Devon Energy Updates 2026 Operational Forecast
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 days ago
0mins
Source: Fool
- Post-Merger Production Target: Devon Energy's $58 billion merger with Coterra Energy has positioned it as a financially stronger shale producer, with an expected average production of 1.38 million barrels of oil equivalent per day by 2026, highlighting its competitive market strength.
- Capital Expenditure Plans: The company plans to invest approximately $4.9 billion in 2023 to bring 460 to 480 new wells online, directly driving future production growth and enhancing overall operational efficiency.
- Shareholder Return Strategy: Devon intends to return about 70% of its excess cash to shareholders through a quarterly fixed dividend of $0.32 per share and $8 billion in stock buybacks, with an expected annual yield of 2.7% based on the current stock price, boosting investor confidence.
- Cost Savings Target: Management aims to achieve $1 billion in annual pre-tax cost savings by 2027, which will further enhance the company's financial health and provide funding for repaying $1.25 billion in debt.
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Analyst Views on DVN
Wall Street analysts forecast DVN stock price to rise
20 Analyst Rating
18 Buy
2 Hold
0 Sell
Strong Buy
Current: 45.310
Low
41.00
Averages
45.53
High
55.00
Current: 45.310
Low
41.00
Averages
45.53
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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- Tripadvisor Strategic Sale: Tripadvisor's stock rose nearly 7% following the announcement of the sale of its European online restaurant reservation platform, The Fork, to American Express, a move driven by activist investor Starboard's push for strategic options to enhance overall company value.
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