UPDATE: ISI Group Upgrades Devon Energy to Outperform

ISI Group upgrades its rating on Devon Energy (NYSE: DVN) from Perform to Outperform on the company's strategic advantages in natural gas.

ISI Group says, "We are upgrading Devon Energy (DVN) from 2 (Benchmark Perform) to 1 (Outperform Benchmark) to reflect its unique natural gas ‘SURVIVOR' qualities including its large North American onshore drilling inventory, its low base decline rates (Barnett, Canadian SAGD), its superior financial strength (14% net debt to cap), its robust firm transport capacity to move Mid-Con NGLs to the premium priced Mt. Belvieu market and its ‘hidden' wholly-owned midstream system ($450-550MM EBITDA per annum)."

DVN closed at $65.66 a share on Friday.