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Devon Energy (DVN) Gains As Market Dips: What You Should Know

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Devon Energy (DVN - Free Report) closed the most recent trading day at $48.89, moving +1.08% from the previous trading session. The stock outpaced the S&P 500's daily loss of 0.41%. Elsewhere, the Dow lost 0.01%, while the tech-heavy Nasdaq added 0.15%.

Coming into today, shares of the oil and gas exploration company had gained 14.3% in the past month. In that same time, the Oils-Energy sector gained 4.81%, while the S&P 500 gained 2.36%.

Wall Street will be looking for positivity from Devon Energy as it approaches its next earnings report date. This is expected to be February 15, 2022. Meanwhile, our latest consensus estimate is calling for revenue of $3.71 billion, up 189.52% from the prior-year quarter.

Any recent changes to analyst estimates for Devon Energy should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.36% lower. Devon Energy is currently sporting a Zacks Rank of #3 (Hold).

Valuation is also important, so investors should note that Devon Energy has a Forward P/E ratio of 8.83 right now. This valuation marks a premium compared to its industry's average Forward P/E of 5.74.

Meanwhile, DVN's PEG ratio is currently 0.22. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Oil and Gas - Exploration and Production - United States stocks are, on average, holding a PEG ratio of 0.27 based on yesterday's closing prices.

The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 177, which puts it in the bottom 31% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.


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