Market Overview

UPDATE: Guggenheim Securities Reiterates on Devon Energy Corp. Following Announcement of Agreement with Crosstex Energy

Related DVN
Earnings Scheduled For August 6, 2014
Earnings Expectations For The Week Of August 4: Media Giants, Retailers And More
Energy Stocks Move Higher as Oil Spikes (Fox Business)

In a report published Tuesday, Guggenheim Securities analyst Rob Cordray reiterated a Buy rating on Devon Energy Corp. (NYSE: DVN), and raised the price target from $76.00 to $78.00.

In the report, Guggenheim Securities noted, “Devon Energy announced yesterday the signing of definitive agreements with Crosstex Energy, L.P. and Crosstex Energy, Inc. to combine substantially all of Devon's U.S. midstream assets with the entirety of Crosstex's assets to form a new midstream business. Although this structure represents a departure from the midstream MLP discussed in our previous note, we see it as a very positive development, as it accelerates the projected upside to the company's near-term and long-term NAV, in our view. Based on our updated NAV estimate from this transaction ($89.50 to $93.04/share), we are raising our PT to $78 from $76. We also believe that there could be an additional $3/share in incremental NAV as the deal is priced early next year.”

Devon Energy Corp. closed on Monday at $65.32.

Latest Ratings for DVN

DateFirmActionFromTo
Jul 2014BarclaysMaintainsOverweight
Jul 2014Deutsche BankMaintainsHold
Jul 2014JP MorganMaintainsNeutral

View More Analyst Ratings for DVN
View the Latest Analyst Ratings

Posted-In: Guggenheim Securities Rob CordrayAnalyst Color Price Target Analyst Ratings

 

Related Articles (DVN)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters