditure to revenue ratios reaching as high as 81.2% in 2025Q4.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 |
|---|
| Cash from Operations | 3.81B | 3.65B | 3.72B | 4.17B | 3.87B | 3.13B | 1.9B | 2.92B | 2.3B | 1.05B | 625M | 1.68B | 2.67B | 2.29B | 3.11B | 3.93B | 2.37B | 7.87B | 8.86B | 8.43B | 7.97B | 7.43B | 4.59B | 4.31B | 1.63B | 1.74B |
| Operating CF Margin % | - | 41.8% | 40.66% | 38.29% | 31.02% | 36.14% | 31.13% | 43.43% | 38.73% | 23.63% | 21.42% | 38.01% | 33.26% | 39.07% | 60.21% | 46.38% | 26.66% | 70.84% | 42.06% | 38.84% | 48.62% | 50.98% | 43.76% | 50.59% | 26.03% | 53.73% |
| Operating CF Growth % | -9.4% | -1.85% | -10.7% | 7.79% | 23.55% | 65.12% | -35.13% | 27% | 119.05% | 68% | -62.82% | -36.97% | 16.51% | -26.33% | -20.88% | 66.05% | -69.96% | -11.09% | 5.05% | 5.72% | 7.31% | 61.84% | 6.49% | 163.91% | -6.28% | - |
| Net Income | 771M | 1.24B | 1.13B | 2.08B | 3.64B | 1.42B | -6.1B | 234M | 1.07B | 827M | -944M | -5.17B | 3.43B | 236M | -2.79B | 5M | 1.5B | 1.83B | 5.94B | 3.88B | 5.05B | 2.83B | 2.21B | 2.17B | 777.75M | 818.93M |
| Depreciation & Amortization | 16M | 2.21B | 2.29B | 1.82B | 1.11B | 1.19B | 1.83B | 2.02B | 1.27B | 833M | 859M | 1.49B | 1.75B | 1.56B | 1.96B | 2.28B | 2.01B | 3.7B | 4.04B | 3.82B | 3.11B | 2.77B | 2.38B | 1.97B | 1.3B | 509.96M |
| Stock-Based Compensation | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -133M | -514M | 144M | 144M | -87M | -21M | 381M | 94M | 149M | 666M | -598M | -2.81B | 960M | -57M | -1.84B | 212M | 1.19B | -1.8B | 1.72B | -617M | 950M | 56M | 73M | 470M | 404M | 94.99M |
| Other Non-Cash Items | 4.56B | 850M | 409M | -217M | -610M | 585M | 5.64B | 491M | -435M | -1.02B | 1.5B | 7.91B | -3.46B | 724M | 6.11B | 1.44B | -1.21B | 3.07B | -1.66B | 1.35B | -1.28B | 2.06B | 222M | -187M | -813M | 377.97M |
| Working Capital Changes | -159.7M | -133M | -247M | 330M | -187M | -41M | 139M | 87M | 245M | -253M | -187M | 262M | -9M | -179M | -323M | -15M | -2B | 1.07B | -1.61B | -8M | 138M | -281M | -176M | -84M | -17M | -40M |
| Change in Receivables | 123.81M | 67M | 256M | 352M | -304M | -333M | 146M | 109M | -150M | -21M | 86M | 314M | -411M | -75M | 82M | 10M | 196M | -487M | 452M | 33M | 0 | 0 | 0 | 0 | 0 | 296.98M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2M | 6M | -271M | 211M | 42M | 0 | 0 | 0 | 0 | 0 | -24M |
| Change in Payables | -50.05M | -177M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -3.71B | -2.88B | -2.46B | -5.52B | -1.79B | -525M | -1.86B | -2.56B | -1.55B | -1.04B | -29M | -665M | -4.73B | -1.9B | 361M | -3.63B | -4.73B | -4.81B | -7.54B | -8.18B | -825M | -4.28B | -2.94B | -3.18B | -2.74B | -1.09B |
| Capital Expenditures | 12M | -2.15B | -2.3B | -2.74B | -1.83B | -1.52B | -1.74B | -2.63B | -1.98B | -1.8B | -1.13B | -2.23B | -2.53B | -2.71B | -3.48B | -4.61B | -4.77B | -4.86B | -8.25B | -8.74B | -6.6B | -6.92B | -4.82B | -5.31B | -3.14B | -1.22B |
| CapEx % of Revenue | 0.13% | 24.58% | 25.16% | 25.21% | 14.69% | 17.54% | 28.52% | 39.04% | 33.25% | 40.42% | 38.79% | 50.47% | 31.5% | 46.3% | 67.36% | 54.45% | 53.81% | 43.76% | 39.21% | 40.26% | 40.24% | 47.52% | 45.92% | 62.29% | 50% | 37.67% |
