DEVON ENERGY CORP (DVN) Fundamental Analysis & Valuation
NYSE:DVN • US25179M1036
Current stock price
49.65 USD
+0.16 (+0.32%)
At close:
49.64 USD
-0.01 (-0.02%)
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.
- In the past year DVN had a positive cash flow from operations.
- In the past 5 years DVN has always been profitable.
- In the past 5 years DVN always reported a positive cash flow from operatings.
1.2 Ratios
- DVN has a better Return On Assets (8.36%) than 81.82% of its industry peers.
- Looking at the Return On Equity, with a value of 17.01%, DVN belongs to the top of the industry, outperforming 82.30% of the companies in the same industry.
- The Return On Invested Capital of DVN (10.97%) is better than 87.56% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for DVN is significantly below the industry average of 23.10%.
| 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
- With a decent Profit Margin value of 15.37%, DVN is doing good in the industry, outperforming 65.55% of the companies in the same industry.
- In the last couple of years the Profit Margin of DVN has declined.
- The Operating Margin of DVN (22.43%) is better than 62.68% of its industry peers.
- DVN's Operating Margin has declined in the last couple of years.
- DVN has a Gross Margin (46.46%) which is comparable to the rest of the industry.
- 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
- An Altman-Z score of 2.54 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 2.54, DVN is in the better half of the industry, outperforming 73.21% of the companies in the same industry.
- The Debt to FCF ratio of DVN is 3.01, which is a good value as it means it would take DVN, 3.01 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of DVN (3.01) is better than 77.03% of its industry peers.
- A Debt/Equity ratio of 0.48 indicates that DVN is not too dependend on debt financing.
- DVN has a Debt to Equity ratio (0.48) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.48 | ||
| Debt/FCF | 3.01 | ||
| Altman-Z | 2.54 |
ROIC/WACC1.37
WACC8%
2.3 Liquidity
- A Current Ratio of 0.98 indicates that DVN may have some problems paying its short term obligations.
- DVN has a Current ratio (0.98) which is comparable to the rest of the industry.
- 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 of 0.90. This is comparable to the rest of the industry: DVN outperforms 44.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.98 | ||
| Quick Ratio | 0.9 |
3. DVN Growth Analysis
3.1 Past
- DVN shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.05%.
- The earnings per share for DVN have been decreasing by -22.22% on average. This is quite bad
- 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
- DVN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.85% yearly.
- DVN is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -2.84% yearly.
EPS Next Y-18.11%
EPS Next 2Y-0.27%
EPS Next 3Y5.99%
EPS Next 5Y11.85%
Revenue Next Year6.95%
Revenue Next 2Y3.97%
Revenue Next 3Y5.9%
Revenue Next 5Y-2.84%
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
- Based on the Price/Earnings ratio of 12.70, the valuation of DVN can be described as correct.
- 77.99% of the companies in the same industry are more expensive than DVN, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 26.21, DVN is valued rather cheaply.
- The Price/Forward Earnings ratio is 15.51, which indicates a correct valuation of DVN.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of DVN indicates a somewhat cheap valuation: DVN is cheaper than 67.46% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 23.13. DVN is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.7 | ||
| Fwd PE | 15.51 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, DVN is valued cheaper than 84.69% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, DVN is valued cheaply inside the industry as 81.82% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.01 | ||
| EV/EBITDA | 5.05 |
4.3 Compensation for Growth
- The decent profitability rating of DVN may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-0.27%
EPS Next 3Y5.99%
5. DVN Dividend Analysis
5.1 Amount
- DVN has a Yearly Dividend Yield of 1.84%.
- DVN's Dividend Yield is comparable with the industry average which is at 3.16.
- Compared to an average S&P500 Dividend Yield of 1.89, DVN has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.84% |
5.2 History
- The dividend of DVN is nicely growing with an annual growth rate of 7.65%!
- DVN has paid a dividend for at least 10 years, which is 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.
- The dividend of DVN is growing, but earnings are growing more, so the dividend growth is sustainable.
DP23.43%
EPS Next 2Y-0.27%
EPS Next 3Y5.99%
DVN Fundamentals: All Metrics, Ratios and Statistics
49.65
+0.16 (+0.32%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)02-17 2026-02-17/amc
Earnings (Next)05-04 2026-05-04/amc
Inst Owners79.76%
Inst Owner Change-0.01%
Ins Owners0.43%
Ins Owner Change0.35%
Market Cap30.78B
Revenue(TTM)17.19B
Net Income(TTM)2.64B
Analysts80.61
Price Target53.21 (7.17%)
Short Float %4.09%
Short Ratio1.7
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.84% |
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)7.55%
PT rev (3m)14.5%
EPS NQ rev (1m)51.19%
EPS NQ rev (3m)2.55%
EPS NY rev (1m)0%
EPS NY rev (3m)-21.14%
Revenue NQ rev (1m)2.98%
Revenue NQ rev (3m)-0.75%
Revenue NY rev (1m)5.29%
Revenue NY rev (3m)10.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.7 | ||
| Fwd PE | 15.51 | ||
| P/S | 1.79 | ||
| P/FCF | 11.01 | ||
| P/OCF | 4.59 | ||
| P/B | 1.98 | ||
| P/tB | 2.08 | ||
| EV/EBITDA | 5.05 |
EPS(TTM)3.91
EY7.88%
EPS(NY)3.2
Fwd EY6.45%
FCF(TTM)4.51
FCFY9.09%
OCF(TTM)10.82
OCFY21.8%
SpS27.72
BVpS25.05
TBVpS23.83
PEG (NY)N/A
PEG (5Y)N/A
Graham Number46.94
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 | 2.54 |
F-Score6
WACC8%
ROIC/WACC1.37
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 Y-18.11%
EPS Next 2Y-0.27%
EPS Next 3Y5.99%
EPS Next 5Y11.85%
Revenue 1Y (TTM)7.83%
Revenue growth 3Y-3.57%
Revenue growth 5Y28.91%
Sales Q2Q%-6.4%
Revenue Next Year6.95%
Revenue Next 2Y3.97%
Revenue Next 3Y5.9%
Revenue Next 5Y-2.84%
EBIT growth 1Y-7.8%
EBIT growth 3Y-21.41%
EBIT growth 5YN/A
EBIT Next Year99.02%
EBIT Next 3Y37.9%
EBIT Next 5Y17.41%
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 6 / 10 to DEVON ENERGY CORP (DVN). This can be considered as Fairly Valued.
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 12.7 and the Price/Book (PB) ratio is 1.98.
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%.