Devon Energy Corporation

DB:DY6 Stock Report

Market Cap: €19.6b

Devon Energy Valuation

Is DY6 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of DY6 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: DY6 (€29.97) is trading below our estimate of fair value (€72.74)

Significantly Below Fair Value: DY6 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for DY6?

Key metric: As DY6 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for DY6. This is calculated by dividing DY6's market cap by their current earnings.
What is DY6's PE Ratio?
PE Ratio6x
EarningsUS$3.40b
Market CapUS$20.44b

Price to Earnings Ratio vs Peers

How does DY6's PE Ratio compare to its peers?

The above table shows the PE ratio for DY6 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average9.3x
DR0 Deutsche Rohstoff
2.7x-8.9%€159.2m
CTRA Coterra Energy
14.7x30.7%US$18.1b
TOU Tourmaline Oil
15.3x25.7%CA$23.7b
TATN PJSC Tatneft
4.6xn/a₽915.4b
DY6 Devon Energy
6x-4.7%€20.4b

Price-To-Earnings vs Peers: DY6 is good value based on its Price-To-Earnings Ratio (6x) compared to the peer average (10.9x).

Price to Earnings Ratio vs Industry

How does DY6's PE Ratio compare vs other companies in the European Oil and Gas Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
DY6 6.0xIndustry Avg. 8.3xNo. of Companies17PE0612182430+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: DY6 is good value based on its Price-To-Earnings Ratio (6x) compared to the European Oil and Gas industry average (8.3x).

Price to Earnings Ratio vs Fair Ratio

What is DY6's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

DY6 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio6x
Fair PE Ratio19.3x

Price-To-Earnings vs Fair Ratio: DY6 is good value based on its Price-To-Earnings Ratio (6x) compared to the estimated Fair Price-To-Earnings Ratio (19.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst DY6 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€29.97
€48.21
+60.8%
12.1%€61.56€41.36n/a28
Dec ’25€35.99
€48.91
+35.9%
11.3%€61.09€41.04n/a28
Nov ’25€35.43
€47.98
+35.4%
10.2%€59.18€39.76n/a28
Oct ’25€35.11
€48.67
+38.7%
9.5%€57.82€38.85n/a27
Sep ’25€40.86
€51.11
+25.1%
9.5%€58.48€38.69n/a27
Aug ’25€43.36
€53.65
+23.7%
9.3%€62.67€39.63n/a27
Jul ’25€44.27
€55.13
+24.6%
8.7%€63.67€44.94n/a28
Jun ’25€44.17
€53.97
+22.2%
8.9%€62.68€44.25n/a27
May ’25€49.22
€54.12
+9.9%
10.3%€64.64€44.97n/a29
Apr ’25€46.30
€50.48
+9.0%
10.6%€64.24€43.76n/a28
Mar ’25€40.64
€49.04
+20.7%
12.6%€69.21€42.45n/a28
Feb ’25€38.90
€49.28
+26.7%
13.0%€69.09€42.38n/a28
Jan ’25€41.24
€50.37
+22.1%
11.9%€70.15€42.82n/a28
Dec ’24€41.16
€51.60
+25.4%
13.0%€70.18€42.84€35.9928
Nov ’24€43.88
€55.43
+26.3%
12.9%€74.65€44.41€35.4328
Oct ’24€45.98
€57.43
+24.9%
12.7%€75.20€47.60€35.1128
Sep ’24€47.06
€55.88
+18.7%
13.1%€73.34€46.42€40.8627
Aug ’24€48.86
€54.09
+10.7%
15.6%€69.67€34.38€43.3627
Jul ’24€44.80
€56.41
+25.9%
16.2%€74.23€34.82€44.2727
Jun ’24€43.16
€58.65
+35.9%
17.1%€81.09€35.42€44.1727
May ’24€47.38
€59.79
+26.2%
16.0%€78.78€40.75€49.2228
Apr ’24€45.46
€61.38
+35.0%
16.3%€80.26€41.51€46.3028
Mar ’24€50.40
€67.16
+33.3%
14.0%€83.90€42.42€40.6428
Feb ’24€56.02
€69.50
+24.1%
13.6%€88.31€41.40€38.9028
Jan ’24€57.18
€74.16
+29.7%
13.2%€92.37€42.42€41.2427
Dec ’23€65.88
€76.96
+16.8%
14.5%€99.02€44.22€41.1626

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/27 23:25
End of Day Share Price 2024/12/23 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Devon Energy Corporation is covered by 74 analysts. 17 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
William SeleskyArgus Research Company
Hsulin PengBaird
Ishan MajumdarBaptista Research