Why Devon Energy Is Ready to Rebound

Before you go, we thought you'd like these...
Before you go close icon

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, natural gas and oil producer has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Devon and see what CAPS investors are saying about the stock right now.

Devon facts

Headquarters (founded)

Oklahoma City (1971)

Market Cap

$23.8 billion

Industry

Oil and gas exploration and production

Trailing-12-Month Revenue

$8.8 billion

Management

CEO John Richels (since 2010)

CFO Jeffrey Agosta (since 2010)

Return on Equity (average, past 3 years)

3.4%

Cash/Debt

$6.5 billion / $12.2 billion

Dividend Yield

1.5%

Competitors

Chesapeake Energy

Encana

EOG Resources


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 2,225 members who have rated Devon believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, TMFrank, highlighted Devon as a bargain opportunity worth looking into: "Fairly cheap on a [price-to-book value] basis and a great balance sheet. Add in the potential for a continued rebound in Nat Gas prices, which would provide a decent catalyst, and this is good enough for a [CAPS] pick."

Of course, there are many different ways to play the energy sector, and The Motley Fool's analysts have uncovered an under-the-radar company that's dominating its industry. This company is a leading provider of equipment and components used in drilling and production operations, and poised to profit in a big way from it. To get the name and detailed analysis of this company that will prosper for years to come, check out the special free report: "The Only Energy Stock You'll Ever Need." Don't miss out on this limited-time offer and your opportunity to discover this under-the-radar company before the market does. Click here to access your report -- it's totally free.

The article Why Devon Energy Is Ready to Rebound originally appeared on Fool.com.

Motley Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool owns shares of Devon Energy and has the following options: Long Jan 2014 $20 Calls on Chesapeake Energy, Long Jan 2014 $30 Calls on Chesapeake Energy, and Short Jan 2014 $15 Puts on Chesapeake Energy. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners