Handle With Care: Devon Energy Corporation (NYSE: DVN)


    The Vanguard Group, Inc. recently announced the acquisition of new stake in Devon Energy Corporation (NYSE:DVN). The institutional investor has increased its shareholding in the Energy company by 6.98% to 45.74 million shares with purchase of 2.98 million shares. This fresh investment now brings its stake to 11.94% valued currently at $479.81 million. In addition, Geode Capital Management LLC raised its holdings by 0.15 million to 6.71 million shares. And T. Rowe Price Associates, Inc. (I.. has lifted its position by 134.69% or 3.61 million shares – to 6.29 million shares.

    With over 5.79 million Devon Energy Corporation (DVN) shares trading Tuesday and a closing price of $10.98 on the day, the dollar volume was approximately $63.61 million. The shares have shown a negative weekly performance of -3.17% and its price on 08/25/20 gained nearly 1.86%. Currently, there are 377.00M common shares owned by the public and among those 370.57M shares have been available to trade.

    An analysis of what Wall Street brokers have to say about the expected price targets for this stock gives us this picture: 31 analysts who have offered their price forecasts for DVN have a consensus price objective of $16.87. The analysts have set the share’s price value over the next 12 months at a high of $33.00 and a low of $11.00 should the stock experience a downside. Incidentally, analysts’ outlook for the Devon Energy Corporation stock is 2.10 for the next 12 months. The average price target is 32.72% above its last price level and an upside to the estimated low will see the stock gain 0.18% over that period. But an upside of 66.73% will see the stock hit the forecast high price target while mean target price for the stock is $16.00.

    Insiders at the company have transacted a total of 69 times over the past 12 months, according to data filed with the U.S. Securities and Exchange Commission (SEC). 29 of these insider trades were purchases, accounting for 712,297 shares. Insider sales of the common stock occurred on 40 occasions, with total insider shares sold totaling 161,449 shares.

    The top 3 mutual fund holders in Devon Energy Corporation are Vanguard Total Stock Market Index, Vanguard 500 Index Fund, and Invesco Comstock Fund. Vanguard Total Stock Market Index owns 10.97 million shares of the company’s stock, all valued at over $115.03 million. The company sold 5537.0 shares recently to bring their total holdings to about 2.86% of the shares outstanding. Vanguard 500 Index Fund sold 57729.0 shares to see its total holdings shrink to 7.88 million shares valued at over $82.7 million and representing 2.06% of the shares outstanding. Invesco Comstock Fund sold -1.77 million shares to bring its total holdings to over 6.5 million shares at a value of $68.22 million. Invesco Comstock Fund now owns shares totaling to 1.70% of the shares outstanding.

    Shares of Devon Energy Corporation (NYSE: DVN) opened at $10.90, up $0.12 from a prior closing price of $10.78. However, the script later closed the day at $10.98, up 1.86%. The company’s stock has a 5-day price change of -3.17% and -9.79% over the past three months. DVN shares are trading -56.82% year to date (YTD), with the 12-month market performance down to -48.02% lower. It has a 12-month low price of $4.60 and touched a high of $27.82 over the same period. Currently, 5.79 million shares have been traded, compared to an average intraday trading volume of 9.54 million shares. The stock is trading above its simple moving averages at the SMA20, SMA50, and SMA200, as the current price level is off by -2.10%, -0.98%, and -28.22% respectively.

    Institutional ownership of Devon Energy Corporation (NYSE: DVN) shares accounts for 82.50% of the company’s 377.00M shares outstanding. Mutual fund holders own 32.40%, while other institutional holders and individual stakeholders account for 46.21% and 1.67% respectively.

    It has a market capitalization of $4.30B and a beta (3y monthly) value of 3.33. The earnings-per-share (ttm) stands at -$6.05. Price movements for the stock have been influenced by the stock’s volatility, which stands at 3.38% over the week and 4.51% over the month.

    Analysts forecast that Devon Energy Corporation (DVN) will achieve an EPS of -$0.12 for the current quarter, -$0.04 for the next quarter and $0.31 for 2021. The lowest estimate earnings-per-share for the quarter is -$0.27 while analysts give the company a high EPS estimate of $0.04. Comparatively, EPS for the current quarter was $0.29 a year ago. Earnings per share for the fiscal year are expected to decrease by -118.70%, and 207.40% over the next financial year.

    If you are looking to buy this stock, then you may note that the average analyst recommendation by 31 brokerage firm advisors rate Devon Energy Corporation (DVN) as a “Moderate Buy” at a consensus score of 2.10. Specifically, 19 Wall Street analysts polled rate the stock as a buy, while 10 of the 31 advise that investors “hold,” and 0 rated it as a “Sell.”

    Looking at the support for the DVN, a number of firms have released research notes about the stock. Credit Suisse stated their Outperform rating for the stock in a research note on August 05, 2020, with the firm’s price target at $15. JP Morgan coverage for the Devon Energy Corporation (DVN) stock in a research note released on July 23, 2020 offered a Neutral rating with a price target of. Piper Sandler was of a view on July 21, 2020 that the stock is Overweight, while Mizuho gave the stock Buy rating on June 19, 2020, issuing a price target of. Piper Sandler on their part issued Neutral rating on March 25, 2020.


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