Latest news with #DevonEnergy
Yahoo
13-06-2025
- Business
- Yahoo
3 Ultra-Reliable Dividend Stocks Yielding Over 3% to Double Up on in June for Passive Income
It will take a significant decline in the price of oil before Devon Energy will be unable to pay its fixed dividend. Brookfield Infrastructure generates strong funds from operations, suggesting its dividend isn't in danger of seeing a reduction anytime soon. Clorox's falling stock price fails to reflect progress in the underlying business. 10 stocks we like better than Devon Energy › We aren't even halfway through 2025, and already, it has been a roller-coaster year in the stock market. The major indexes incurred steep sell-offs, only to snap back like nothing happened. Some investors may be looking for ways to take their feet off the gas by investing in stocks that distribute a portion of their profits to shareholders through dividends. Dividends are a great way to generate passive income, no matter what the stock market is doing. This can be a good approach for risk-averse investors, folks looking to preserve capital, or even investors who feel they have plenty of exposure to growth stocks and are looking to balance their portfolios. Here's why Devon Energy (NYSE: DVN), Brookfield Infrastructure (NYSE: BIP) (NYSE: BIPC), and Clorox (NYSE: CLX) stand out as three dividend stocks to buy in June. Lee Samaha (Devon Energy): Now, I know what you are thinking, and you have a point. How can an oil and gas exploration and production company be an ultra-reliable dividend stock? The answer lies in your degree of comfort with the price of oil. To put matters into context, Devon Energy's management calculates that its "breakeven funding level" is $45 per barrel. In other words, that's the minimum price of oil the company needs to fund all its costs, operations, debt, and its fixed dividend. Suppose you are comfortable with the implied assumption regarding the price of oil. In that case, you will be comfortable with the notion that Devon can sustain its current $0.96-per-share dividend, which translates to a dividend yield of more than 3%. Moreover, based on the current price of oil of $63 per barrel, Devon could pay even more in dividends and/or continue buying back shares. Assuming a price of oil of $60 per barrel, management believes it will generate $2.6 billion in free cash flow (FCF) in 2025, a figure equivalent to 12.9% of its current market capitalization. In theory, that's what Devon's dividend yield could be if it used all its FCF to pay the dividend. All in all, Devon's dividend appears sustainable, barring a significant decline in oil prices. Scott Levine (Brookfield Infrastructure): Building positions in trustworthy dividend stocks is a tried-and-true way for investors to fortify their portfolios. When reliable stocks like Brookfield Infrastructure -- along with its 5.2% forward-yielding dividend -- are available at a discount, therefore, investors would be wise to sit up and take notice. And that's exactly the opportunity that's now presented with shares of Brookfield Infrastructure trading at a discount to their historical valuation. While investing in Brookfield Infrastructure doesn't offer a sizable growth opportunity like those artificial intelligence stocks or space stocks may offer, it does provide a conservative approach to procuring plentiful passive income. The company operates a massive portfolio of global infrastructure assets including (but not limited to) rail, data centers, and oil pipelines. The allure of Brookfield Infrastructure for income investors is that the company generates ample funds from operations to cover its dividend payments. Over the past 15 years, the company has excelled at growing its funds from operations. From 2009 to 2024, Brookfield Infrastructure has increased its funds from operations at a 14% compound annual growth rate. While this doesn't guarantee the same results for the next 15 years, it's certainly an auspicious sign that should inspire confidence in management's ability to grow the business -- which is encouraging for those looking for passive income. Currently, Brookfield Infrastructure stock is changing hands at 3.1 times operating cash flow, a discount to its five-year average cash-flow multiple of 4. Today's clearly a great time to load up on the stock while it's sitting in the bargain bin. Daniel Foelber (Clorox): Clorox stock has been hit hard by a slower-than-expected turnaround, tariff risks, and cost pressures. But the maker of Clorox cleaning products, Kingsford charcoal, Burt's Bees, Hidden Valley Ranch dressing, Glad trash bags, and more could be a great high-yield dividend stock to buy for patient