DEVON ENERGY CORP (DVN) Fundamental Analysis & Valuation
NYSE:DVN • US25179M1036
Current stock price
50.56 USD
-0.81 (-1.58%)
At close:
50.56 USD
0 (0%)
After Hours:
This DVN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. DVN Profitability Analysis
1.1 Basic Checks
- DVN had positive earnings in the past year.
- DVN had a positive operating cash flow in the past year.
- DVN had positive earnings in each of the past 5 years.
- Each year in the past 5 years DVN had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 8.36%, DVN belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
- With an excellent Return On Equity value of 17.01%, DVN belongs to the best of the industry, outperforming 81.34% of the companies in the same industry.
- DVN has a better Return On Invested Capital (10.97%) than 87.56% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for DVN is significantly below the industry average of 22.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.36% | ||
| ROE | 17.01% | ||
| ROIC | 10.97% |
ROA(3y)11.05%
ROA(5y)14.3%
ROE(3y)22.68%
ROE(5y)30.29%
ROIC(3y)13.66%
ROIC(5y)17.09%
1.3 Margins
- The Profit Margin of DVN (15.37%) is better than 66.03% of its industry peers.
- In the last couple of years the Profit Margin of DVN has declined.
- DVN has a Operating Margin of 22.43%. This is in the better half of the industry: DVN outperforms 62.68% of its industry peers.
- In the last couple of years the Operating Margin of DVN has declined.
- DVN has a Gross Margin (46.46%) which is in line with its industry peers.
- In the last couple of years the Gross Margin of DVN has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.43% | ||
| PM (TTM) | 15.37% | ||
| GM | 46.46% |
OM growth 3Y-18.5%
OM growth 5YN/A
PM growth 3Y-20.92%
PM growth 5YN/A
GM growth 3Y-5.62%
GM growth 5Y-9.55%
2. DVN Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DVN is still creating some value.
- The number of shares outstanding for DVN has been reduced compared to 1 year ago.
- DVN has more shares outstanding than it did 5 years ago.
- DVN has a better debt/assets ratio than last year.
2.2 Solvency
- DVN has an Altman-Z score of 2.57. This is not the best score and indicates that DVN is in the grey zone with still only limited risk for bankruptcy at the moment.
- DVN has a Altman-Z score of 2.57. This is in the better half of the industry: DVN outperforms 70.81% of its industry peers.
- DVN has a debt to FCF ratio of 3.01. This is a good value and a sign of high solvency as DVN would need 3.01 years to pay back of all of its debts.
- DVN's Debt to FCF ratio of 3.01 is fine compared to the rest of the industry. DVN outperforms 77.03% 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.
- With a Debt to Equity ratio value of 0.48, DVN perfoms like the industry average, outperforming 52.15% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.01 | ||
| Altman-Z | 2.57 |
ROIC/WACC1.36
WACC8.04%
2.3 Liquidity
- A Current Ratio of 0.98 indicates that DVN may have some problems paying its short term obligations.
- DVN's Current ratio of 0.98 is on the low side compared to the rest of the industry. DVN is outperformed by 60.77% of its industry peers.
- DVN has a Quick Ratio of 0.98. 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 (0.90) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.9 |
3. DVN Growth Analysis
3.1 Past
- The earnings per share for DVN have decreased strongly by -19.05% in the last year.
- Measured over the past years, DVN shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -22.22% on average per year.
- The Revenue has been growing slightly by 7.83% in the past year.
- Measured over the past years, DVN shows a very strong growth in Revenue. The Revenue has been growing by 28.91% on average per year.
EPS 1Y (TTM)-19.05%
EPS 3Y-22.22%
EPS 5YN/A
EPS Q2Q%-29.31%
Revenue 1Y (TTM)7.83%
Revenue growth 3Y-3.57%
Revenue growth 5Y28.91%
Sales Q2Q%-6.4%
3.2 Future
- Based on estimates for the next years, DVN will show a decrease in Earnings Per Share. The EPS will decrease by -2.51% on average per year.
