Piper Sandler has revised its outlook for Devon Energy (DVN, Financial), adjusting the price target from $55 to $54 while maintaining an Overweight rating on the stock. This adjustment comes as the firm anticipates a challenging landscape heading into the first quarter earnings, influenced by ongoing trade tensions and broader economic uncertainties.
Contributing to the tricky market conditions are the increased supply from OPEC+ and complex seasonal trends in the natural gas market. Despite these challenges, Piper Sandler notes that volatile periods can offer attractive entry points for companies with substantial low-cost inventory and robust balance sheets, like Devon Energy.
However, the investment firm indicates a slight preference for oil over gas as the market approaches the first quarter, considering the current dynamics where reversion patterns and investment positioning significantly affect short-term performance.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 29 analysts, the average target price for Devon Energy Corp (DVN, Financial) is $45.26 with a high estimate of $66.00 and a low estimate of $32.00. The average target implies an upside of 53.53% from the current price of $29.48. More detailed estimate data can be found on the Devon Energy Corp (DVN) Forecast page.
Based on the consensus recommendation from 31 brokerage firms, Devon Energy Corp's (DVN, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Devon Energy Corp (DVN, Financial) in one year is $49.59, suggesting a upside of 68.22% from the current price of $29.48. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Devon Energy Corp (DVN) Summary page.
