Devon Energy (DVN) ended the recent trading session at $38.64, demonstrating a +1.74% change from the preceding day's closing price. The stock outpaced the S&P 500's daily gain of 0.03%. At the same time, the Dow lost 0.58%, and the tech-heavy Nasdaq gained 0.28%.
The oil and gas exploration company's shares have seen an increase of 4.92% over the last month, not keeping up with the Oils-Energy sector's gain of 6.65% and outstripping the S&P 500's gain of 0.6%.
Market participants will be closely following the financial results of Devon Energy in its upcoming release. The company plans to announce its earnings on February 17, 2026. On that day, Devon Energy is projected to report earnings of $0.84 per share, which would represent a year-over-year decline of 27.59%. In the meantime, our current consensus estimate forecasts the revenue to be $4.14 billion, indicating a 6.04% decline compared to the corresponding quarter of the prior year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $3.93 per share and revenue of $17.2 billion, which would represent changes of -18.46% and 0%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Devon Energy. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 9.88% lower. Currently, Devon Energy is carrying a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Devon Energy has a Forward P/E ratio of 11.29 right now. This represents a discount compared to its industry average Forward P/E of 12.28.
One should further note that DVN currently holds a PEG ratio of 3.44. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. DVN's industry had an average PEG ratio of 3.44 as of yesterday's close.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 241, this industry ranks in the bottom 2% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much 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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