| Acquisitions | -1.19B | -610M | -30M | -2.73B | -58M | 1.01B | 70M | 226M | 476M | 682M | 1.05B | 1.84B | -2.46B | 521M | 3.66B | 1.56B | 150M | 915M | 904M | 481M | 0 | 0 | -2.33B | -91M | -80.97M | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -2.54B | -127M | -124M | -45M | 103M | 0 | 0 | 0 | -56M | 77M | 0 | 71M | -63M | 44M | 415M | -586M | -100M | -1.43B | -493M | 86M | 5.77B | 2.75B | 4.07B | 1.29B | 319.99M | 172.99M |
| Cash from Financing | -71.42M | -762M | -1.23B | 1.36B | -2.27B | -2.42B | -206M | -1.24B | -396M | -139M | -38M | -1.05B | -39M | -909M | -1.11B | -194M | -1.28B | 835M | -1.44B | -119M | -4.29B | -3.4B | 163M | -822M | 474.85M | -206.98M |
| Debt Issued (Net) | 678.48M | -249M | -318M | 2.09B | -1.31B | -2.19B | -109M | 114M | -90M | -82M | -1.12B | -1.99B | -1.28B | -508M | -523M | 392M | -200M | 1.86B | 6M | 2.33B | 61M | -1.21B | 1.07B | 646M | 300M | 575.95M |
| Equity Issued (Net) | -386.93M | -307M | -597M | -426M | -719M | -111M | 0 | -1.25B | -250M | 0 | 1.13B | 1.09B | 0 | 0 | 0 | 2M | -494M | 24M | -246M | -1.85B | -4.04B | -1.82B | -723M | -754M | 88M | 27M |
| Dividends Paid | -312.08M | -308M | -316M | -307M | -239M | -122M | -97M | -102M | -56M | -57M | -51M | -152M | -202M | -401M | -588M | -588M | -590M | -1.05B | -1.2B | -603M | -304M | -238M | -183M | -139M | -105.97M | -809.93M |
| Share Repurchases | -386.93M | -307M | -597M | -426M | -719M | -111M | 0 | -1.25B | -250M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -499M | 0 | -326M | -2.02B | -4.22B | -2.11B | -1B | -868M | 0 | -4M |
| Other Financing | -50.89M | 102M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.44B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -11M | -125M | -5M | -577M | 482M | 999.92K |
| Net Change in Cash | 18M | -7M | 39M | -2M | -190M | 185M | -180M | -868M | 339M | -115M | 563M | -67M | -2.23B | -613M | 2.38B | 101M | -3.65B | 3.92B | -170M | 151M | 297M | -488M | 489M | 32M | -476.85M | 480.96M |
| Free Cash Flow | 3.82B | 1.5B | 1.42B | 1.42B | 2.04B | 1.61B | 159M | 295M | 325M | -746M | -507M | -551M | 141M | -423M | -369M | -683M | -2.45B | 3.25B | 989M | -308M | 1.37B | 505M | -172M | -52M | -1.41B | 515.96M |
| FCF Margin % | 42.66% | 17.23% | 15.49% | 13.08% | 16.33% | 18.6% | 2.61% | 4.39% | 5.47% | -16.79% | -17.37% | -12.46% | 1.76% | -7.22% | -7.15% | -8.07% | -27.62% | 29.22% | 4.7% | -1.42% | 8.38% | 3.47% | -1.64% | -0.61% | -22.43% | 15.91% |
| FCF Growth % | 137.55% | 6.14% | -0.35% | -30.07% | 26.4% | 912.58% | -46.1% | -9.23% | 143.57% | -47.14% | 7.99% | -490.78% | 133.33% | -14.63% | 45.97% | 72.12% | -175.43% | 228.41% | 421.1% | -122.42% | 172.08% | 393.6% | -230.77% | 96.31% | -372.89% | - |
| FCF per Share | 14.22 | 5.80 | 5.30 | 5.39 | 7.88 | 6.04 | 0.61 | 1.13 | 1.69 | -3.83 | -2.87 | -3.35 | 0.95 | -2.87 | -2.51 | -4.63 | -16.56 | 21.63 | 6.58 | -2.01 | 8.21 | 2.84 | -0.92 | -0.27 | -8.34 | 4.65 |
| FCF Conversion (FCF/Net Income) | 4.95x | 2.94x | 3.31x | 2.00x | 1.06x | 2.21x | -0.31x | 12.48x | 2.15x | 1.27x | -0.66x | -0.33x | 0.79x | 9.70x | -1.11x | 785.40x | 1.58x | 4.23x | 1.49x | 2.13x | 1.41x | 2.17x | 1.31x | 1.83x | 2.10x | 2.13x |
| Interest Paid | 0 | 0 | 426M | 308M | 376M | 370M | 385M | 415M | 367M | 370M | 397M | 602M | 648M | 575M | 509M | 486M | 507M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 295M | 0 | 0 | 0 | 0 | 22M | 0 | 0 | -19M | 0 | 43M | 0 | 0 | 0 | 2.02B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Commodity price volatility exposure