- DVN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.36% yearly.
EPS Next Y21.22%
EPS Next 2Y11.85%
EPS Next 3Y8.94%
EPS Next 5Y-2.51%
Revenue Next Year20.58%
Revenue Next 2Y14.41%
Revenue Next 3Y8.73%
Revenue Next 5Y9.36%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better 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. DVN Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 12.93, DVN is valued correctly.
- Compared to the rest of the industry, the Price/Earnings ratio of DVN indicates a somewhat cheap valuation: DVN is cheaper than 77.51% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 26.64. DVN is valued rather cheaply when compared to this.
- Based on the Price/Forward Earnings ratio of 10.67, the valuation of DVN can be described as reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of DVN indicates a somewhat cheap valuation: DVN is cheaper than 79.43% of the companies listed in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 21.36, DVN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.93 | ||
| Fwd PE | 10.67 |
4.2 Price Multiples
- 83.73% of the companies in the same industry are more expensive than DVN, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of DVN indicates a rather cheap valuation: DVN is cheaper than 81.34% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.23 | ||
| EV/EBITDA | 5.15 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- DVN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.61
PEG (5Y)N/A
EPS Next 2Y11.85%
EPS Next 3Y8.94%
5. DVN Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 1.87%, DVN has a reasonable but not impressive dividend return.
- DVN's Dividend Yield is comparable with the industry average which is at 3.51.
- DVN's Dividend Yield is comparable with the S&P500 average which is at 1.80.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
5.2 History
- The dividend of DVN is nicely growing with an annual growth rate of 7.65%!
- DVN has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)7.65%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
- 23.43% of the earnings are spent on dividend by DVN. This is a low number and sustainable payout ratio.
DP23.43%
EPS Next 2Y11.85%
EPS Next 3Y8.94%
DVN Fundamentals: All Metrics, Ratios and Statistics
50.56
-0.81 (-1.58%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Industry Strength83.23
Industry Growth71.43
Earnings (Last)02-17 2026-02-17/amc
Earnings (Next)05-05 2026-05-05/amc
Inst Owners79.53%
Inst Owner Change0.21%
Ins Owners0.43%
Ins Owner Change0.34%
Market Cap31.42B
Revenue(TTM)17.19B
Net Income(TTM)2.64B
Analysts80.61
Price Target58.4 (15.51%)
Short Float %5.08%
Short Ratio2.04
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
Yearly Dividend0.97
Dividend Growth(5Y)7.65%
DP23.43%
Div Incr Years0
Div Non Decr Years0
Ex-Date03-13 2026-03-13 (0.24)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.6%
Min EPS beat(2)0.01%
Max EPS beat(2)11.19%
EPS beat(4)2
Avg EPS beat(4)1.22%
Min EPS beat(4)-4.28%
Max EPS beat(4)11.19%
EPS beat(8)5
Avg EPS beat(8)4.17%
EPS beat(12)7
Avg EPS beat(12)3.43%
EPS beat(16)10
Avg EPS beat(16)3.18%
Revenue beat(2)2
Avg Revenue beat(2)2.72%
Min Revenue beat(2)1.43%
