ConocoPhillips (COP) vs Devon Energy Corporation (DVN)

ConocoPhillips and Devon Energy Corporation are both Oil & Gas E&P companies. ConocoPhillips is the larger, with a market value of $170.3B against $54.2B — 3.1× the size. Devon Energy Corporation trades at the lower P/E: 12.0× against 19.4×. Devon Energy Corporation grew revenue faster over the last twelve months: 14.6% against 8.48%. Devon Energy Corporation has the higher net margin (16.7% vs 14.2%) and the lower return on invested capital (5.05% vs 12.2%). Both pay a dividend; ConocoPhillips yields more (2.29% vs 2.21%). Across the 22 metrics below, ConocoPhillips leads on 11 and Devon Energy Corporation on 11.

Valuation

Metric COP DVN Oil & Gas E&P median
P/E 19.38 11.98 11.01
P/S 2.72 2.41 1.98
P/B 2.72 1.14 1.30
Price to free cash flow 14.62 29.55 10.68
EV/EBITDA 6.92 6.97 5.09
EV/Sales 2.96 2.94 2.63
Earnings yield 5.16% 8.35% 5.78%
Free cash flow yield 6.84% 3.38% 4.91%

Profitability

Metric COP DVN Oil & Gas E&P median
Gross margin 62.56% 79.45% 80.41%
Operating margin 24.14% 21.39% 21.39%
Net margin 14.17% 16.67% 14.17%
Free cash flow margin 18.63% 8.17% 8.18%
Return on equity 14.13% 11.50% 10.05%
Return on assets 7.50% 6.41% 5.81%
Return on invested capital 12.17% 5.05% 6.32%

Growth

Metric COP DVN Oil & Gas E&P median
Revenue growth (TTM) 8.48% 14.64% 9.94%
EPS growth (last fiscal year) (18.69%) (8.55%) (10.50%)
Revenue growth, 5-year CAGR 26.16% 28.91% 18.67%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric COP DVN Oil & Gas E&P median
Debt to equity 0.36 0.27 0.28
Current ratio 1.54 0.72 0.96
Net debt to EBITDA 0.64 0.99 0.89

Dividend

Metric COP DVN Oil & Gas E&P median
Dividend yield 2.29% 2.21% 3.29%
Payout ratio 0.44 0.27 0.35

Size

Metric COP DVN Oil & Gas E&P median
Market cap 170.27b 54.16b 1.04b

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