UPDATE: Credit Suisse Reiterates on Devon Energy on Positive Outlook
In a report published Thursday, Credit Suisse analyst Arun Jayaram reiterated an Outperform rating on Devon Energy (NYSE: DVN), and raised the price target from $76.00 to $80.00.
In the report, Credit Suisse noted, “In the shale era, our rule of thumb to drive consistent alpha is to remain focused on Franchise Asset Producers (e.g., EOG, RRC, NBL, and PXD). One exception to this rule is to go long ‘self-help' stories such as DVN before operational improvements are fully discounted, akin to Eddie Murphy's unexpected rise as a star commodities trader in the 1983 movie ‘Trading Places.' Analysis of recent Eagle Ford (EF), Jackfish production and capex data, as well as accretion from its midstream MLP, reinforces our conviction that DVN will indeed be trading places and join the shale elite over the next 12 months.”
Devon Energy closed on Wednesday at $67.89.
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