investors. The great news for investors considering Clorox now is that the bulk of challenges related to its turnaround are likely over. The company's multiyear efforts to improve its internal operations -- known as its enterprise resource planning (ERP) system -- is set to begin adding cost benefits to Clorox in calendar year 2026. Clorox's results have been improving. The company has achieved 10 consecutive quarters of gross margin expansion, showcasing better cost management even amid slower sales. Clorox expects to finish the fiscal year (ending June 30) with a 150-basis-point improvement in gross margin compared to fiscal 2024 -- even when factoring in tariff and cost pressures. Clorox is heading in the right direction, but the stock may be selling off simply because investors have grown impatient with the company's multiyear turnaround. Another factor could be opportunity cost. Clorox yields a hefty 3.8% and has 48 consecutive years of dividend increases -- but with three-month Treasury bills at 4.4%, some investors may prefer to go with the risk-free option. Clorox is far from the only struggling high-yield consumer-focused brand to see its stock price around multiyear lows. Another example is Target, which has an even higher dividend yield than Clorox and has over 50 consecutive years of increasing its payout. Yet investors have grown impatient due to sluggish sales growth and weakening margins. All told, Clorox is an excellent high-yield dividend stock for folks who want to participate in the stock market to collect passive income rather than go with non-equity products like T-bills. Before you buy stock in Devon Energy, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Devon Energy wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $657,871!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $875,479!* Now, it's worth noting Stock Advisor's total average return is 998% — a market-crushing outperformance compared to 174% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Daniel Foelber has no position in any of the stocks mentioned. Lee Samaha has no position in any of the stocks mentioned. Scott Levine has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Target. The Motley Fool recommends Brookfield Infrastructure Partners. The Motley Fool has a disclosure policy. 3 Ultra-Reliable Dividend Stocks Yielding Over 3% to Double Up on in June for Passive Income was originally published by The Motley Fool Sign in to access your portfolio
Yahoo
12-06-2025
- Business
- Yahoo
Why the Market Dipped But Devon Energy (DVN) Gained Today
Devon Energy (DVN) closed the most recent trading day at $34.47, moving +2.99% from the previous trading session. This change outpaced the S&P 500's 0.27% loss on the day. The oil and gas exploration company's stock has dropped by 2.39% in the past month, falling short of the Oils-Energy sector's gain of 4.61% and the S&P 500's gain of 6.9%. The investment community will be paying close attention to the earnings performance of Devon Energy in its upcoming release. It is anticipated that the company will report an EPS of $0.84, marking a 40.43% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $4.02 billion, reflecting a 2.66% rise from the equivalent quarter last year. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.94 per share and revenue of $16.68 billion. These totals would mark changes of -18.26% and +4.67%, respectively, from last year. Investors should also note any recent changes to analyst estimates for Devon Energy. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential. Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system. The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 8.09% decrease. As of now, Devon Energy holds a Zacks Rank of #3 (Hold). Looking at its valuation, Devon Energy is holding a Forward P/E ratio of 8.5. This represents a discount compared to its industry average Forward P/E of 10.86. We can also see that DVN currently has a PEG ratio of 2.48. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Oil and Gas - Exploration and Production - United States industry held an average PEG ratio of 2.48. The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This industry, currently bearing a Zacks Industry Rank of 171, finds itself in the bottom 31% echelons of all 250+ industries. The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Remember to apply to follow these and more stock-moving metrics during the upcoming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Devon Energy Corporation (DVN) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
12-06-2025
- Business
- Yahoo
4 international stocks that Fools have been buying!
