Aureus
AExcellent

Devon Energy Corporation(DVN)

A

Financial data as of Dec 31, 2025Stable · Energy

FCF Margin16.3%Free Cash Flow / Revenue
Cash Conversion254.0%Operating CF / Net Income
Free Cash Flow$2.8B
Revenue$17.2B
Net Cash-$7.2BNet debt position
Debt / FCF3.1xElevated debt burden
Current Ratio0.98Tight short-term liquidity
YoY FCF Growth-3.4%5 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseA
→
+0.5Healthy FCF margin with manageable debt (16.3%, 3.1x)
→
-1Current ratio below 1.0 (0.98)
→
+0.5Highly consistent quarterly FCF
→
FinalA

Analysis Summary

Strengths

  • Strong FCF margin (16.3%)
  • Excellent cash conversion (254%)
  • Highly consistent quarterly FCF

Concerns

  • Net debt position ($7.2B) — 3.1x FCF, manageable
  • Current ratio below 1.0 — tight short-term liquidity

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin16.3%
Net Margin15.4%
Operating CF Margin39.0%
CapEx Ratio22.8%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash-$7.2BNet debt position
Debt / FCF3.1xElevated debt burden
Current Ratio0.98Tight liquidity
Debt / Equity0.55Low leverage

Quarterly FCF Trend

-3.4% YoYStable (-3.4%)

Free cash flow per quarter

Sector Comparison — Energy

FCF Margin ranked against sector peers

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Detailed Metrics

Company NameDevon Energy Corporation
SectorEnergy
Free Cash Flow$2.8B
Revenue$17.2B
Net Income$2.6B
Operating Cash Flow$6.7B
Capital Expenditure$3.9B
FCF Margin16.3%
Cash Conversion Rate254.0%
Net Margin15.4%
Total Debt$8.6B
Total Cash$1.4B
Net Cash-$7.2B
Current Ratio0.98
Debt / Equity0.55
Debt / FCF3.1x
YoY FCF Growth-3.4%
Positive Quarters5 of 5
Trend DirectionStable
Report DateDec 31, 2025
GradeA
Data SourceYahoo Finance

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