In the latest trading session, Devon Energy (DVN) closed at $37.57, marking a +0.45% move from the previous day. The stock's change was more than the S&P 500's daily gain of 0.38%. Meanwhile, the Dow experienced a drop of 0.03%, and the technology-dominated Nasdaq saw an increase of 0.87%.
Prior to today's trading, shares of the oil and gas exploration company had gained 8.69% over the past month. This has outpaced the Oils-Energy sector's gain of 2.26% and the S&P 500's loss of 5.59% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Devon Energy in its upcoming earnings disclosure. The company's earnings report is set to go public on May 6, 2025. In that report, analysts expect Devon Energy to post earnings of $1.20 per share. This would mark year-over-year growth of 3.45%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.34 billion, up 20.74% from the year-ago period.
For the full year, the Zacks Consensus Estimates project earnings of $4.75 per share and a revenue of $17.27 billion, demonstrating changes of -1.45% and +8.33%, respectively, from the preceding year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Devon Energy. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 6.22% downward. As of now, Devon Energy holds a Zacks Rank of #3 (Hold).
Investors should also note Devon Energy's current valuation metrics, including its Forward P/E ratio of 7.87. This signifies a discount in comparison to the average Forward P/E of 8.54 for its industry.
It's also important to note that DVN currently trades at a PEG ratio of 1.23. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. DVN's industry had an average PEG ratio of 1.26 as of yesterday's close.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 143, positioning it in the bottom 43% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Devon Energy Corporation (DVN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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