DEVON ENERGY CORP (DVN) Stock Fundamental Analysis
USA - NYSE:DVN - US25179M1036 - Common Stock
33.85 USD
-0.68 (-1.97%)
Overall DVN gets a fundamental rating of 5 out of 10. We evaluated DVN against 210 industry peers in the Oil, Gas & Consumable Fuels industry. While DVN belongs to the best of the industry regarding profitability, there are concerns on its financial health. DVN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year DVN was profitable.
In the past year DVN had a positive cash flow from operations.
Of the past 5 years DVN 4 years were profitable.
Each year in the past 5 years DVN had a positive operating cash flow.
1.2 Ratios
DVN has a Return On Assets of 9.06%. This is amongst the best in the industry. DVN outperforms 82.86% of its industry peers.
With an excellent Return On Equity value of 18.88%, DVN belongs to the best of the industry, outperforming 82.86% of the companies in the same industry.
The Return On Invested Capital of DVN (12.18%) is better than 87.62% of its industry peers.
The Average Return On Invested Capital over the past 3 years for DVN is in line with the industry average of 21.90%.
The last Return On Invested Capital (12.18%) for DVN is well below the 3 year average (20.63%), which needs to be investigated, but indicates that DVN had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.06% | ||
| ROE | 18.88% | ||
| ROIC | 12.18% |
ROA(3y)16.63%
ROA(5y)7.21%
ROE(3y)34.79%
ROE(5y)8.28%
ROIC(3y)20.63%
ROIC(5y)N/A
1.3 Margins
The Profit Margin of DVN (16.57%) is better than 68.57% of its industry peers.
In the last couple of years the Profit Margin of DVN has declined.
DVN has a Operating Margin of 24.54%. This is in the better half of the industry: DVN outperforms 60.48% of its industry peers.
DVN's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 48.73%, DVN is in line with its industry, outperforming 57.62% of the companies in the same industry.
In the last couple of years the Gross Margin of DVN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.54% | ||
| PM (TTM) | 16.57% | ||
| GM | 48.73% |
OM growth 3Y-0.73%
OM growth 5Y55.24%
PM growth 3Y-7.34%
PM growth 5YN/A
GM growth 3Y1.47%
GM growth 5Y-9.16%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), DVN is creating value.
DVN has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, DVN has more shares outstanding
DVN has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.24 indicates that DVN is not a great score, but indicates only limited risk for bankruptcy at the moment.
DVN has a Altman-Z score of 2.24. This is in the better half of the industry: DVN outperforms 72.86% of its industry peers.
DVN has a Debt/Equity ratio of 0.56. This is a neutral value indicating DVN is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.56, DVN perfoms like the industry average, outperforming 45.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.24 |
ROIC/WACC1.5
WACC8.12%
2.3 Liquidity
A Current Ratio of 1.22 indicates that DVN should not have too much problems paying its short term obligations.
DVN has a Current ratio (1.22) which is comparable to the rest of the industry.
A Quick Ratio of 1.13 indicates that DVN should not have too much problems paying its short term obligations.
The Quick ratio of DVN (1.13) is better than 61.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
The earnings per share for DVN have decreased strongly by -23.45% in the last year.
The Earnings Per Share has been growing by 31.25% on average over the past years. This is a very strong growth
DVN shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.77%.
Measured over the past years, DVN shows a very strong growth in Revenue. The Revenue has been growing by 20.71% on average per year.
EPS 1Y (TTM)-23.45%
EPS 3Y11.12%
EPS 5Y31.25%
EPS Q2Q%-40.43%
Revenue 1Y (TTM)10.77%
Revenue growth 3Y9.3%
Revenue growth 5Y20.71%
Sales Q2Q%9.37%
3.2 Future
The Earnings Per Share is expected to grow by 1.52% on average over the next years.
Based on estimates for the next years, DVN will show a small growth in Revenue. The Revenue will grow by 4.70% on average per year.
EPS Next Y-17.37%
EPS Next 2Y-4.96%
EPS Next 3Y4.11%
EPS Next 5Y1.52%
Revenue Next Year8.4%
Revenue Next 2Y4.01%
Revenue Next 3Y4.61%
Revenue Next 5Y4.7%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
DVN is valuated cheaply with a Price/Earnings ratio of 7.85.
Based on the Price/Earnings ratio, DVN is valued cheaper than 84.29% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.30, DVN is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 7.76, the valuation of DVN can be described as very cheap.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DVN indicates a somewhat cheap valuation: DVN is cheaper than 80.00% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of DVN to the average of the S&P500 Index (22.73), we can say DVN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.85 | ||
| Fwd PE | 7.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DVN is valued cheaper than 81.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 3.74 |
4.3 Compensation for Growth
DVN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.25
EPS Next 2Y-4.96%
EPS Next 3Y4.11%
5. Dividend
5.1 Amount
DVN has a Yearly Dividend Yield of 2.72%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 6.18, DVN has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, DVN has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
5.2 History
The dividend of DVN is nicely growing with an annual growth rate of 34.02%!
