Devon Energy Corporation (DVN) vs Permian Resources Corporation (PR)

Devon Energy Corporation and Permian Resources Corporation are both Oil & Gas E&P companies. Devon Energy Corporation is the larger, with a market value of $54.2B against $19.8B — 2.7× the size. Devon Energy Corporation trades at the lower P/E: 12.0× against 15.9×. Devon Energy Corporation grew revenue faster over the last twelve months: 14.6% against 12.8%. Permian Resources Corporation has the higher net margin (21.5% vs 16.7%) and the higher return on invested capital (8.64% vs 5.05%). Both pay a dividend; Permian Resources Corporation yields more (2.57% vs 2.21%). Across the 22 metrics below, Permian Resources Corporation leads on 12 and Devon Energy Corporation on 10.

Valuation

Metric DVN PR Oil & Gas E&P median
P/E 11.98 15.95 11.01
P/S 2.41 3.58 1.98
P/B 1.14 1.71 1.30
Price to free cash flow 29.55 18.92 10.68
EV/EBITDA 6.97 5.72 5.09
EV/Sales 2.94 4.13 2.63
Earnings yield 8.35% 6.27% 5.78%
Free cash flow yield 3.38% 5.29% 4.91%

Profitability

Metric DVN PR Oil & Gas E&P median
Gross margin 79.45% 75.85% 80.41%
Operating margin 21.39% 35.84% 21.39%
Net margin 16.67% 21.52% 14.17%
Free cash flow margin 8.17% 18.95% 8.18%
Return on equity 11.50% 10.78% 10.05%
Return on assets 6.41% 6.86% 5.81%
Return on invested capital 5.05% 8.64% 6.32%

Growth

Metric DVN PR Oil & Gas E&P median
Revenue growth (TTM) 14.64% 12.81% 9.94%
EPS growth (last fiscal year) (8.55%) (11.72%) (10.50%)
Revenue growth, 5-year CAGR 28.91% 54.23% 18.67%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric DVN PR Oil & Gas E&P median
Debt to equity 0.27 0.25 0.28
Current ratio 0.72 0.62 0.96
Net debt to EBITDA 0.99 0.97 0.89

Dividend

Metric DVN PR Oil & Gas E&P median
Dividend yield 2.21% 2.57% 3.29%
Payout ratio 0.27 0.42 0.35

Size

Metric DVN PR Oil & Gas E&P median
Market cap 54.16b 19.77b 1.04b

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