Devon Energy Corp.

Devon Energy Corp.

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Market Cap$26.17B
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Compare to Similar Companies

P/E RatioDividendsReturn on EquityPrice-to-SalesDebt-to-Equity
Devon Energy Corp.Devon Energy Corp.11.72.47%14701%1.70.6

Earnings Call Q1 2026

May 6, 2026 - AI Summary

Q1 2026 results & free cash flow beat (what matters): - Devon reported oil production of 387 thousand barrels/day (top end of guidance), driven by production optimization. - Capital spending ~6% below the midpoint of guidance, attributing savings to drilling/completions efficiencies and advanced technology. - Result: $816 million free cash flow in Q1, framed as evidence of capital efficiency and repeatable execution (not a one-off).
Near-term outlook: Q2 and 2026 “upside torque” + commodity sensitivity - Management expects production to step up in Q2, costs “well controlled,” and highlights a stronger commodity backdrop than previously underwritten. - They emphasize a high leverage/yield profile: free cash flow sensitivity improves meaningfully when oil prices run above expectations. - Key surprise driver in Q1→Q2: higher oil prices and faster utilization of tax shields (see taxes bullet below).
Business optimization milestone ahead of schedule + AI as the execution engine - Devon’s “business optimization” program (launched ~1 year ago) is on track to achieve a $1 billion target ahead of schedule (with contributions from capital efficiency, production optimization, commercial improvements, and corporate cost reductions). - AI impact is positioned as a core competitive advantage via three “waves”: - Wave 1: internal data tool ChatDVN (firewalled) used in daily workflow. - Wave 2: AI heavy lifting for calculations and actionable drilling/production intelligence; e.g., reduced drilling/completion time/cost. - Wave 3: process redesign with AI “at the center.” - Notable operational tech win: Smart Gas Lift—850+ wells on fully autonomous artificial lift optimization, with productivity uplift improving from the pilot (pilot cited at ~2–3% uplift; full program uplift described as “in excess” though no new exact figure given).

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Target Price by Analysts

44% upsideDevon Energy Target Price DetailsTarget Price
$109.71

Current Fair Value

154.8% upside

Undervalued by 154.8% based on the discounted cash flow analysis.

Share Statistics

Market cap$26.17 Billion
Enterprise Value$26.18 Billion
Dividend Yield$1.04 (2.47%)
Earnings per Share$4.21
Beta0.42
Outstanding Shares621,000,000

Return

Return on Equity14700.54%ROE
Return on Assets6969.24%
Return on Invested Capital14376.64%

Valuation & Multiples

P/E Ratio11.67P/E Ratio
PEG-15.41PEG
Price to Sales1.66Price to Sales
Price to Book Ratio-Price to Book Ratio
Enterprise Value to Revenue1.56
Enterprise Value to EBIT6.55
Enterprise Value to Net Income11
Total Debt to Enterprise0
Debt to Equity0.56Debt to Equity

Revenue Sources

No data

Insider Trades

Last Earnings Call

Report Date
May 5, 2026
EPS Estimate
$1.06
Average shareholder expectation
Revenue Estimate
$4.34 B
Average shareholder expectation

Next Earnings Call

Expected Date
August 4, 2026
EPS Estimate
$1.58
Average shareholder expectation
Revenue Estimate
$5.92 B
Average shareholder expectation

Institutional Put/Call Ratio

Market sentiment based on institutional option activity.

Put/Call Ratio0.7081 45.84%
Total Calls13,146,178 19.63%
Total Puts9,308,371 27.38%

Institutional Ownership

Holdings and activity of institutional investors.

Ownership %88.26% 9.21%
Total Invested$27.57B 49.92%
Investors Holding1,300 106.00%

ESG Score

No data

About Devon Energy Corp.

CEO: David Hager

Relevant Senate Committees

Joint Committee on Taxation

This committee's analysis and official 'scoring' of tax legislation directly influences corporate tax rates, deductions, and credits, thereby directly impacting Devon Energy's profitability and investment decisions.

Finance

This committee controls taxation and trade policy, directly affecting Devon Energy's corporate tax burden, capital investment incentives, and the global market dynamics (e.g., tariffs, trade agreements) for energy products.

Appropriations

This committee allocates federal discretionary spending, which can fund energy-related infrastructure projects, research, or environmental initiatives that directly impact the operating environment and financial opportunities for Devon Energy.

Agriculture, Nutrition, and Forestry

This committee oversees the CFTC, which regulates commodity derivatives and futures markets for energy products, directly impacting oil and gas pricing, hedging strategies, and financial risk management for Devon Energy.

Health, Education, Labor, and Pensions

This committee's jurisdiction over labor laws, including workplace safety, wages, and union regulations, directly impacts the operational costs and human resource management for Devon Energy.

Judiciary

This committee's oversight of antitrust laws directly impacts mergers, acquisitions, and competitive practices within the oil and gas sector, influencing the market structure and operational strategies for Devon Energy.

Indian Affairs

Given that significant oil and gas reserves and operations occur on or near tribal lands, this committee's legislation regarding Native American peoples and energy development on tribal territory can directly impact Devon Energy's access and operational rights.

Energy and Natural Resources

This committee directly oversees national energy policy, public lands leasing, and the Department of Energy, all of which are central to the operations, exploration, and development activities of Devon Energy.

Environment and Public Works

This committee regulates the EPA, which sets environmental standards (e.g., emissions, water quality, land use) that directly govern the operations, compliance costs, and permitting for oil and gas extraction companies.

Foreign Relations

U.S. foreign policy, treaties, and sanctions legislation directly impact global energy markets and oil prices, which are critical drivers of Devon Energy's revenue and profitability.