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Devon Energy Corporation (DVN) Stock Analysis

Breakout setup

SellVALUE-TRAP 1/5Moderate Confidence

Energy · Oil & Gas E&P

Earnings in 5 days (2026-05-05). Expect elevated volatility around the report — consider waiting for post-earnings price action before new entries.

Sell if holding. At $50.58, A.R:R 0.3:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 5.0%; Concentration risk — Commodity: oil, gas and NGLs.

Devon Energy Corporation, an independent energy company, engages in the exploration, development, and production of oil, natural gas, and natural gas liquids in the United States. The company operates in Delaware Basin located in southeast New Mexico and west Texas, Eagle Ford... Read more

$50.58+5.0% A.UpsideScore 5.1/10#29 of 37 Oil & Gas E&P
Stop $47.39Target $53.06(analyst − 10%)A.R:R 0.3:1
Analyst target$58.96+16.6%25 analysts
$53.06our TP
$50.58price
$58.96mean
$44
$69

Sell if holding. At $50.58, A.R:R 0.3:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 5.0%; Concentration risk — Commodity: oil, gas and NGLs. Chart setup: Golden cross, above all MAs, RSI 61, MACD bullish. Score 5.1/10, moderate confidence.

Passes 5/7 gates (positive momentum, clean insider activity, no SEC red flags, news events none recent, semi cycle peak clear). Fails on favorable risk/reward ratio and earnings proximity 5d<=7d. Suitability: moderate.

Thesis

Rewards
Attractive valuation
Risks
Concentration risk — Commodity: oil, gas and NGLs
Thin upside margin: 5.0%
Near 52-week high (4.1% away)

Key Metrics

P/E (TTM)12.2
P/E (Fwd)9.5
Mkt Cap$31.7B
EV/EBITDA5.2
Profit Mgn16.5%
ROE17.7%
Rev Growth-12.1%
Beta0.53
Dividend1.88%
Rating analysts33

Quality Signals

Piotroski F6/9

Options Flow

P/C0.97neutral
IV57%elevated

Concentration Risks(10-K Item 1A)

  • HIGHCommodityoil, gas and NGLs
    10-K Item 1A: 'Our financial condition, results of operations and the value of our properties are highly dependent on the general supply and demand for oil, gas and NGLs, which impact the prices we ultimately realize on our sales of these commodities'

Material Events(8-K, last 90d)

  • 2026-02-02Item 1.01MEDIUM
    Devon Energy entered a Merger Agreement on February 1, 2026 to acquire Coterra Energy in an all-stock deal at 0.70 Devon shares per Coterra share, with Coterra surviving as a wholly-owned Devon subsidiary.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. Full disclaimer

Rating Breakdown

2 floor-breakers

Revenue shrinking — -12.1% YoY. Growth thesis broken unless recovery story develops.static

Revenue Growth
0.0
Earnings Growth
0.3
Declining revenue: -12%

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Growth Rank
2.0
Quality Rank
5.9
Value Rank
6.7
GatesA.R:R 0.3 < 1.5@spotEARNINGS PROXIMITY 5d<=7dMomentum 6.8>=5.5Insider activity: OKNo SEC red flagsNEWS EVENTS NONE RECENTSEMI CYCLE PEAK CLEARBreakoutSuitability: Moderate
RSI
61 · Neutral
20D MA 50D MA 200D MAGOLDEN CROSSSupport $41.92Resistance $51.30

Price Targets

$47
$53
A.Upside+4.9%
A.R:R0.3:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Reward/Risk 0.3:1 at current price — below 1.5:1 minimum
! EARNINGS_PROXIMITY:5d<=7d

Earnings

B
M
M
M
1/4 beats
Next Earnings2026-05-05 (5d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is DVN stock a buy right now?

Sell if holding. At $50.58, A.R:R 0.3:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 5.0%; Concentration risk — Commodity: oil, gas and NGLs. Chart setup: Golden cross, above all MAs, RSI 61, MACD bullish. Prior stop was $47.39. Score 5.1/10, moderate confidence.

What is the DVN stock price target?

Take-profit target: $53.06 (+5.0% upside). Prior stop was $47.39. Stop-loss: $47.39.

What are the risks of investing in DVN?

Concentration risk — Commodity: oil, gas and NGLs; Thin upside margin: 5.0%; Near 52-week high (4.1% away).

Is DVN overvalued or undervalued?

Devon Energy Corporation trades at a P/E of 12.2 (forward 9.5). TrendMatrix value score: 7.1/10. Verdict: Sell.

What do analysts say about DVN?

33 analysts cover DVN with a consensus score of 4.0/5. Average price target: $59.

What does Devon Energy Corporation do?Devon Energy Corporation, an independent energy company, engages in the exploration, development, and production of...

Devon Energy Corporation, an independent energy company, engages in the exploration, development, and production of oil, natural gas, and natural gas liquids in the United States. The company operates in Delaware Basin located in southeast New Mexico and west Texas, Eagle Ford located in North America, Anadarko Basin located in western Oklahoma, Williston Basin located in North Dakota, and Powder River Basin located in Wyoming. Devon Energy Corporation was founded in 1971 and is headquartered in Oklahoma City, Oklahoma.

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