Devon Energy
Market Cap
US$3.2b
Last Updated
2020/04/03 23:51 UTC
Data Sources
Company Financials +
Executive Summary
Devon Energy Corporation, an independent energy company, primarily engages in the exploration, development, and production of oil, natural gas, and natural gas liquids in the United States.
Rewards
Risk Analysis
Snowflake Analysis
Mediocre balance sheet with moderate growth potential.
Similar Companies
Share Price & News
How has Devon Energy's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: DVN's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
33.2%
DVN
6.5%
US Oil and Gas
-2.0%
US Market
1 Year Return
-74.0%
DVN
-54.6%
US Oil and Gas
-15.1%
US Market
Return vs Industry: DVN underperformed the US Oil and Gas industry which returned -56.2% over the past year.
Return vs Market: DVN underperformed the US Market which returned -14.9% over the past year.
Shareholder returns
| DVN | Industry | Market | |
|---|---|---|---|
| 7 Day | 33.2% | 6.5% | -2.0% |
| 30 Day | -48.5% | -32.4% | -19.7% |
| 90 Day | -67.9% | -49.3% | -23.2% |
| 1 Year | -73.4%-74.0% | -52.8%-54.6% | -13.4%-15.1% |
| 3 Year | -79.5%-80.3% | -49.1%-54.1% | 10.9%3.7% |
| 5 Year | -86.1%-87.1% | -53.2%-60.4% | 28.4%14.4% |
Price Volatility Vs. Market
How volatile is Devon Energy's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Did Changing Sentiment Drive Devon Energy's (NYSE:DVN) Share Price Down A Painful 89%?3 weeks ago | Simply Wall St
Insider Buying: Keith Rattie Just Spent US$231k On Devon Energy Corporation (NYSE:DVN) Shares4 weeks ago | Simply Wall St
It Might Not Be A Great Idea To Buy Devon Energy Corporation (NYSE:DVN) For Its Next DividendValuation
Is Devon Energy undervalued compared to its fair value and its price relative to the market?
34.4%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: DVN ($8.38) is trading below our estimate of fair value ($12.78)
Significantly Below Fair Value: DVN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: DVN is unprofitable, so we can't compare its PE Ratio to the Oil and Gas industry average.
PE vs Market: DVN is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate DVN's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: DVN is overvalued based on its PB Ratio (0.6x) compared to the US Oil and Gas industry average (0.5x).
Next Steps
Future Growth
How is Devon Energy forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
51.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DVN is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).
Earnings vs Market: DVN is forecast to become profitable over the next 3 years, which is considered above average market growth.
High Growth Earnings: DVN's is expected to become profitable in the next 3 years.
Revenue vs Market: DVN's revenue is expected to decline over the next 3 years (-8.3% per year).
High Growth Revenue: DVN's revenue is forecast to decline over the next 3 years (-8.3% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: DVN's Return on Equity is forecast to be low in 3 years time (4%).
Next Steps
Past Performance
How has Devon Energy performed over the past 5 years?
48.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: DVN is currently unprofitable.
Growing Profit Margin: DVN is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: DVN is unprofitable, but has reduced losses over the past 5 years at a rate of 48.4% per year.
Accelerating Growth: Unable to compare DVN's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: DVN is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-11.9%).
Return on Equity
High ROE: DVN has a negative Return on Equity (-1.33%), as it is currently unprofitable.
Next Steps
Financial Health
How is Devon Energy's financial position?
Financial Position Analysis
Short Term Liabilities: DVN's short term assets ($3.9B) exceed its short term liabilities ($1.9B).
Long Term Liabilities: DVN's short term assets ($3.9B) do not cover its long term liabilities ($5.9B).
Debt to Equity History and Analysis
Debt Level: DVN's debt to equity ratio (72.5%) is considered high.
Reducing Debt: DVN's debt to equity ratio has increased from 42.8% to 72.5% over the past 5 years.
Balance Sheet
Inventory Level: DVN has a high level of physical assets or inventory.
Debt Coverage by Assets: DVN's debt is not covered by short term assets (assets are 0.9x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable DVN has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: DVN is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 41.1% per year.