Max Revenue beat(2)4.01%
Revenue beat(4)4
Avg Revenue beat(4)2.77%
Min Revenue beat(4)0.2%
Max Revenue beat(4)5.44%
Revenue beat(8)7
Avg Revenue beat(8)2.92%
Revenue beat(12)10
Avg Revenue beat(12)2.09%
Revenue beat(16)12
Avg Revenue beat(16)2.41%
PT rev (1m)9.76%
PT rev (3m)26.63%
EPS NQ rev (1m)2.71%
EPS NQ rev (3m)17.35%
EPS NY rev (1m)48.03%
EPS NY rev (3m)27.5%
Revenue NQ rev (1m)-4.96%
Revenue NQ rev (3m)-4.4%
Revenue NY rev (1m)12.75%
Revenue NY rev (3m)27.69%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.93 | ||
| Fwd PE | 10.67 | ||
| P/S | 1.83 | ||
| P/FCF | 11.23 | ||
| P/OCF | 4.68 | ||
| P/B | 2.02 | ||
| P/tB | 2.13 | ||
| EV/EBITDA | 5.15 |
EPS(TTM)3.91
EY7.73%
EPS(NY)4.74
Fwd EY9.37%
FCF(TTM)4.5
FCFY8.9%
OCF(TTM)10.8
OCFY21.36%
SpS27.66
BVpS24.99
TBVpS23.78
PEG (NY)0.61
PEG (5Y)N/A
Graham Number46.8854 (-7.27%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.36% | ||
| ROE | 17.01% | ||
| ROCE | 14.02% | ||
| ROIC | 10.97% | ||
| ROICexc | 11.58% | ||
| ROICexgc | 11.92% | ||
| OM | 22.43% | ||
| PM (TTM) | 15.37% | ||
| GM | 46.46% | ||
| FCFM | 16.27% |
ROA(3y)11.05%
ROA(5y)14.3%
ROE(3y)22.68%
ROE(5y)30.29%
ROIC(3y)13.66%
ROIC(5y)17.09%
ROICexc(3y)14.23%
ROICexc(5y)18.3%
ROICexgc(3y)14.7%
ROICexgc(5y)19.02%
ROCE(3y)17.44%
ROCE(5y)21.82%
ROICexgc growth 3Y-29.34%
ROICexgc growth 5YN/A
ROICexc growth 3Y-29.09%
ROICexc growth 5YN/A
OM growth 3Y-18.5%
OM growth 5YN/A
PM growth 3Y-20.92%
PM growth 5YN/A
GM growth 3Y-5.62%
GM growth 5Y-9.55%
F-Score6
Asset Turnover0.54
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.01 | ||
| Debt/EBITDA | 0.99 | ||
| Cap/Depr | 108.87% | ||
| Cap/Sales | 22.77% | ||
| Interest Coverage | 7.58 | ||
| Cash Conversion | 90.07% | ||
| Profit Quality | 105.87% | ||
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 2.57 |
F-Score6
WACC8.04%
ROIC/WACC1.36
Cap/Depr(3y)164.13%
Cap/Depr(5y)163.19%
Cap/Sales(3y)31.8%
Cap/Sales(5y)27.72%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-19.05%
EPS 3Y-22.22%
EPS 5YN/A
EPS Q2Q%-29.31%
EPS Next Y21.22%
EPS Next 2Y11.85%
EPS Next 3Y8.94%
EPS Next 5Y-2.51%
Revenue 1Y (TTM)7.83%
Revenue growth 3Y-3.57%
Revenue growth 5Y28.91%
Sales Q2Q%-6.4%
Revenue Next Year20.58%
Revenue Next 2Y14.41%
Revenue Next 3Y8.73%
Revenue Next 5Y9.36%
EBIT growth 1Y-7.8%
EBIT growth 3Y-21.41%
EBIT growth 5YN/A
EBIT Next Year134.16%
EBIT Next 3Y45.57%
EBIT Next 5Y30.03%
FCF growth 1Y427.9%
FCF growth 3Y-6.35%
FCF growth 5Y70.7%
OCF growth 1Y1.68%
OCF growth 3Y-7.68%
OCF growth 5Y37.73%
DEVON ENERGY CORP / DVN Fundamental Analysis FAQ
What is the fundamental rating for DVN stock?
ChartMill assigns a fundamental rating of 5 / 10 to DVN.
What is the valuation status of DEVON ENERGY CORP (DVN) stock?
ChartMill assigns a valuation rating of 8 / 10 to DEVON ENERGY CORP (DVN). This can be considered as Undervalued.
What is the profitability of DVN stock?
DEVON ENERGY CORP (DVN) has a profitability rating of 6 / 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 12.93 and the Price/Book (PB) ratio is 2.02.
How sustainable is the dividend of DEVON ENERGY CORP (DVN) stock?
The dividend rating of DEVON ENERGY CORP (DVN) is 5 / 10 and the dividend payout ratio is 23.43%.