Devon Energy Corporation is one of the leading independent oil and gas producers in North America. The company was founded in 1971 and is headquartered in Oklahoma City, USA. The main enterprises of Devon Energy are located in the coastal regions of the United States, in the basins of the Delaware, Powder, and Mississippi rivers (off Stack Island), as well as in the Eagle Ford mountain formation. The company occupies the 419th place in the Fortune 500 rating. In 2004, the company's shares began to be traded on the NYSE (previously, since 1988, they were traded on AMEX).
As with other oil companies’ stocks, it is essential to follow the world's energy news when dealing with DVN. The decline in global demand for hydrocarbons will negatively affect the value of Devon Energy stocks. For example, the COVID outbreaks in 2020-2022 led to a drop in oil supplies, resulting in a depreciation of the DVN.
The company news also affects its stocks. Entering new markets and successful mergers support stock price growth. For instance, in 1999, Devon Energy bought PennzEnergy and gained access to fields on the shelf of the Gulf of Mexico; following the transaction, the shares rose in price. However, the DVN price volatility increased following the announcement of the sale of oil and gas assets in Canada in 2019.
The DVN stock’s long-term trend could also be suggested by the company's financial and economic performance. Positive reporting, including the growth of dividends, attracts more investors. As a result, the price of DVN rises.
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Sell | 44.82 |
Buy | 44.83 |
Sentiment | 100% ▴ |
1-day change | -1.68(-3.61%) |
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Devon Energy became the first independent company in the oil and gas industry. The company is included in the Fortune 500 list and the top 100 best employers in the world.
Devon Energy is known for its major expansions and acquisitions of assets of other energy companies. However, this does not insure the company against difficulties. For example, in early 2016, Devon Energy announced plans to lay off 1,000 employees and cut dividends due to low product prices. As a result, the share price dropped significantly.
Hurricane Harvey also negatively impacted the company in 2017. As a result, the infrastructure at the fields at Eagle Ford was seriously damaged. According to Devon Energy, production volumes decreased by 15,000 barrels per day, which negatively affected the DVN rate. The company is also famous for its political activities. Devon Energy spent hundreds of thousands of dollars to support the Republican Party. In 2014, New York Times journalists found out that some government officials were promoting the interests of Devon Energy. This angered shareholders, and the volatility of shares increased significantly.
In the first half of 2022, Devon Energy shares performed the best among the largest US oil companies. While the NYSE Composite declined 12.7% and US inflation hit a 40-year high of 8.5%, the DVN rose 52.5%. The reason is the sharp rise in oil prices above $100. This drew the attention of investors to the shares of oil companies.