Jefferies analyst Lloyd Byrne maintains $Devon Energy (DVN.US)$ with a hold rating, and adjusts the target price from $54 to $45.
According to TipRanks data, the analyst has a success rate of 55.5% and a total average return of 21.9% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Devon Energy (DVN.US)$'s main analysts recently are as follows:
Estimates within the integrated oil and exploration and production sector have been adjusted to accommodate a decrease in oil price forecasts for the years ahead. Despite the recent downturn in the sector, it is suggested that the potential benefits outweigh the risks for stocks, given that company fundamentals and operational momentum are reported to be strong.
The resumption of coverage on Devon Energy noted that the completion of the Grayson Mill acquisition brings additional layers to Devon's Bakken position and is expected to contribute positively to free cash flow as development activities are fine-tuned. The market's attention is largely on the Delaware's longevity and outcomes from its core play, yet the expanded Bakken presence is acknowledged as a beneficial move.
The exploration and production group had their estimates modified to reflect updated commodity price decks and investment perspectives. With long-term oil and gas price expectations set at $80 for Brent and $3.50 for Henry Hub, there's potential for sustained capital efficiency through 2025 if operational efficiency gains continue and service costs further decline. This could counterbalance the effects of resource maturity.
Note:
TipRanks, an independent third party, provides analysis data from financial analysts and calculates the Average Returns and Success Rates of the analysts' recommendations. The information presented is not an investment recommendation and is intended for informational purposes only.
Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
TipRanks provides a ranking of each analyst up to 5 stars, which is representative of all recommendations from the analyst. An analyst's past performance is evaluated on a scale of 1 to 5 stars, with more stars indicating better performance. The star level is determined by his/her total success rate and average return.
