DEVON ENERGY CORP (DVN) Stock Fundamental Analysis
USA - NYSE:DVN - US25179M1036 - Common Stock
34.915 USD
-0.93 (-2.58%)
Taking everything into account, DVN scores 6 out of 10 in our fundamental rating. DVN was compared to 210 industry peers in the Oil, Gas & Consumable Fuels industry. While DVN has a great profitability rating, there are some minor concerns on its financial health. DVN may be a bit undervalued, certainly considering the very reasonable score on growth
1. Profitability
1.1 Basic Checks
In the past year DVN was profitable.
DVN had a positive operating cash flow in the past year.
Of the past 5 years DVN 4 years were profitable.
DVN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DVN has a better Return On Assets (8.71%) than 83.81% of its industry peers.
Looking at the Return On Equity, with a value of 17.71%, DVN belongs to the top of the industry, outperforming 81.43% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.84%, DVN belongs to the top of the industry, outperforming 86.19% of the companies in the same industry.
DVN had an Average Return On Invested Capital over the past 3 years of 20.63%. This is in line with the industry average of 21.72%.
The last Return On Invested Capital (11.84%) 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 | 8.71% | ||
| ROE | 17.71% | ||
| ROIC | 11.84% |
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
With a decent Profit Margin value of 15.56%, DVN is doing good in the industry, outperforming 64.76% of the companies in the same industry.
DVN's Profit Margin has declined in the last couple of years.
DVN has a Operating Margin (22.88%) which is in line with its industry peers.
In the last couple of years the Operating Margin of DVN has grown nicely.
Looking at the Gross Margin, with a value of 47.14%, DVN is in line with its industry, outperforming 56.67% of the companies in the same industry.
DVN's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.88% | ||
| PM (TTM) | 15.56% | ||
| GM | 47.14% |
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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so DVN is creating value.
Compared to 1 year ago, DVN has more shares outstanding
Compared to 5 years ago, DVN has more shares outstanding
The debt/assets ratio for DVN is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.27 indicates that DVN is not a great score, but indicates only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 2.27, DVN is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
The Debt to FCF ratio of DVN is 2.98, which is a good value as it means it would take DVN, 2.98 years of fcf income to pay off all of its debts.
DVN has a better Debt to FCF ratio (2.98) than 76.19% of its industry peers.
DVN has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
DVN has a Debt to Equity ratio (0.48) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 2.98 | ||
| Altman-Z | 2.27 |
ROIC/WACC1.45
WACC8.19%
2.3 Liquidity
A Current Ratio of 0.96 indicates that DVN may have some problems paying its short term obligations.
DVN has a Current ratio (0.96) which is in line with its industry peers.
DVN has a Quick Ratio of 0.96. This is a bad value and indicates that DVN is not financially healthy enough and could expect problems in meeting its short term obligations.
DVN has a Quick ratio (0.87) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.87 |
3. Growth
3.1 Past
The earnings per share for DVN have decreased strongly by -16.34% 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
Looking at the last year, DVN shows a quite strong growth in Revenue. The Revenue has grown by 11.40% in the last year.
DVN shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.71% yearly.
EPS 1Y (TTM)-16.34%
EPS 3Y11.12%
EPS 5Y31.25%
EPS Q2Q%-5.45%
Revenue 1Y (TTM)11.4%
Revenue growth 3Y9.3%
Revenue growth 5Y20.71%
Sales Q2Q%7.63%
3.2 Future
Based on estimates for the next years, DVN will show a small growth in Earnings Per Share. The EPS will grow by 2.54% on average per year.
DVN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.66% yearly.
EPS Next Y-17.94%
EPS Next 2Y-8%
EPS Next 3Y1.97%
EPS Next 5Y2.54%
Revenue Next Year7.54%
Revenue Next 2Y2.63%
Revenue Next 3Y3.73%
Revenue Next 5Y4.66%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 8.22, the valuation of DVN can be described as reasonable.
Based on the Price/Earnings ratio, DVN is valued cheaply inside the industry as 86.19% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 25.89, DVN is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.54, the valuation of DVN can be described as reasonable.
Based on the Price/Forward Earnings ratio, DVN is valued cheaper than 83.33% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of DVN to the average of the S&P500 Index (34.59), we can say DVN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.22 | ||
| Fwd PE | 8.54 |
4.2 Price Multiples
83.33% of the companies in the same industry are more expensive than DVN, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, DVN is valued cheaply inside the industry as 86.19% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.87 | ||
| EV/EBITDA | 3.9 |
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)0.26
EPS Next 2Y-8%
EPS Next 3Y1.97%
5. Dividend
5.1 Amount
DVN has a Yearly Dividend Yield of 2.74%. Purely for dividend investing, there may be better candidates out there.
DVN's Dividend Yield is comparable with the industry average which is at 5.87.
DVN's Dividend Yield is comparable with the S&P500 average which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.74% |
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
DVN pays out 22.55% of its income as dividend. This is a sustainable payout ratio.