As of the most recent estimates, there are approximately 41,000 to 45,000 publicly listed companies globally. It stands to reason that some of our free-site writers have been buying shares outside of the UK for their portfolios, too… What it does: Cellebrite is a software-as-a-service enterprise specialising in digital forensics and encrypted data extraction. By Zaven Boyrazian. In the world of law enforcement and cybersecurity, digital evidence has become a critical. In fact, an estimated 90% of reported crime today has some form of digital element. And with most criminal devices being locked or encrypted, demand for Cellebrite's (NASDAQ:CLBT) C2C platform has surged. The platform offers solutions for digital forensics, case & evidence management, and AI-powered analytics. And it is the global standard for extracting evidence from encrypted mobile phones, combating terrorism, fraud, human trafficking, and organised crime. Revenue has been expanding at a 20% annualised rate over the last five years, with operating profits surging by an average of 44% annually on the back of rapidly expanding margins thanks to the increasingly lucrative opportunities within the digital forensics market. Of course, such explosive returns invite challenge. And fierce competition is forcing Cellebrite to allocate considerable funds to research & development. If it can't out-innovate its rivals, the group's leading position could become compromised. Nevertheless, given the explosive opportunity and long track record of defying expectations, this is a risk I'm willing to take. Zaven Boyrazian owns shares in Cellebrite. What it does: Devon Energy is an oil and gas producer in the U.S. with a diversified multi-basin portfolio, including in the Delaware Basin. By Andrew Mackie. I have been looking for an opportunity to enter the pure-play exploration space for some time. With the recent tariff-induced sell-off I took the opportunity to buy my favoured pick Devon Energy (NYSE: DVN). Unlike oil majors such as BP and Shell, earnings come purely from oil and gas production. The company is effectively a leveraged play on such prices. Unsurprisingly, as prices have fallen for some time, so too as the share price. However, I remain extremely bullish on prices over the next decade plus. In the short to medium term, I expect natural gas demand to rise significantly off the back of data centre growth. The recent conversion of a decommissioned coal-fired to natural gas power plant in Homer, Pennsylvania, provides a good illustration of demand growth. Unlike nuclear, gas fired power stations can come online very quickly. Should the US enter a recession in 2025, then oil prices will undoubtedly fall even more, impacting Devon's profitability. However, with globalisation unwinding, defence spending increasing and the US boosting domestic manufacturing, I expect hydrocarbon demand to remain buoyant well into the future. Andrew Mackie owns shares in Devon Energy, BP and Shell. What it does: Nu Holdings owns Nubank, which is Latin America's largest digital bank. By Ben McPoland. I recently added to my position in Nu Holdings (NYSE: NU). The Brazil-based digital bank ended the first quarter with nearly 119m customers, 19% more than the year before. Incredibly, 59% of Brazil's adult population are now customers, while strong growth continued in Mexico (12% of the adult population) and Colombia (8%). Quarterly revenue jumped 40% to $3.2bn on a currency-neutral basis, while adjusted net income rose 37% to $606.5m. There were some negative currency swings in the quarter, which could continue. Also, the bank's risk-adjusted net interest margin fell to 8.2%, down from 9.5%. This was largely due to aggressive expansion in Mexico and Colombia, which involves offering higher deposit rates to attract users. So the quarter wasn't totally flawless. Nevertheless, I'm very impressed with the way Nu continues to grow at scale. The neobank is barely scratching the surface when it comes to monetising its vast – and growing – base of customers. The stock isn't cheap, but the company appears to have a long runway of growth ahead of it, with large swathes of Latin America still either unbanked or underbanked. Ben McPoland owns shares of Nu Holdings. What it does: RWE AG is a leading German energy company focused on renewables, power generation, and trading. By Mark Hartley. I recently invested in RWE (FRA: RWE) due to its strong financial performance and strategic plans for 2025. Last year, it reported an adjusted EBITDA of €5.7bn and adjusted net income of €2.3bn, surpassing expectations. The energy supplier also announced a €1.5bn share buyback program, reflecting a commitment to shareholder returns. However, it faces some uncertainties in the US offshore wind market following revised policies that could affect renewable energy. As a result, it recently reduced its five-year investment outlook by €10bn, indicating caution amid these market challenges. This could impact future growth and returns, so I hope the US sees the advantages in renewables and reconsiders its policies. Despite these risks, I remain optimistic about RWE's focus on renewables and look forward to seeing it drive innovation in the sector. It also has a decent 3.42% yield and a P/E ratio of 4.65. Mark Hartley owns shares in RWE. The post 4 international stocks that Fools have been buying! appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool The Motley Fool UK has recommended Cellebrite. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Hindustan Times
