Imperial Oil Limited (TSE:IMO) Given Average Recommendation of “Reduce” by Brokerages

Shares of Imperial Oil Limited (TSE:IMO) (NYSEMKT:IMO) have received an average recommendation of “Reduce” from the twelve ratings firms that are presently covering the company, Marketbeat Ratings reports. Six analysts have rated the stock with a sell rating and six have issued a hold rating on the company. The average 1 year price target among analysts that have issued a report on the stock in the last year is C$112.30.

A number of equities research analysts have recently commented on the stock. BMO Capital Markets cut shares of Imperial Oil from an “outperform” rating to a “market perform” rating and dropped their price objective for the stock from C$132.00 to C$129.00 in a research note on Monday, December 15th. Cibc World Mkts downgraded shares of Imperial Oil from a “hold” rating to a “strong sell” rating in a report on Tuesday, October 14th. JPMorgan Chase & Co. lifted their price objective on shares of Imperial Oil from C$101.00 to C$110.00 in a report on Thursday, October 23rd. TD Securities decreased their price objective on shares of Imperial Oil from C$107.00 to C$106.00 in a research report on Tuesday, December 16th. Finally, Desjardins raised their target price on Imperial Oil from C$114.00 to C$120.00 and gave the company a “sell” rating in a research report on Monday, November 24th.

Key Imperial Oil News

Here are the key news stories impacting Imperial Oil this week:

• Positive Sentiment: Zacks nudged up near-term quarter estimates and FY2025: Q2 2026 to $1.64 (from $1.63), Q3 2026 to $1.88 (from $1.87), and raised FY2025 to $6.91 (from $6.89). These marginal increases suggest resilience in short‑term earnings.
• Neutral Sentiment: Zacks also raised its Q4 2025 estimate to $1.46 (from $1.44) — a small move that is unlikely by itself to materially change consensus valuation.
• Negative Sentiment: Zacks cut longer‑range and full‑year forecasts: Q4 2026 trimmed to $1.75 (from $1.82), FY2026 to $6.86 (from $6.90), and analysts lowered FY2027 to $8.14 (from $8.21). Those downward revisions reduce forward EPS and likely pressure multiples and investor expectations.
• Negative Sentiment: Broker target/expectation cuts from major firms: Raymond James lowered its price target to C$110.00 and TD Securities published a note lowering expectations — both moves can prompt selling or reduce upside for the stock. Raymond James Financial Lowers Imperial Oil (TSE:IMO) Price Target to C$110.00 TD Securities Has Lowered Expectations for Imperial Oil (TSE:IMO) Stock Price

Imperial Oil Stock Performance

TSE IMO opened at C$116.04 on Friday. The firm has a market capitalization of C$57.66 billion, a P/E ratio of 14.82, a PEG ratio of 0.21 and a beta of 1.04. The stock has a 50-day simple moving average of C$128.88 and a two-hundred day simple moving average of C$121.20. The company has a debt-to-equity ratio of 18.04, a quick ratio of 0.98 and a current ratio of 1.44. Imperial Oil has a fifty-two week low of C$82.98 and a fifty-two week high of C$141.17.

Imperial Oil (TSE:IMO) (NYSEMKT:IMO) last posted its earnings results on Friday, October 31st. The company reported C$2.17 EPS for the quarter. The firm had revenue of C$11.99 billion for the quarter. Imperial Oil had a return on equity of 21.23% and a net margin of 10.00%. On average, equities analysts forecast that Imperial Oil will post 8.6164609 earnings per share for the current year.

Imperial Oil Cuts Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, January 1st. Stockholders of record on Thursday, January 1st will be paid a dividend of $0.72 per share. This represents a $2.88 annualized dividend and a dividend yield of 2.5%. The ex-dividend date of this dividend is Wednesday, December 3rd. Imperial Oil’s dividend payout ratio is presently 35.25%.

Imperial Oil Company Profile

Imperial Oil is one of Canada’s largest integrated oil companies, focusing on upstream operations, petroleum refining operations, and the marketing of petroleum products. Production averaged 398 thousand barrels of oil equivalent per day in 2020. The company estimates that it holds 5.2 billion boe of proved and probable crude oil and natural gas reserves. Imperial remains the largest refiner of petroleum products in Canada, operating three refineries with a combined processing capacity of 421 mboe/d.