Latest Ratios: P/E Ratio 11.4x · EV/EBITDA 5.5x · ROE 17.5%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $33.6B | $23.0B | $20.4B | $29.1B | $40.2B | $29.3B | $6.0B | $10.4B | $11.3B | $21.9B | $23.4B |
| Enterprise Value | $41.0B | $30.4B | $28.7B | $34.7B | $45.4B | $34.0B | $8.5B | $13.5B | $13.4B | $26.1B | $31.6B |
| P/E Ratio → | 11.44 | 8.72 | 7.16 | 7.76 | 6.74 | 10.54 | — | — | 3.70 | 24.35 | — |
| P/S Ratio | 1.96 | 1.34 | 1.28 | 1.91 | 2.10 | 2.40 | 1.23 | 1.67 | 1.27 | 3.36 | 2.27 |
| P/B Ratio | 1.95 | 1.48 | 1.39 | 2.38 | 3.56 | 3.12 | 1.97 | 1.76 | 1.23 | 1.55 | 2.26 |
| P/FCF | 12.03 | 8.24 | — | 11.20 | 11.80 | 10.13 | 30.88 | 80.11 | 57.15 | 210.18 | — |
| P/OCF | 5.01 | 3.43 | 3.09 | 4.44 | 4.71 | 5.98 | 4.40 | 5.03 | 4.18 | 7.51 | 13.42 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.77 | 1.80 | 2.27 | 2.37 | 2.78 | 1.75 | 2.17 | 1.50 | 4.01 | 3.07 |
| EV / EBITDA | 5.50 | 4.08 | 3.87 | 4.63 | 4.48 | 6.28 | — | 8.14 | 4.91 | 22.48 | — |
| EV / EBIT | 10.63 | 7.67 | 6.99 | 6.94 | 5.58 | 10.33 | — | 89.32 | 10.85 | 69.18 | — |
| EV / FCF | — | 10.86 | — | 13.35 | 13.34 | 11.74 | 43.82 | 103.75 | 67.45 | 250.78 | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 25.5% | 25.5% | 29.5% | 35.2% | 43.7% | 30.1% | 8.1% | 11.5% | 24.7% | 17.6% | 8.5% |
| Operating Margin | 22.4% | 22.4% | 26.2% | 32.4% | 41.3% | 26.6% | — | 2.6% | 16.8% | 2.3% | -28.1% |
| Net Profit Margin | 15.4% | 15.4% | 18.1% | 24.6% | 31.4% | 23.0% | -55.5% | -5.7% | 34.4% | 13.8% | -10.2% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.5% | 17.5% | 21.5% | 31.9% | 58.1% | 45.3% | -60.0% | -4.7% | 26.3% | 7.3% | -9.9% |
| ROA | 8.5% | 8.5% | 10.5% | 15.5% | 26.9% | 18.2% | -22.7% | -2.1% | 12.3% | 3.2% | -3.8% |
| ROIC | 12.6% | 12.6% | 15.4% | 21.6% | 38.8% | 24.9% | — | 1.2% | 7.6% | 0.6% | -10.8% |
| ROCE | 14.1% | 14.1% | 17.2% | 23.4% | 41.1% | 24.6% | — | 1.1% | 6.7% | 0.6% | -11.7% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.57 | 0.57 | 0.63 | 0.53 | 0.59 | 0.72 | 1.51 | 0.77 | 0.48 | 0.49 | 0.98 |
| Debt / EBITDA | 1.18 | 1.18 | 1.24 | 0.86 | 0.66 | 1.25 | — | 2.74 | 1.64 | 5.92 | — |
| Net Debt / Equity | — | 0.47 | 0.57 | 0.46 | 0.46 | 0.50 | 0.83 | 0.52 | 0.22 | 0.30 | 0.79 |
| Net Debt / EBITDA | 0.99 | 0.99 | 1.12 | 0.74 | 0.52 | 0.86 | — | 1.86 | 0.75 | 3.64 | — |
| Debt / FCF | — | 2.63 | — | 2.15 | 1.54 | 1.61 | 12.94 | 23.65 | 10.30 | 40.60 | — |
| Interest Coverage | 7.76 | 7.76 | 10.26 | 13.75 | 23.47 | 9.10 | -10.04 | 0.60 | 2.07 | 1.12 | -1.63 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.98 | 0.98 | 1.04 | 1.07 | 1.25 | 1.38 | 2.26 | 2.00 | 1.99 | 1.45 | 1.44 |
| Quick Ratio | 0.90 | 0.90 | 0.95 | 0.99 | 1.19 | 1.34 | 2.26 | 2.00 | 1.99 | 1.45 | 1.44 |
| Cash Ratio | 0.35 | 0.35 | 0.26 | 0.30 | 0.47 | 0.68 | 1.42 | 0.76 | 1.08 | 0.80 | 0.75 |
| Asset Turnover | — | 0.54 | 0.52 | 0.62 | 0.81 | 0.58 | 0.49 | 0.45 | 0.45 | 0.21 | 0.40 |
| Inventory Turnover | 38.09 | 38.09 | 38.20 | 39.72 | 53.73 | 74.80 | — | — | — | — | — |
| Days Sales Outstanding | — | 38.05 | 45.16 | 37.63 | 33.65 | 46.14 | 58.59 | 51.58 | 32.91 | 53.90 | 48.03 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.0% | 2.7% | 4.6% | 6.4% | 8.4% | 4.5% | 4.3% | 1.3% | 1.3% | 0.6% | 0.9% |
| Payout Ratio | 23.4% | 23.4% | 32.4% | 49.6% | 56.2% | 46.7% | — | — | 4.9% | 14.1% | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 8.7% | 11.5% | 14.0% | 12.9% | 14.8% | 9.5% | — | — | 27.1% | 4.1% | — |
| FCF Yield | 8.3% | 12.1% | — | 8.9% | 8.5% | 9.9% | 3.2% | 1.2% | 1.7% | 0.5% | — |
| Buyback Yield | 3.1% | 4.6% | 5.2% | 3.4% | 1.8% | 2.0% | 0.6% | 17.8% | 26.1% | 0.2% | 0.0% |
| Total Shareholder Yield | 5.2% | 7.2% | 9.8% | 9.8% | 10.2% | 6.5% | 4.9% | 19.1% | 27.4% | 0.8% | 0.9% |
| Shares Outstanding | — | $629M | $623M | $642M | $653M | $665M | $377M | $401M | $502M | $528M | $513M |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying DVN stock.
