Jefferies Maintains Buy on Devon Energy

Jefferies is out with its report today on Devon Energy (NYSE: DVN), maintaining Buy.

In a note to clients, Jefferies writes, "DVN is sitting on $6 bil+ cash. The company's existing asset base is already capable of high single digit growth within cash flow for the next several years. Management has little interest in chasing high-priced acquisitions, and would much rather replenish its drilling inventory organically. So, we think an expansion of share repurchase program is likely, which coupled with its discount valuation should be supportive for the stock."

Jefferies maintains a $106 PT on DVN.

Shares of DVN closed Wednesday at $78.30, up 0.68% from Tuesday's close.