Traders Buy Large Volume of Call Options on Devon Energy (NYSE:DVN)

Devon Energy Corporation (NYSE:DVN) was the target of unusually large options trading activity on Monday. Stock investors bought 70,258 call options on the company. This is an increase of approximately 102% compared to the typical daily volume of 34,734 call options.

Analyst Ratings Changes

A number of brokerages have recently issued reports on DVN. TD Cowen increased their target price on Devon Energy from $46.00 to $50.00 and gave the company a “hold” rating in a research report on Tuesday, March 17th. Capital One Financial decreased their target price on Devon Energy from $64.00 to $63.00 and set an “overweight” rating on the stock in a research report on Tuesday, April 14th. Truist Financial began coverage on Devon Energy in a research report on Tuesday, March 24th. They set a “buy” rating and a $63.00 target price on the stock. Barclays increased their target price on Devon Energy from $52.00 to $54.00 and gave the company an “overweight” rating in a research report on Monday, March 16th. Finally, BMO Capital Markets increased their target price on Devon Energy from $60.00 to $65.00 and gave the company an “outperform” rating in a research report on Wednesday, May 13th. Four analysts have rated the stock with a Strong Buy rating, twenty-two have issued a Buy rating and five have given a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $56.85.

Insider Buying and Selling

In other news, EVP Jeffrey L. Ritenour sold 70,029 shares of the stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $46.66, for a total transaction of $3,267,553.14. Following the transaction, the executive vice president owned 428,452 shares in the company, valued at $19,991,570.32. This trade represents a 14.05% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, SVP Adam M. Vela sold 24,342 shares of the stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $47.21, for a total value of $1,149,185.82. Following the transaction, the senior vice president owned 130,540 shares in the company, valued at $6,162,793.40. This trade represents a 15.72% decrease in their position. The disclosure for this sale is available in the SEC filing. 0.73% of the stock is owned by company insiders.

Institutional Trading of Devon Energy

A number of hedge funds and other institutional investors have recently modified their holdings of the stock. Tobam increased its stake in shares of Devon Energy by 16.4% in the 4th quarter. Tobam now owns 1,633 shares of the energy company’s stock worth $60,000 after acquiring an additional 230 shares during the last quarter. TD Private Client Wealth LLC increased its stake in shares of Devon Energy by 3.4% in the 4th quarter. TD Private Client Wealth LLC now owns 7,152 shares of the energy company’s stock worth $262,000 after acquiring an additional 236 shares during the last quarter. Catalyst Financial Partners LLC increased its stake in shares of Devon Energy by 3.9% in the 4th quarter. Catalyst Financial Partners LLC now owns 6,712 shares of the energy company’s stock worth $246,000 after acquiring an additional 254 shares during the last quarter. Cary Street Partners Investment Advisory LLC increased its stake in shares of Devon Energy by 21.0% in the 4th quarter. Cary Street Partners Investment Advisory LLC now owns 1,480 shares of the energy company’s stock worth $54,000 after acquiring an additional 257 shares during the last quarter. Finally, Zions Bancorporation National Association UT increased its stake in shares of Devon Energy by 7.9% in the 4th quarter. Zions Bancorporation National Association UT now owns 3,527 shares of the energy company’s stock worth $129,000 after acquiring an additional 258 shares during the last quarter. 69.72% of the stock is owned by institutional investors and hedge funds.

Key Devon Energy News

Here are the key news stories impacting Devon Energy this week:

• Positive Sentiment: Jefferies raised its price target on Devon Energy to $63 from $62 and kept a buy rating, citing continued upside potential. Devon Energy (NYSE:DVN) Price Target Raised to $63.00 at Jefferies Financial Group
• Positive Sentiment: Wells Fargo issued an even more constructive view, lifting its target to $68 from $66 and maintaining an overweight rating, reinforcing bullish sentiment around the stock. Wells Fargo & Company Issues Positive Forecast for Devon Energy (NYSE:DVN) Stock Price
• Positive Sentiment: Devon saw unusually large call-option buying, with 70,258 calls traded versus an average of 34,734, indicating traders are betting on continued strength.
• Positive Sentiment: The stock crossed above both its 20-day and 50-day moving averages, a technical signal that often attracts momentum buyers and suggests near-term bullish trend strength.
• Positive Sentiment: RBC said Devon could benefit from upcoming combined-company guidance with Coterra Energy, along with asset review and buyback-related support, which could improve investor expectations.
• Neutral Sentiment: Additional commentary highlighted Devon as a momentum and dividend-growth name, but these pieces were more supportive than materially new.

Devon Energy Trading Up 0.4%

Shares of DVN stock opened at $49.66 on Tuesday. The stock’s fifty day moving average is $47.85 and its two-hundred day moving average is $41.56. The company has a debt-to-equity ratio of 0.48, a quick ratio of 0.94 and a current ratio of 1.01. The firm has a market capitalization of $30.86 billion, a P/E ratio of 13.83 and a beta of 0.43. Devon Energy has a fifty-two week low of $30.24 and a fifty-two week high of $52.71.

Devon Energy (NYSE:DVN) last announced its quarterly earnings data on Tuesday, May 5th. The energy company reported $1.04 earnings per share for the quarter, missing analysts’ consensus estimates of $1.06 by ($0.02). The firm had revenue of $3.81 billion during the quarter, compared to analysts’ expectations of $4.34 billion. Devon Energy had a net margin of 13.71% and a return on equity of 15.22%. The company’s revenue for the quarter was down 14.5% on a year-over-year basis. During the same quarter in the previous year, the business posted $0.82 EPS. Research analysts expect that Devon Energy will post 5.25 earnings per share for the current fiscal year.

Devon Energy Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th will be paid a $0.32 dividend. This is a boost from Devon Energy’s previous quarterly dividend of $0.24. The ex-dividend date of this dividend is Monday, June 15th. This represents a $1.28 dividend on an annualized basis and a dividend yield of 2.6%. Devon Energy’s dividend payout ratio is 26.74%.

Devon Energy Company Profile

Devon Energy Corporation (NYSE: DVN) is an independent oil and gas exploration and production company headquartered in Oklahoma City, Oklahoma. The company focuses on the exploration, development, production and marketing of hydrocarbons, including crude oil, natural gas liquids (NGLs) and natural gas. Devon operates as an upstream energy company that acquires, evaluates and develops onshore resource plays using a combination of drilling, completion and production optimization techniques.

Core business activities include identifying and developing energy reserves, operating well programs and managing reservoir performance to generate production and cash flow.