02-06-2025
- Business
- Hindustan Times
Wall Street: US stocks head low, crude oil rises after OPEC's production hike
U.S. stocks are drifting lower and giving back a small bit of their sprint through May, which was their best month since 2023. The S&P 500 was 0.3% lower in early trading Monday. The Dow Jones Industrial Average was down 174 points, or 0.4%, and the Nasdaq composite was down 0.2%. The price of crude oil jumped more than 4%. The countries in the OPEC alliance decided to increase their production again, but analysts said investors were widely expecting it. Attacks by Ukraine in Russia over the weekend also helped raise uncertainty about the flow of oil and gas around the world. After closing out its best month since 2023, Wall Street was poised to open with losses on Monday as the Russia-Ukraine conflict escalated over the weekend, contributing to broader market anxiety and a jump in oil prices. Futures for the S&P 500 lost 0.4% before the opening bell Monday, while futures for the Dow Jones Industrial Average gave up 0.3%. Nasdaq futures retreated 0.6%. In addition to rising tensions in Russia-Ukraine war, oil prices and oil company stocks climbed after OPEC decided on a more modest increase in output than was expected. Devon Energy rose 2.5%, while Chevron, Exxon and ConocoPhillips all rose between 1% and 1.5%. U.S. benchmark crude oil gained $2.54, more than 4%, to $63.33 per barrel, while Brent crude, the international standard, was up $2.34 at $65.12 per barrel. Steel companies were on an even bigger ride after President Donald Trump on Friday told Pennsylvania steelworkers he's doubling the tariff on steel imports to 50% to protect their industry, a dramatic increase that could further push up prices for a metal used to make housing, autos and other goods. Later in a post on his Truth Social platform, Trump confirmed the steel tariff and said that aluminum tariffs would also be doubled to 50%. Both tariff hikes would go into effect Wednesday, Trump said. Nucor and Steel Dynamics both rose around 10%, while Cleveland-Cliffs soared a whopping 25%. Shares of U.S. Steel have already taken off this year as it has become increasingly clear that Trump was going to allow some kind of major deal between U.S. Steel and Japan's Nippon Steel. Speaking Friday at U.S. Steel's Mon Valley Works–Irvin Plant in suburban Pittsburgh, Trump talked about the likely partnership in which Nippon will invest in the iconic American steelmaker. In a light week for corporate earnings reports, both Dollar Tree and Dollar General report in the coming days. Also Monday, UnitedHealth Group opens its annual meeting, just weeks after its CEO stepped down citing personal reasons. The nation's largest health insurer, whose shares are down 40% this year, also suspended its full-year financial outlook due to higher-than-expected medical costs. In Asia, Hong Kong's Hang Seng initially plunged more than 2% as Beijing and Washington traded harsh words over trade. China blasted the U.S. for issuing AI chip export control guidelines, stopping the sale of chip design software to China, and planning to revoke Chinese student visas. U.S. chipmakers were broadly lower early Monday. A report over the weekend that China's factory activity contracted in May, although the decline slowed from April as the country reached a deal with the U.S. to slash President Donald Trump's sky-high tariffs, further undermined market sentiment. But the Hang Seng closed just 0.6% lower, at 23,157.97. Markets in mainland China were closed for a holiday. Hong Kong's Hang Seng dropped 0.6% to 23,157.97 as China and the U.S. accused each other of breaching their tariff agreement reached in Geneva last month. Tokyo's Nikkei 225 lost 1.3% to 37,470.67, while the Kospi in Seoul added 0.1% to 2,698.97. Australia's S&P/ASX 200 retreated 0.2% to 8,414.10. India's Sensex lost 0.4% while the Taiex in Taiwan fell 1.6%. Elsewhere, in Europe at midday, Germany's DAX retreated 0.3% and the CAC 40 in Paris declined 0.5% British FTSE 100 gained 0.1%. In currency trading early Monday, the U.S. dollar fell to 142.72 Japanese yen from 143.87 yen. The euro inched up to $1.1418 from $1.1351.
