Lower oil prices overshadowed a positive development. Shares of Devon Energy (DVN 3.19%) fell 12.6% in September, according to data provided by S&P Global Market Intelligence. The culprit was lower oil prices. That offset the positive effect of closing a needle-moving acquisition. Down despite a big deal Oil prices were under pressure again last month. WTI, the main U.S. oil price benchmark, fell another 7.3% in September, closing the month at around $68 per barrel. It has now declined by 16.4% over the pas ...

OKLAHOMA CITY, Sept. 27, 2024 (GLOBE NEWSWIRE) -- Devon Energy Corp. (NYSE: DVN) today announced that it has completed its previously announced acquisition of Grayson Mill Energy, for a transaction valued at $5 billion before giving effect to purchase price adjustments. The acquisition adds a high-margin production mix that enhances Devon's position as one of the largest producers in the U.S. The transaction transforms the company's Williston Basin business, with the addition of 307,000 net acres, 500 undri ...

Valuation and Market Position - Devon Energy Corporation (DVN) is trading at a discount with an EV/EBITDA TTM of 4.01X, compared to the industry average of 7.17X and 12.4% below its five-year median of 4.58X, indicating an attractive valuation [1][2] - Compared to peers like Chesapeake Energy Corporation (CHK) and EQT Corporation (EQT), which have EV/EBITDA TTM of 5.51X and 7.26X respectively, Devon is favorably positioned [2] Production and Growth Potential - Devon has a multi-basin portfolio focusing on high-margin assets with significant long-term growth potential, raising its 2024 production guidance to 677,000-688,000 Boe per day from a previous range of 655,000-675,000 Boe per day [4] - The acquisition of Grayson Mill Energy's Williston Basin business will expand Devon's net acre position to 430,000 acres and triple production in the basin to 150,000 Boe per day, enhancing operating margins due to existing midstream infrastructure [5] Cost Management and Financial Performance - The company is actively managing costs by divesting higher-cost assets and optimizing production costs, achieving an average production cost of $12.25 per Boe in Q2 2024, a 1% decline from the prior period [6][8] - Devon's field-level cash margins increased by 6% year-over-year to $31.19 per Boe, supported by a low-cost structure and higher commodity prices [8] Shareholder Value and Returns - Devon has been generating stable free cash flow and enhancing shareholder value through share buybacks, repurchasing $2.7 billion worth of shares as of June 30, 2024, and increasing its share repurchase authorization by 67% to $5 billion through mid-2026 [9][10] - The trailing 12-month return on equity for Devon is 29.14%, outperforming the industry average of 17.22%, indicating effective utilization of shareholders' funds [13] Earnings Estimates and Market Performance - The Zacks Consensus Estimate for Devon's earnings per share for 2024 and 2025 has decreased by 5.4% and 10.2% respectively over the past 60 days, suggesting potential challenges ahead [7] - Despite the attractive valuation and strong operational metrics, Devon's stock has underperformed its industry over the last twelve months [11][15]

Devon Energy (DVN) closed the most recent trading day at $41.01, moving -0.27% from the previous trading session. This change lagged the S&P 500's daily gain of 0.25%. On the other hand, the Dow registered a gain of 0.2%, and the technology-centric Nasdaq increased by 0.56%. Shares of the oil and gas exploration company have depreciated by 8.91% over the course of the past month, underperforming the Oils-Energy sector's loss of 0.05% and the S&P 500's gain of 1.65%. Market participants will be closely follo ...

OKLAHOMA CITY, Sept. 24, 2024 (GLOBE NEWSWIRE) -- Devon Energy Corp. (NYSE: DVN) today announced it will report third-quarter 2024 results on Tuesday, Nov. 5, after the close of U.S. financial markets. The earnings release and presentation for the third-quarter 2024 results will be available on the company's website at www.devonenergy.com. On Wednesday, Nov. 6, the company will hold a conference call at 10 a.m. CST (11 a.m. EST), which will consist primarily of answers to questions from analysts and investo ...

Anton Zharkov is a financial analyst specializing in manufacturing companies across all industries except financial companies, insurers, REITs, and banks. In his articles, he will provide detailed analysis of mega and large-cap stocks for long/short portfolios, utilizing quantitative models from Eyestock.io. He will focus on factors such as growth, value, and high-quality, complementing these with classic bottom-up fundamental analysis. Most of the stocks discussed in his articles will be purchased or alrea ...

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P and Josepar 15 1 hirun Devon Energy Corporation (NYSE:DVN) is a U.S. hydrocarbon company with a valuation of roughly $25 billion. The company has a dividend yield of more than 5% and is committed to generating strong shareholder returns, which it's built a history of doing so recently. As will see throughout this article, Devon Energy can cominus generating strong shareholder returns. Devon Energy Business Model The company's business model centers around growing its production and increasing overall shar ...