Congresswoman Marjorie Taylor Greene revealed that she bought up to $15,000 worth of Devon Energy stock (DVN) in January and up to $15,000 worth of shares in February. These purchases come at a time when the energy sector is undergoing big changes. 

Global energy demand surged by 2.2% in 2024, almost double the average growth rate of the last decade, driven by heatwaves, industrial growth, and the electrification of data centers. Fossil fuels remain dominant, with oil and gas production rising alongside renewables, but price swings have kept investors on edge. Brent crude (CBM25) averaged $81 per barrel last year, still significantly above pre-pandemic levels.

For Devon Energy, these trends translated into record-breaking performance. The company is targeting up to 825,000 barrels of oil equivalent per day, boosted by a $5 billion acquisition in the Williston Basin and strong output from its Delaware Basin operations. 

Greene’s investment has brought fresh attention to the stock, leaving many wondering if now is the right time to follow her lead. To answer that question, let’s dive into Devon’s financial performance, fundamentals, and future outlook to see what makes this stock stand out.

A Look at Devon Energy’s Financial Strength

Devon Energy (DVN) is a major U.S. oil and gas company with operations in key regions like the Delaware Basin, Eagle Ford, and the Rockies. The company focuses on finding and producing oil, natural gas, and natural gas liquids, using advanced technology to keep its operations efficient and reliable.

Over the past year, its shares dropped by 23.3%, reflecting challenges in the energy sector. However, in 2025, the stock has made a strong comeback, gaining over 14% in the year to date thanks to solid performance and favorable market conditions. 

Financially, Devon had an impressive year in 2024. It earned $2.9 billion in net income ($4.56 per share) and $3.1 billion in core earnings ($4.82 per share). The company produced a record 737,000 barrels of oil equivalent per day while generating $6.6 billion in operating cash flow and $3 billion in free cash flow. 

Devon returned $2 billion to shareholders through dividends and buybacks, with a reserve replacement ratio of 154%, showing it’s well-prepared for the future.

Devon’s valuation also stands out. Its forward price-earnings ratio of 7.55x is much lower than the sector average of 11.62x, suggesting it might be undervalued compared to peers. With a beta of 1.91x, the stock is more volatile, but fits well within its growth-focused profile in the energy industry.

The Fundamentals Behind DVN’s Success

Devon Energy’s fundamentals tell a clear story of a company focused on growth and rewarding its shareholders. 

One big move was its decision to end its 15-year partnership with BPX in the Eagle Ford Shale. By taking full control of operations there, Devon expects to save over $2 million per well, giving it more flexibility to allocate capital and improve returns. 

At the same time, the company is strengthening its partnership with Dow in the Anadarko Basin, planning 49 new wells, a sign that Devon is still committed to smart collaborations that drive growth.

In 2024, Devon achieved a 154% reserve replacement ratio, showing it can sustain production for the long term. The company also repurchased $1.1 billion worth of shares and increased its fixed dividend by 9% for 2025, signaling confidence in its future cash flow. 

For income-focused investors, this is significant. Devon’s forward dividend yield is now 2.57%, with a low payout ratio of just 18.48%, leaving plenty of room for future increases. Over the past year, it returned $2 billion to shareholders through dividends and buybacks, even though its yield is below the energy sector average of 4.24%.

These moves show why investors like Marjorie Taylor Greene are drawn to Devon Energy. It’s a company thriving in a tough industry while delivering value to shareholders.

Analyst Ratings and Future Projections for DVN

Looking ahead to 2025, Devon Energy is setting itself up for continued growth and strategic focus. The company plans to spend between $3.8 and $4 billion on its capital program, with more than half going to the Delaware Basin, a clear sign of confidence in this promising area.

Production is expected to increase, with targets of 805,000 to 825,000 barrels of oil equivalent per day, including 380,000 to 386,000 barrels of oil daily. These numbers suggest Devon is ready for another strong year of output.

Wall Street seems to agree with Devon’s strategy. Analysts are giving the company a thumbs up, with a consensus “Moderate Buy” rating. Their average price target of $48.77 suggests a potential gain of about 29% from its current price.

Conclusion

With strong fundamentals, a growing dividend, and optimistic analyst projections, it’s clear why Marjorie Taylor Greene sees potential in this stock. However, while DVN offers compelling growth and income opportunities, its future remains tied to oil market dynamics and execution on strategic goals. For investors, the question isn’t just whether to follow Greene’s lead, but whether Devon aligns with their own investment priorities.