Devon Energy (DVN) Dips More Than Broader Markets: What You Should Know
Devon Energy (DVN) closed at $25.77 in the latest trading session, marking a -1.34% move from the prior day. This move lagged the S&P 500's daily loss of 0.16%. Meanwhile, the Dow lost 0.07%, and the Nasdaq, a tech-heavy index, lost 0.52%.
Heading into today, shares of the oil and gas exploration company had lost 16.55% over the past month, lagging the Oils-Energy sector's loss of 1.14% and the S&P 500's gain of 3.12% in that time.
Wall Street will be looking for positivity from DVN as it approaches its next earnings report date. The company is expected to report EPS of $0.51, up 50% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.39 billion, up 6.26% from the year-ago period.
DVN's full-year Zacks Consensus Estimates are calling for earnings of $1.91 per share and revenue of $8.02 billion. These results would represent year-over-year changes of +48.06% and -35.08%, respectively.
Investors should also note any recent changes to analyst estimates for DVN. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 12.62% lower. DVN currently has a Zacks Rank of #3 (Hold).
Investors should also note DVN's current valuation metrics, including its Forward P/E ratio of 13.66. This valuation marks a premium compared to its industry's average Forward P/E of 10.92.
Investors should also note that DVN has a PEG ratio of 0.82 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Oil and Gas - Exploration and Production - United States was holding an average PEG ratio of 0.72 at yesterday's closing price.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 66, putting it in the top 26% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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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