Valued at a market cap of $20.7 billion, Devon Energy Corporation (DVN) is an independent energy company headquartered in Oklahoma City, Oklahoma. It explores, develops, and produces oil, natural gas, and natural gas liquids. The company is expected to announce its fiscal Q2 earnings for 2025 after the market closes on Tuesday, Aug. 5.

Ahead of this event, analysts expect this energy company to report a profit of $0.81 per share, down 42.6% from $1.41 per share in the year-ago quarter. The company has topped Wall Street’s earnings estimates in three of the last four quarters, while missing on another occasion. In Q1, DVN’s EPS of $1.21 fell short of the forecasted figure by 4.7%.

For fiscal 2025, analysts expect DVN to report a profit of $3.89 per share, down 19.3% from $4.82 per share in fiscal 2024. Nonetheless, its EPS is expected to rebound in fiscal 2026, growing by 4.1% year-over-year to $4.05. 

DVN has declined 33.1% over the past 52 weeks, considerably underperforming both the S&P 500 Index's ($SPX) 10.9% return and the Energy Select Sector SPDR Fund’s (XLE) 5.5% downtick over the same time frame.

On May 6, DVN reported mixed Q1 results, and its shares plunged 1% in the following trading session. On the upside, the company’s revenue improved 23.8% year-over-year to $4.5 billion, exceeding the consensus estimate by 2.1%. Higher oil, gas and NGL sales, along with an increase in its marketing and midstream revenues, supported its robust top-line rise. However, on the downside, while its adjusted earnings of $1.21 per share grew 4.3% from the last quarter, it fell short of analyst estimates by 4.7%. DVN’s underwhelming profitability might have dampened investor confidence. 

Wall Street analysts are moderately optimistic about DVN’s stock, with a "Moderate Buy" rating overall. Among 25 analysts covering the stock, 16 recommend "Strong Buy," two indicate "Moderate Buy," and seven suggest "Hold.” The mean price target for DVN is $43.48, indicating a 35.2% potential upside from the current levels.