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Devon Energy (DVN) closed the latest trading day at $37.18, indicating a +1.12% change from the previous session's end. The stock exceeded the S&P 500, which registered a gain of 0.12% for the day. Meanwhile, the Dow gained 0.52%, and the Nasdaq, a tech-heavy index, lost 0.23%.
Shares of the oil and gas exploration company have appreciated by 12.83% over the course of the past month, outperforming the Oils-Energy sector's loss of 8.42% and the S&P 500's loss of 3.45%.
Market participants will be closely following the financial results of Devon Energy in its upcoming release. The company plans to announce its earnings on February 18, 2025. On that day, Devon Energy is projected to report earnings of $1 per share, which would represent a year-over-year decline of 29.08%. Our most recent consensus estimate is calling for quarterly revenue of $4.26 billion, up 2.7% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Devon Energy. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 3.53% lower. Devon Energy is currently a Zacks Rank #3 (Hold).
In terms of valuation, Devon Energy is currently trading at a Forward P/E ratio of 7.83. For comparison, its industry has an average Forward P/E of 10.03, which means Devon Energy is trading at a discount to the group.
We can additionally observe that DVN currently boasts a PEG ratio of 1.19. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Oil and Gas - Exploration and Production - United States industry had an average PEG ratio of 1.23.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. At present, this industry carries a Zacks Industry Rank of 141, placing it within the bottom 44% of over 250 industries.