As reported in recent financial statements, Ovintiv's operating cash flow to net income ratio has frequently turned negative, reaching -1.68 in 2026Q1, which highlights a significant disconnect between accounting profitability and the actual cash-generating capacity of the company's underlying unconventional oil and gas assets.
The recurring divergence between net income and operating cash flow suggests that non-cash items and accounting adjustments are heavily distorting the company's reported earnings. Investors should monitor whether this volatility is a byproduct of hedging activities or indicative of underlying operational inefficiencies that mask the true cash-generating potential of the portfolio.
Based on quarterly data, Ovintiv's free cash flow margins have fluctuated wildly, ranging from a low of 2.9% in 2024Q1 to a peak of 125.6% in 2025Q4, illustrating the extreme sensitivity of the firm's cash generation to cyclical commodity price swings and capital expenditure timing.
The erratic nature of free cash flow suggests that the company's ability to fund shareholder returns is highly contingent on short-term price realizations rather than structural cost advantages. This inconsistency warrants caution, as it implies that the firm may struggle to maintain consistent dividend and buyback programs during prolonged commodity downturns.
According to recent SEC filings, Ovintiv's capital expenditure to revenue ratio has remained elevated, peaking at 81.2% in 2025Q4, which indicates a high level of capital intensity required to sustain production levels across its diverse North American unconventional drilling inventory.
The persistent need for significant capital reinvestment suggests that the company is heavily reliant on continuous drilling to offset the natural decline rates of its unconventional wells. This high capital intensity may limit the firm's ability to generate meaningful excess cash flow unless it can achieve substantial improvements in drilling and completion efficiencies.
As reported in financial statements, Ovintiv has maintained a consistent dividend payout despite significant cash flow volatility, while simultaneously engaging in opportunistic share repurchases, such as the $597 million buyback in 2024Q4, reflecting a management priority on returning capital to shareholders despite cyclical headwinds.
While the commitment to shareholder returns is evident, the reliance on debt or cash reserves to fund these distributions during periods of negative free cash flow may be unsustainable. Investors should scrutinize whether these capital allocation decisions are prioritizing short-term market sentiment over the long-term preservation of the balance sheet.
Quick answers to the most common questions about buying OVV stock.
Ovintiv Inc. (OVV) generated $3.65B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Ovintiv Inc. (OVV) generated $1.50B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Ovintiv Inc. (OVV) spent $2.15B on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Ovintiv Inc. (OVV) returned $308.0M to shareholders via cash dividends and spent $307.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.