12 Most Promising Energy Stocks According to Analysts

1) Devon Energy Corporation (NYSE:DVN)

Average Upside Potential: 39.8%

Number of Hedge Fund Holders: 41

Devon Energy Corporation (NYSE:DVN) is an independent energy company, which is engaged in the exploration, development, and production of oil, natural gas, and natural gas liquids. The company’s core multi-basin portfolio is considered one of the most robust among exploration and production (E&P) companies. Notably, this diversified asset base offers operational flexibility and supports mitigating risks related to regional fluctuations in production or market conditions.

By operating in multiple basins, Devon Energy Corporation (NYSE:DVN) can allocate capital to the most compelling opportunities throughout its portfolio, supporting returns and maintaining a balanced production profile. Its presence in key areas including the Delaware basin, Eagle Ford, and Bakken offers access to several resource types and operational environments, allowing Devon Energy Corporation (NYSE:DVN) to leverage its best practices throughout regions and potentially unlock synergies. Also, the acquisition of Grayson Mill Energy adds a high-margin production mix, enhancing its position as one of the leading oil producers in the US.

As a result of the Grayson Mill acquisition and robust YTD (period ended September 30, 2024) performance, Devon Energy Corporation (NYSE:DVN) has revised its production forecast higher in Q4 2024 to a range of 811,000 – 830,000 Boe per day, reflecting a 13% rise as compared to Q3 2024. This volume growth is expected to stem from an estimated 110,000 Boe per day of incremental production from Devon Energy Corporation (NYSE:DVN)’s Williston Basin acquisition.

While we acknowledge the potential of DVN as an investment, our conviction lies in the belief that some deeply undervalued AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for a deeply undervalued AI stock that is more promising than DVN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

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