The dividend of DVN is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP22.55%
EPS Next 2Y-8%
EPS Next 3Y1.97%
NYSE:DVN (11/17/2025, 3:19:07 PM)
34.915
-0.93 (-2.58%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners74.94%
Inst Owner Change-0.91%
Ins Owners0.4%
Ins Owner Change1.19%
Market Cap22.16B
Revenue(TTM)17.47B
Net Income(TTM)2.72B
Analysts78.89
Price Target45.99 (31.72%)
Short Float %2.63%
Short Ratio2.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.74% |
Yearly Dividend1.46
Dividend Growth(5Y)34.02%
DP22.55%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)4.57%
Min EPS beat(2)-2.06%
Max EPS beat(2)11.19%
EPS beat(4)2
Avg EPS beat(4)4.83%
Min EPS beat(4)-4.28%
Max EPS beat(4)14.49%
EPS beat(8)4
Avg EPS beat(8)4.09%
EPS beat(12)6
Avg EPS beat(12)2.92%
EPS beat(16)10
Avg EPS beat(16)3.87%
Revenue beat(2)2
Avg Revenue beat(2)4.72%
Min Revenue beat(2)4.01%
Max Revenue beat(2)5.44%
Revenue beat(4)4
Avg Revenue beat(4)3.31%
Min Revenue beat(4)0.2%
Max Revenue beat(4)5.44%
Revenue beat(8)7
Avg Revenue beat(8)3.49%
Revenue beat(12)9
Avg Revenue beat(12)1.32%
Revenue beat(16)12
Avg Revenue beat(16)3.1%
PT rev (1m)-0.07%
PT rev (3m)0.75%
EPS NQ rev (1m)-2.68%
EPS NQ rev (3m)2.19%
EPS NY rev (1m)-0.37%
EPS NY rev (3m)-1.72%
Revenue NQ rev (1m)-2.66%
Revenue NQ rev (3m)2.65%
Revenue NY rev (1m)-0.66%
Revenue NY rev (3m)0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.22 | ||
| Fwd PE | 8.54 | ||
| P/S | 1.27 | ||
| P/FCF | 7.87 | ||
| P/OCF | 3.24 | ||
| P/B | 1.44 | ||
| P/tB | 1.52 | ||
| EV/EBITDA | 3.9 |
EPS(TTM)4.25
EY12.17%
EPS(NY)4.09
Fwd EY11.71%
FCF(TTM)4.44
FCFY12.71%
OCF(TTM)10.78
OCFY30.87%
SpS27.52
BVpS24.18
TBVpS22.99
PEG (NY)N/A
PEG (5Y)0.26
Graham Number48.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.71% | ||
| ROE | 17.71% | ||
| ROCE | 14.71% | ||
| ROIC | 11.84% | ||
| ROICexc | 12.4% | ||
| ROICexgc | 12.77% | ||
| OM | 22.88% | ||
| PM (TTM) | 15.56% | ||
| GM | 47.14% | ||
| FCFM | 16.13% |
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
ROICexgc growth 3Y-9.4%
ROICexgc 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-Score6
Asset Turnover0.56
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 2.98 | ||
| Debt/EBITDA | 0.97 | ||
| Cap/Depr | 109.44% | ||
| Cap/Sales | 23.03% | ||
| Interest Coverage | 14.28 | ||
| Cash Conversion | 89.16% | ||
| Profit Quality | 103.64% | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.87 | ||
| Altman-Z | 2.27 |
F-Score6
WACC8.19%
ROIC/WACC1.45
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)-16.34%
EPS 3Y11.12%
EPS 5Y31.25%
EPS Q2Q%-5.45%
EPS Next Y-17.94%
EPS Next 2Y-8%
EPS Next 3Y1.97%
EPS Next 5Y2.54%
Revenue 1Y (TTM)11.4%
Revenue growth 3Y9.3%
Revenue growth 5Y20.71%
Sales Q2Q%7.63%
Revenue Next Year7.54%
Revenue Next 2Y2.63%
Revenue Next 3Y3.73%
Revenue Next 5Y4.66%
EBIT growth 1Y-15.46%
EBIT growth 3Y8.5%
EBIT growth 5Y87.39%
EBIT Next Year80.56%
EBIT Next 3Y25.52%
EBIT Next 5Y16.65%
FCF growth 1Y-1.81%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y1.83%
OCF growth 3Y10.44%
OCF growth 5Y26.09%
DEVON ENERGY CORP / DVN FAQ
What is the fundamental rating for DVN stock?
ChartMill assigns a fundamental rating of 6 / 10 to DVN.
What is the valuation status for DVN stock?
ChartMill assigns a valuation rating of 7 / 10 to DEVON ENERGY CORP (DVN). This can be considered as Undervalued.
Can you provide the profitability details for DEVON ENERGY CORP?
DEVON ENERGY CORP (DVN) has a profitability rating of 7 / 10.
What are the PE and PB ratios of DEVON ENERGY CORP (DVN) stock?
The Price/Earnings (PE) ratio for DEVON ENERGY CORP (DVN) is 8.22 and the Price/Book (PB) ratio is 1.44.
What is the earnings growth outlook for DEVON ENERGY CORP?
The Earnings per Share (EPS) of DEVON ENERGY CORP (DVN) is expected to decline by -17.94% in the next year.