Barclays Upgrades Devon Energy to Overweight with $50 Target
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 04 2026
0mins
Should l Buy DVN?
Source: seekingalpha
- Stock Surge: Devon Energy (DVN) rose 4.5% in Wednesday's trading, reaching a new 52-week high of $43.68, reflecting market optimism regarding its merger prospects.
- Rating Upgrade: Barclays upgraded Devon Energy's rating from Equal Weight to Overweight, raising the price target from $52 to $50, emphasizing the significant improvements in cash returns and synergy capture from the merger.
- Merger Benefits: Analysts believe the merger with Coterra Energy (CTRA) creates a differentiated E&P rate-of-change story, projecting approximately $1 billion in synergies by 2028, with free cash flow (FCF) yields expected to reach 13% in 2027 and 14% in 2028.
- Undervalued Assets: Despite both companies demonstrating strong independent performance, analysts noted that the market has not fully reflected the quality and depth of their asset bases, suggesting the combined entity will be
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Analyst Views on DVN
Wall Street analysts forecast DVN stock price to fall
21 Analyst Rating
17 Buy
4 Hold
0 Sell
Strong Buy
Current: 43.960
Low
35.00
Averages
43.25
High
55.00
Current: 43.960
Low
35.00
Averages
43.25
High
55.00
About DVN
Devon Energy Corporation is an oil and gas producer in the United States with a diversified multi-basin portfolio headlined by an acreage position in the Delaware Basin. The Company is primarily engaged in the exploration, development and production of oil, natural gas and natural gas liquids (NGLs). It owns a portfolio of assets located in the Delaware Basin, Rockies, Eagle Ford and Anadarko Basin. The Delaware Basin operates in southeast New Mexico and across the state line into west Texas. It offers exploration and development opportunities from many geologic reservoirs and play types, including the oil-rich Wolfcamp, Bone Spring, Avalon and Delaware formations. Its Rockies development consists of its Williston Basin and Powder River Basin assets. The Eagle Ford operations are located in Texas' DeWitt and Karnes counties. The Anadarko Basin development is located in western Oklahoma. It has a joint venture with Dow to develop a portion of its Anadarko Basin acreage.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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Focus on Dividends: The combined company plans to offer a dividend of 31.5 cents per share post-merger, representing a 31% increase from Devon's current payout, which is crucial for attracting investors in the energy sector.
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See More
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