Devon Energy Corporation's current P/E ratio is 11.4x. The historical average is 15.9x. This places it at the 74th percentile of its historical range.
Devon Energy Corporation's current EV/EBITDA is 5.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 6.8x.
Devon Energy Corporation's return on equity (ROE) is 17.5%. The historical average is 7.7%.
Based on historical data, Devon Energy Corporation is trading at a P/E of 11.4x. This is at the 74th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Devon Energy Corporation's current dividend yield is 2.05% with a payout ratio of 23.4%.
Devon Energy Corporation has 25.5% gross margin and 22.4% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Devon Energy Corporation's Debt/EBITDA ratio is 1.2x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Commodity price volatility and merger integration
Metrics are mathematically derived from official filings.
Margin Volatility Masks Underlying Strength
According to reported financials, Devon's gross margin swung from 12.1% in 2026Q1 to 56.0% in 2026Q2, while operating margin expanded to 34.5%, reflecting extreme commodity price sensitivity and operational leverage.
The dramatic margin swings across quarters—gross margin ranging from 12.1% to 56.0%—underscore the company's high fixed-cost structure and exposure to commodity prices. The 2026Q2 surge appears to be driven by a favorable price environment and possibly one-time gains, as suggested by the EPS beat of $2.03 versus $1.09 estimate. Investors should monitor whether the 56.0% gross margin is sustainable or a cyclical peak, given that prior quarters averaged around 26-32%.
Return on Capital Remains Cyclical
Based on reported figures, Devon's ROIC fluctuated between 1.0% and 5.1% over the last ten quarters, with 2026Q2 at 5.1%, indicating that capital efficiency is highly sensitive to commodity price cycles.
ROIC has not shown a clear upward trend, oscillating with commodity prices and capex timing. The 2026Q2 improvement to 5.1% from 1.0% in the prior quarter suggests a strong price environment, but the long-term average remains modest. The pending Coterra merger may alter the capital base and efficiency metrics, but until integration is complete, the underlying organic ROIC appears to be in the mid-single digits, which is typical for the sector but below the double-digit returns of peers like EOG.
Working Capital Efficiency Shows Mixed Signals
As reported in financial statements, Devon's cash conversion cycle improved to 6 days in 2026Q2 from 25 days in 2025Q1, driven by a sharp reduction in DSO to 33 days, though DPO also declined.
The improvement in CCC to 6 days in 2026Q2 is notable, but it is partly due to a spike in payables (DPO fell to 36 days) and a reduction in receivables. The negative FCF margin of -5.0% in the same quarter, however, suggests that working capital gains may be offset by heavy capex. Asset turnover remains low at 0.14, reflecting the capital-intensive nature of the business, and any efficiency gains are likely to be overshadowed by commodity price movements.
Leverage Comfortable Despite Debt Increase
According to recent SEC filings, Devon's debt-to-equity ratio improved to 0.28 in 2026Q2 from 0.57 in 2025Q4, while interest coverage rose to 17.75x, indicating a strong balance sheet position.
The improvement in leverage metrics is partly due to the equity issuance from the Coterra merger, which increased the equity base. Interest coverage of 17.75x in 2026Q2 is robust, but it is volatile—falling to 2.31x in 2026Q1—reflecting earnings swings. The company's low absolute debt levels provide flexibility, but the pending merger integration and potential for increased debt to fund capex warrant monitoring.
Liquidity Cushion Thins Ahead of Merger
Based on reported figures, Devon's current ratio fell to 0.72 in 2026Q2 from 1.04 in 2024Q1, while quick ratio dropped to 0.67, indicating a tighter short-term liquidity position.
The decline in current and quick ratios suggests that Devon's short-term obligations are increasingly covered by operating cash flow rather than liquid assets. With cash at $1.0B and a negative FCF margin in 2026Q2, the company may rely on credit facilities or asset sales to meet near-term obligations. However, the low debt levels and strong interest coverage provide a buffer, and the merger may bring additional liquidity.
Misapplied Metric: P/E on Cyclical Earnings
The most commonly misapplied ratio for Devon is the P/E multiple, which is distorted by volatile commodity-driven earnings; a more reliable measure is EV/EBITDA, which at 5.20x appears more stable.
Devon's P/E of 10.68 on TTM earnings is misleading because earnings are highly cyclical and can swing dramatically quarter-to-quarter, as seen in the 2026Q2 EPS of $2.03 versus $0.19 in 2026Q1. EV/EBITDA, at 5.20x, better captures the company's operating performance by normalizing for non-cash charges and capital structure. Investors should also consider price-to-cash flow metrics, as cash flow is less susceptible to accounting adjustments and better reflects the company's ability to fund dividends and capex.