Devon Energy Corporation (NYSE:DVN) Receives Consensus Rating of "Moderate Buy" from Analysts

Key Points

• Analyst sentiment is moderately bullish: Thirty analysts rate Devon Energy “Moderate Buy,” including 23 buy and two strong-buy ratings, with an average 12-month price target of $59.72.
• Recent operating results exceeded expectations: Devon reported quarterly EPS of $1.57 versus the $1.40 consensus and revenue of $7.42 billion, up 73.1% year over year.
• Institutional ownership remains substantial: Hedge funds and other institutional investors own 69.72% of the company, while Devon recently paid a quarterly dividend of $0.32 per share, representing a 2.8% yield.

Shares of Devon Energy Corporation (NYSE:DVN - Get Free Report) have earned an average rating of "Moderate Buy" from the thirty analysts that are currently covering the stock, MarketBeat.com reports. Five research analysts have rated the stock with a hold rating, twenty-three have issued a buy rating and two have assigned a strong buy rating to the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $59.72.

DVN has been the topic of several research reports. Weiss Ratings raised Devon Energy from a "hold (c)" rating to a "hold (c+)" rating in a report on Wednesday, September 9th. Argus reissued a "buy" rating and set a $45.85 price target on shares of Devon Energy in a research report on Monday, August 17th. Seaport Research Partners started coverage on Devon Energy in a report on Thursday, September 3rd. They issued a "buy" rating and a $65.00 price target for the company. Barclays reduced their price objective on Devon Energy from $62.00 to $58.00 and set an "overweight" rating on the stock in a research report on Monday, August 17th. Finally, Morgan Stanley decreased their price objective on Devon Energy from $66.00 to $63.00 and set an "overweight" rating on the stock in a research note on Friday, June 26th.

Insider Activity

In other news, CEO Clay M. Gaspar acquired 3,913 shares of the business's stock in a transaction dated Monday, September 14th. The stock was acquired at an average price of $51.08 per share, with a total value of $199,876.04. Following the completion of the transaction, the chief executive officer directly owned 619,152 shares in the company, valued at approximately $31,626,284.16. This represents a 0.64% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Robert Ferrall Lowe III sold 6,756 shares of the company's stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $50.95, for a total transaction of $344,218.20. Following the transaction, the executive vice president directly owned 72,720 shares in the company, valued at $3,705,084. The trade was a 8.50% decrease in their position. The SEC filing for this sale provides additional information. 4.58% of the stock is owned by company insiders.

Institutional Investors Weigh In On Devon Energy

Institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. increased its holdings in Devon Energy by 57.6% in the 2nd quarter. BlackRock Inc. now owns 95,378,854 shares of the energy company's stock worth $3,941,054,000 after buying an additional 34,871,366 shares during the period. State Street Corp increased its holdings in Devon Energy by 89.8% in the second quarter. State Street Corp now owns 73,179,266 shares of the energy company's stock valued at $3,023,767,000 after buying an additional 34,615,088 shares during the last quarter. Wellington Management Group LLP raised its position in shares of Devon Energy by 418.3% during the 2nd quarter. Wellington Management Group LLP now owns 51,522,376 shares of the energy company's stock worth $2,128,905,000 after acquiring an additional 41,581,435 shares in the last quarter. Victory Capital Management Inc. raised its holdings in Devon Energy by 17.5% during the fourth quarter. Victory Capital Management Inc. now owns 13,916,979 shares of the energy company's stock worth $509,779,000 after purchasing an additional 2,071,021 shares in the last quarter. Finally, Bank of America Corp DE acquired a new stake in shares of Devon Energy in the 2nd quarter valued at about $421,226,000. Hedge funds and other institutional investors own 69.72% of the company's stock.

Devon Energy Trading Down 1.0%

DVN opened at $46.13 on Thursday. Devon Energy has a 52 week low of $31.47 and a 52 week high of $52.71. The company has a quick ratio of 0.67, a current ratio of 0.72 and a debt-to-equity ratio of 0.24. The firm has a market cap of $50.74 billion, a price-to-earnings ratio of 10.96, a price-to-earnings-growth ratio of 1.26 and a beta of 0.37. The business's 50 day moving average is $46.90 and its two-hundred day moving average is $46.32.

Devon Energy (NYSE:DVN - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The energy company reported $1.57 earnings per share for the quarter, topping analysts' consensus estimates of $1.40 by $0.17. Devon Energy had a return on equity of 14.93% and a net margin of 16.67%.The company had revenue of $7.42 billion during the quarter, compared to analysts' expectations of $6.01 billion. During the same period last year, the firm earned $0.84 EPS. The firm's revenue for the quarter was up 73.1% on a year-over-year basis. On average, research analysts predict that Devon Energy will post 5.27 EPS for the current year.

Devon Energy Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th were issued a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a yield of 2.8%. The ex-dividend date was Tuesday, September 15th. Devon Energy's dividend payout ratio is 30.40%.

Devon Energy Company Profile

Devon Energy Corporation NYSE: DVN is an independent energy company engaged primarily in the exploration, development and production of oil, natural gas and natural gas liquids. The company operates in the United States and focuses on onshore properties with oil- and liquids-rich resources.

Devon's operations are concentrated in several major U.S. producing regions, including the Delaware Basin in the Permian Basin, the Eagle Ford, the Anadarko Basin, the Williston Basin and the Powder River Basin.

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