Globe and Mail
02-06-2025
- Business
- Globe and Mail
Wall Street slides as Russia-Ukraine conflict, OPEC+ production, push oil prices higher
After closing out its best month since 2023, Wall Street was poised to open with losses on Monday as the Russia-Ukraine conflict escalated over the weekend, contributing to broader market anxiety and a jump in oil prices. Futures for the S&P 500 lost 0.4% before the opening bell Monday, while futures for the Dow Jones Industrial Average gave up 0.3%. Nasdaq futures retreated 0.6%. In addition to rising tensions in Russia-Ukraine war, oil prices and oil company stocks climbed after OPEC+ decided on a more modest increase in output than was expected. Devon Energy rose 2.5%, while Chevron, Exxon and ConocoPhillips all rose between 1% and 1.5%. U.S. benchmark crude oil gained $2.54, more than 4%, to $63.33 per barrel, while Brent crude, the international standard, was up $2.34 at $65.12 per barrel. Steel companies were on an even bigger ride after President Donald Trump on Friday told Pennsylvania steelworkers he's doubling the tariff on steel imports to 50% to protect their industry, a dramatic increase that could further push up prices for a metal used to make housing, autos and other goods. Later in a post on his Truth Social platform, Trump confirmed the steel tariff and said that aluminum tariffs would also be doubled to 50%. Both tariff hikes would go into effect Wednesday, Trump said. Nucor and Steel Dynamics both rose around 10%, while Cleveland-Cliffs soared a whopping 25%. Shares of U.S. Steel have already taken off this year as it has become increasingly clear that Trump was going to allow some kind of major deal between U.S. Steel and Japan's Nippon Steel. Speaking Friday at U.S. Steel's Mon Valley Works–Irvin Plant in suburban Pittsburgh, Trump talked about the likely partnership in which Nippon will invest in the iconic American steelmaker. In a light week for corporate earnings reports, both Dollar Tree and Dollar General report in the coming days. Also Monday, UnitedHealth Group opens its annual meeting, just weeks after its CEO stepped down citing personal reasons. The nation's largest health insurer, whose shares are down 40% this year, also suspended its full-year financial outlook due to higher-than-expected medical costs. In Asia, Hong Kong's Hang Seng initially plunged more than 2% as Beijing and Washington traded harsh words over trade. China blasted the U.S. for issuing AI chip export control guidelines, stopping the sale of chip design software to China, and planning to revoke Chinese student visas. U.S. chipmakers were broadly lower early Monday. A report over the weekend that China's factory activity contracted in May, although the decline slowed from April as the country reached a deal with the U.S. to slash President Donald Trump's sky-high tariffs, further undermined market sentiment. But the Hang Seng closed just 0.6% lower, at 23,157.97. Markets in mainland China were closed for a holiday. Hong Kong's Hang Seng dropped 0.6% to 23,157.97 as China and the U.S. accused each other of breaching their tariff agreement reached in Geneva last month. Tokyo's Nikkei 225 lost 1.3% to 37,470.67, while the Kospi in Seoul added 0.1% to 2,698.97. Australia's S&P/ASX 200 retreated 0.2% to 8,414.10. India's Sensex lost 0.4% while the Taiex in Taiwan fell 1.6%. Elsewhere, in Europe at midday, Germany's DAX retreated 0.3% and the CAC 40 in Paris declined 0.5% British FTSE 100 gained 0.1%. In currency trading early Monday, the U.S. dollar fell to 142.72 Japanese yen from 143.87 yen. The euro inched up to $1.1418 from $1.1351.
