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Devon Energy (DVN) Falls More Steeply Than Broader Market: What Investors Need to Know

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In the latest trading session, Devon Energy (DVN - Free Report) closed at $51.43, marking a -0.46% move from the previous day. The stock's change was less than the S&P 500's daily loss of 0.22%. Meanwhile, the Dow gained 0.06%, and the Nasdaq, a tech-heavy index, lost 0.52%.

Heading into today, shares of the oil and gas exploration company had gained 6.3% over the past month, outpacing the Oils-Energy sector's gain of 3.38% and the S&P 500's loss of 1.66% in that time.

The investment community will be paying close attention to the earnings performance of Devon Energy in its upcoming release. The company is slated to reveal its earnings on May 1, 2024. On that day, Devon Energy is projected to report earnings of $1.10 per share, which would represent a year-over-year decline of 24.66%. Meanwhile, our latest consensus estimate is calling for revenue of $3.6 billion, down 5.74% from the prior-year quarter.

For the full year, the Zacks Consensus Estimates are projecting earnings of $5.14 per share and revenue of $15.05 billion, which would represent changes of -9.98% and -1.34%, respectively, from the prior year.

Any recent changes to analyst estimates for Devon Energy should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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. The Zacks Consensus EPS estimate has moved 6.36% higher within the past month. Devon Energy is currently a Zacks Rank #3 (Hold).

Looking at its valuation, Devon Energy is holding a Forward P/E ratio of 10.05. This signifies a discount in comparison to the average Forward P/E of 10.6 for its industry.

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 201, which puts it in the bottom 21% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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