DVN has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)34.02%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
25.81% of the earnings are spent on dividend by DVN. This is a low number and sustainable payout ratio.
DVN's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP25.81%
EPS Next 2Y-4.96%
EPS Next 3Y4.11%
NYSE:DVN (9/15/2025, 2:50:10 PM)
33.85
-0.68 (-1.97%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners74.51%
Inst Owner Change-2.08%
Ins Owners0.4%
Ins Owner Change0.06%
Market Cap21.49B
Analysts78.86
Price Target46.13 (36.28%)
Short Float %2.34%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.72% |
Yearly Dividend1.46
Dividend Growth(5Y)34.02%
DP25.81%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.17%
Min EPS beat(2)-4.28%
Max EPS beat(2)-2.06%
EPS beat(4)1
Avg EPS beat(4)2.03%
Min EPS beat(4)-4.28%
Max EPS beat(4)14.49%
EPS beat(8)4
Avg EPS beat(8)3.22%
EPS beat(12)6
Avg EPS beat(12)2.13%
EPS beat(16)10
Avg EPS beat(16)4.13%
Revenue beat(2)2
Avg Revenue beat(2)2.82%
Min Revenue beat(2)0.2%
Max Revenue beat(2)5.44%
Revenue beat(4)4
Avg Revenue beat(4)3.94%
Min Revenue beat(4)0.2%
Max Revenue beat(4)6.51%
Revenue beat(8)7
Avg Revenue beat(8)3%
Revenue beat(12)9
Avg Revenue beat(12)1.7%
Revenue beat(16)12
Avg Revenue beat(16)3.21%
PT rev (1m)1.08%
PT rev (3m)1.11%
EPS NQ rev (1m)1.61%
EPS NQ rev (3m)1.5%
EPS NY rev (1m)-1.03%
EPS NY rev (3m)-0.68%
Revenue NQ rev (1m)1.27%
Revenue NQ rev (3m)1.49%
Revenue NY rev (1m)1.59%
Revenue NY rev (3m)2.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.85 | ||
| Fwd PE | 7.76 | ||
| P/S | 1.25 | ||
| P/FCF | N/A | ||
| P/OCF | 3.15 | ||
| P/B | 1.43 | ||
| P/tB | 1.5 | ||
| EV/EBITDA | 3.74 |
EPS(TTM)4.31
EY12.73%
EPS(NY)4.36
Fwd EY12.89%
FCF(TTM)-0.98
FCFYN/A
OCF(TTM)10.73
OCFY31.71%
SpS27.04
BVpS23.72
TBVpS22.54
PEG (NY)N/A
PEG (5Y)0.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.06% | ||
| ROE | 18.88% | ||
| ROCE | 15.12% | ||
| ROIC | 12.18% | ||
| ROICexc | 13% | ||
| ROICexgc | 13.39% | ||
| OM | 24.54% | ||
| PM (TTM) | 16.57% | ||
| GM | 48.73% | ||
| FCFM | N/A |
ROA(3y)16.63%
ROA(5y)7.21%
ROE(3y)34.79%
ROE(5y)8.28%
ROIC(3y)20.63%
ROIC(5y)N/A
ROICexc(3y)21.8%
ROICexc(5y)N/A
ROICexgc(3y)22.62%
ROICexgc(5y)N/A
ROCE(3y)25.62%
ROCE(5y)N/A
ROICexcg growth 3Y-9.4%
ROICexcg growth 5Y53.9%
ROICexc growth 3Y-8.79%
ROICexc growth 5Y55.35%
OM growth 3Y-0.73%
OM growth 5Y55.24%
PM growth 3Y-7.34%
PM growth 5YN/A
GM growth 3Y1.47%
GM growth 5Y-9.16%
F-Score5
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.08 | ||
| Cap/Depr | 207.05% | ||
| Cap/Sales | 43.32% | ||
| Interest Coverage | 9.32 | ||
| Cash Conversion | 87.33% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.22 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 2.24 |
F-Score5
WACC8.12%
ROIC/WACC1.5
Cap/Depr(3y)204.69%
Cap/Depr(5y)159.27%
Cap/Sales(3y)33.12%
Cap/Sales(5y)27.97%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-23.45%
EPS 3Y11.12%
EPS 5Y31.25%
EPS Q2Q%-40.43%
EPS Next Y-17.37%
EPS Next 2Y-4.96%
EPS Next 3Y4.11%
EPS Next 5Y1.52%
Revenue 1Y (TTM)10.77%
Revenue growth 3Y9.3%
Revenue growth 5Y20.71%
Sales Q2Q%9.37%
Revenue Next Year8.4%
Revenue Next 2Y4.01%
Revenue Next 3Y4.61%
Revenue Next 5Y4.7%
EBIT growth 1Y-10.33%
EBIT growth 3Y8.5%
EBIT growth 5Y87.39%
EBIT Next Year79.27%
EBIT Next 3Y24.99%
EBIT Next 5Y17.43%
FCF growth 1Y-158.53%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-3.99%
OCF growth 3Y10.44%
OCF growth 5Y26.09%