Next Steps
Dividend
What is Devon Energy's current dividend yield, its reliability and sustainability?
5.25%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: DVN's dividend (5.25%) is higher than the bottom 25% of dividend payers in the US market (2.04%).
High Dividend: DVN's dividend (5.25%) is low compared to the top 25% of dividend payers in the US market (5.7%).
Stability and Growth of Payments
Stable Dividend: DVN's dividend payments have been volatile in the past 10 years.
Growing Dividend: DVN's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: DVN is paying a dividend but the company is unprofitable.
Future Payout to Shareholders
Future Dividend Coverage: DVN's dividends in 3 years are forecast to be covered by earnings (79.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.9yrs
Average management tenure
CEO
Dave Hager (62yo)
4.67s
Tenure
US$12,459,068
Compensation
Mr. David A. Hager, also known as Dave, has been the President and Chief Executive Officer of Devon Energy Corporation since August 2015. Mr. Hager served as a Director of EnLink Midstream Partners, LP sin ...
CEO Compensation Analysis
Compensation vs Market: Dave's total compensation ($USD12.46M) is above average for companies of similar size in the US market ($USD5.63M).
Compensation vs Earnings: Dave's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.67yrs | US$12.46m | 0.21% $6.8m | |
| Executive VP & CFO | 3yrs | US$3.56m | 0.062% $2.0m | |
| Executive VP and Chief Legal & Administrative Officer | 0.58yr | US$4.33m | 0.040% $1.3m | |
| Special Advisor | 0.58yr | US$7.66m | 0.077% $2.5m | |
| Co-Founder & Chairman Emeritus | 3.83yrs | US$155.18k | no data | |
| Vice President of Operations | 0.58yr | no data | no data | |
| Senior VP & Chief Accounting Officer | 5.92yrs | no data | 0.029% $939.2k | |
| VP of Corporate Finance & Treasurer | 2.92yrs | no data | no data | |
| Vice President of Technology | 1.25yrs | no data | no data | |
| Vice President of Investor Relations | 3.5yrs | no data | no data |
2.9yrs
Average Tenure
53yo
Average Age
Experienced Management: DVN's management team is considered experienced (2.9 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 4.67yrs | US$12.46m | 0.21% $6.8m | |
| Co-Founder & Chairman Emeritus | 3.83yrs | US$155.18k | no data | |
| Independent Director | 12.33yrs | US$358.01k | 0.013% $429.3k | |
| Independent Director | 6.25yrs | US$332.01k | 0.017% $548.7k | |
| Independent Chairman | 0.83yr | US$341.01k | 0.013% $414.6k | |
| Independent Director | 21.25yrs | US$343.01k | 0.043% $1.4m | |
| Independent Director | 1.83yrs | US$265.34k | 0.0041% $131.9k | |
| Lead Director | 4.83yrs | US$371.01k | 0.012% $376.7k | |
| Independent Director | 6.25yrs | US$335.01k | 0.012% $394.4k | |
| Independent Director | 9.67yrs | US$333.01k | 0.0079% $254.5k |
5.5yrs
Average Tenure
66.5yo
Average Age
Experienced Board: DVN's board of directors are considered experienced (5.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: DVN insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Devon Energy Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Devon Energy Corporation
- Ticker: DVN
- Exchange: NYSE
- Founded: 1971
- Industry: Oil and Gas Exploration and Production
- Sector: Energy
- Market Cap: US$3.209b
- Shares outstanding: 382.92m
- Website: https://www.devonenergy.com
Number of Employees
Location
- Devon Energy Corporation
- 333 West Sheridan Avenue
- Oklahoma City
- Oklahoma
- 73102-5015
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| DVN | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Sep 1988 |
| DY6 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Sep 1988 |
| DVN * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Sep 1988 |
| 0I8W | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Sep 1988 |
| D1VN34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM | BR | BRL | Dec 2019 |
Biography
Devon Energy Corporation, an independent energy company, primarily engages in the exploration, development, and production of oil, natural gas, and natural gas liquids in the United States. It operates approximately 3,955 gross wells. The company was founded in 1971 and is headquartered in Oklahoma City, Oklahoma.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/03 23:51 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.