Can Strategic Hedging Enhance Devon's Long-Term Stability and Growth?

Key Takeaways DVN uses systematic hedging to protect oil and gas production volumes and stabilize cash flow. DVN has hedged 30% and 35% of its anticipated oil and gas production, respectively, to protect margins. DVN trades at 3.55X EV/EBITDA TTM, below the industry average of 10.99X, implying relative undervaluation.Devon Energy Corporation (DVN) , a leading independent oil and gas producer, uses systematic hedging to manage commodity price volatility. Devon operates in the Zacks Oil-Energy sector, expos ...