Devon Energy Corporation [NYSE: DVN] shares went higher by 0.78% from its previous closing of $21.89, now trading at the price of $22.06, also adding 0.17 points. Is DVN stock a buy or should you stay away?
The stock had a rather active trading session with the latest closing, by far recording 1.64 million contracts. Compared to the average trading volume of DVN shares, the company saw a far better performance. Moreover, the stock has a 371.72M float and a -2.11% run over in the last seven days. DVN share price has been hovering between $35.39 and $19.72 lately, and is definitely worthy of attention.
Devon Energy Corporation [NYSE:DVN]: Analyst Rating and Earnings
Its stock price has been found in the range of 19.72 to 35.39. This is compared to its latest closing price of $21.89.
Pay attention for this company’s financial results, of which the next release is scheduled to happen on Tue 18 Feb (In 78 Days).
Fundamental Analysis of Devon Energy Corporation [DVN]
Now let’s turn to look at profitability: with a current Operating Margin for Devon Energy Corporation [DVN] sitting at +9.83 and its Gross Margin at +16.24, this company’s Net Margin is now 16.40%. These measurements indicate that Devon Energy Corporation [DVN] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 5.02, and its Return on Invested Capital has reached 8.70%. Its Return on Equity is 8.19, and its Return on Assets is 3.03. These metrics all suggest that Devon Energy Corporation is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Devon Energy Corporation [DVN] has generated a Total Debt to Total Equity ratio of 64.74. Similarly, its Total Debt to Total Capital is 39.30, while its Total Debt to Total Assets stands at 30.39.
What about valuation? This company’s Enterprise Value to EBITDA is 4.27 and its Total Debt to EBITDA Value is 2.12. The Enterprise Value to Sales for this firm is now 1.50, and its Total Debt to Enterprise Value stands at 0.40. Devon Energy Corporation [DVN] has a Price to Book Ratio of 1.10, a Price to Cash Flow Ratio of 5.03 and P/E Ratio of 6.89. These metrics all suggest that Devon Energy Corporation is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Devon Energy Corporation [DVN] earns $3,492,069 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 7.93 and its Total Asset Turnover is 0.41. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.99 and its Current Ratio is 1.99. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Devon Energy Corporation [DVN] has 394.98M shares outstanding, amounting to a total market cap of $8.65B. Its stock price has been found in the range of 19.72 to 35.39. At its current price, it has moved down by -37.67% from its 52-week high, and it has moved up 11.87% from its 52-week low.
This stock’s Beta value is currently 2.38, which indicates that it is 2.36% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 48.68. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Devon Energy Corporation [DVN] a Reliable Buy?
Shares of Devon Energy Corporation [DVN], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.