Devon Energy Corporation $DVN Stock Purchased by Rahlfs Capital LLC

Key Points

• Rahlfs Capital increased its Devon Energy stake by 186.2% in the third quarter, adding 21,275 shares to hold 32,700 shares valued at approximately $1.506 million. Institutional investors collectively own 69.72% of DVN.
• Devon Energy shares rose 4.4% to $51.34, while the company reported quarterly EPS of $1.57 versus the $1.40 consensus estimate and revenue growth of 73.1% year over year.
• Analysts maintain a generally positive outlook, with a “Moderate Buy” consensus and average price target of $60.72; however, some caution that valuation and future growth could be pressured if oil prices or production fail to improve.

Rahlfs Capital LLC grew its holdings in shares of Devon Energy Corporation (NYSE:DVN - Free Report) by 186.2% in the 3rd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 32,700 shares of the energy company's stock after buying an additional 21,275 shares during the quarter. Rahlfs Capital LLC's holdings in Devon Energy were worth $1,506,000 at the end of the most recent quarter.

Several other large investors also recently made changes to their positions in DVN. Capital Investment Advisors LLC lifted its stake in shares of Devon Energy by 9.7% during the third quarter. Capital Investment Advisors LLC now owns 26,870 shares of the energy company's stock worth $1,237,000 after purchasing an additional 2,372 shares in the last quarter. Wedbush Securities Inc. grew its stake in shares of Devon Energy by 1.8% in the third quarter. Wedbush Securities Inc. now owns 17,820 shares of the energy company's stock valued at $820,000 after buying an additional 320 shares in the last quarter. Fifth Third Wealth Advisors LLC grew its stake in shares of Devon Energy by 8.5% in the third quarter. Fifth Third Wealth Advisors LLC now owns 59,164 shares of the energy company's stock valued at $2,724,000 after buying an additional 4,615 shares in the last quarter. BRIA Capital Group LLC acquired a new stake in shares of Devon Energy in the third quarter valued at about $217,000. Finally, Washington Trust Advisors Inc. raised its holdings in shares of Devon Energy by 10,264.3% during the 3rd quarter. Washington Trust Advisors Inc. now owns 2,902 shares of the energy company's stock valued at $134,000 after buying an additional 2,874 shares during the period. Institutional investors and hedge funds own 69.72% of the company's stock.

Key Headlines Impacting Devon Energy

Here are the key news stories impacting Devon Energy this week:

• Positive Sentiment: Higher oil prices are the main catalyst. Brent and U.S. crude moved above $100 per barrel, improving expectations for Devon’s production revenue, cash flow and shareholder returns. Oil Stocks Rally as Oil Price Tops $103
• Positive Sentiment: Portfolio optimization is supporting the investment case. Devon’s planned $4.2 billion cash sale of its Eagle Ford assets is viewed as a move toward higher-return assets and could provide capital for debt reduction, buybacks or dividends. Investors are also watching for additional strategic actions following the Coterra merger. Devon Energy gains as oil strength and portfolio-optimization hopes support shares
• Positive Sentiment: Earnings expectations remain constructive. Analysts expect third-quarter EPS of approximately $1.22, with potential for another estimate beat based on Devon’s recent history. Double-digit year-over-year EPS growth and steady oil-weighted output could reinforce the company’s cash-flow story when results are released in early November. Q3 Earnings Preview Might Change the Case for Investing in Devon Energy
• Positive Sentiment: Several analysts continue to view DVN as undervalued relative to its cash-flow potential. Reported institutional filings also showed significant additions by large investors, while published price targets have a median of $62 versus the recent share price near $51. Devon Energy Is Still a Compelling Energy Buy
• Neutral Sentiment: Unusually high call-option activity and the new 52-week high indicate strong bullish trading interest, but they may also increase volatility ahead of earnings. Devon Energy Stock Sees Unusually High Call Option Buying
• Negative Sentiment: A Seeking Alpha analysis downgraded DVN, arguing that production or growth may face an “oil wall.” The stock’s roughly 62% five-year gain also raises valuation concerns if earnings and oil prices do not continue improving. Devon Energy Hitting an Oil Wall

Devon Energy Stock Up 4.4%

Shares of Devon Energy stock traded up $2.16 during trading on Friday, reaching $51.34. The company had a trading volume of 13,271,761 shares, compared to its average volume of 8,705,307. The company has a market cap of $56.48 billion, a price-to-earnings ratio of 12.20, a price-to-earnings-growth ratio of 1.30 and a beta of 0.49. Devon Energy Corporation has a fifty-two week low of $31.65 and a fifty-two week high of $52.71. The firm's fifty day moving average is $48.58 and its 200-day moving average is $46.34. The company has a debt-to-equity ratio of 0.24, a quick ratio of 0.67 and a current ratio of 0.72.

Devon Energy (NYSE:DVN - Get Free Report) last announced its quarterly earnings data on Tuesday, August 4th. The energy company reported $1.57 earnings per share for the quarter, beating the consensus estimate of $1.40 by $0.17. Devon Energy had a return on equity of 14.93% and a net margin of 16.67%. The firm had revenue of $7.42 billion during the quarter, compared to analyst estimates of $6.01 billion. During the same period in the previous year, the company earned $0.84 earnings per share. Devon Energy's quarterly revenue was up 73.1% on a year-over-year basis. On average, analysts anticipate that Devon Energy Corporation will post 5.39 EPS for the current year.

Devon Energy Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Tuesday, September 15th were issued a $0.32 dividend. This represents a $1.28 dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date was Tuesday, September 15th. Devon Energy's payout ratio is 30.40%.

Insider Buying and Selling

In other news, CEO Clay M. Gaspar acquired 3,913 shares of Devon Energy stock in a transaction that occurred on Monday, September 14th. The shares were purchased at an average cost of $51.08 per share, for a total transaction of $199,876.04. Following the completion of the purchase, the chief executive officer directly owned 619,152 shares of the company's stock, valued at $31,626,284.16. This trade represents a 0.64% increase in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, EVP Robert Ferrall Lowe III sold 6,756 shares of Devon Energy stock in a transaction on Monday, September 14th. The stock was sold at an average price of $50.95, for a total transaction of $344,218.20. Following the completion of the transaction, the executive vice president directly owned 72,720 shares of the company's stock, valued at approximately $3,705,084. This represents a 8.50% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 4.58% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

Several research firms recently commented on DVN. Raymond James Financial boosted their price target on Devon Energy from $64.00 to $67.00 and gave the stock a "strong-buy" rating in a research report on Monday, September 14th. Argus reaffirmed a "buy" rating and issued a $45.85 price objective on shares of Devon Energy in a research report on Monday, August 17th. Seaport Research Partners started coverage on shares of Devon Energy in a research report on Thursday, September 3rd. They issued a "buy" rating and a $65.00 price objective for the company. Morgan Stanley lifted their price objective on shares of Devon Energy from $63.00 to $65.00 and gave the company an "overweight" rating in a research note on Thursday, October 15th. Finally, Wells Fargo & Company reduced their target price on shares of Devon Energy from $65.00 to $64.00 and set an "overweight" rating on the stock in a research report on Monday, September 28th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-five have assigned a Buy rating and three have issued a Hold rating to the company's stock. According to data from MarketBeat.com, Devon Energy presently has an average rating of "Moderate Buy" and an average price target of $60.72.

Devon Energy 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 focuses on onshore operations in the United States and markets the hydrocarbons produced from its assets to customers across the energy sector.

Devon's portfolio has historically included major U.S. resource plays such as 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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