Inside Devon Energy’s Upcoming Third Quarter Earnings Release

S&P 500 (NYSE:SPY) component Devon Energy Corp (NYSE:DVN) will unveil its latest earnings on Wednesday, November 2, 2011. Devon Energy explores, develops and transports oil, gas, and NGLs.

Devon Energy Corp Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of $1.48 per share, a rise of 2.8% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from $1.65. Between one and three months ago, the average estimate moved down. It also has dropped from $1.49 during the last month. Analysts are projecting profit to rise by 7.5% versus last year to $5.94.

Past Earnings Performance: Last quarter, the company beat estimates by 15 cents, coming in at net income of $1.71 a share versus the estimate of profit of $1.56 a share. It marked the fourth straight quarter of beating estimates.

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

Wall St. Revenue Expectations: Analysts are projecting a rise of 11.9% in revenue from the year-earlier quarter to $2.63 billion.

Analyst Ratings: 14 out of 21 analysts surveyed (66.7%) have a buy rating on Devon Energy.. This is below the mean analyst rating of 10 competitors, which average 67.2% buy ratings.

A Look Back: In the second quarter, profit rose more than threefold to $2.74 billion ($6.48 a share) from $706 million ($1.58 a share) the year earlier, exceeding analyst expectations. Revenue rose 44.3% to $3.22 billion from $2.23 billion.

Key Stats:

A year-over-year revenue increase in the second quarter snapped a streak of two consecutive quarters of revenue declines. Revenue fell 17.4% in the first quarter and 6.4% in the fourth quarter of the last fiscal year.

The increase in profit in the second quarter broke a streak of two consecutive quarters of year-over-year profit decreases. The figure dropped 65.1% in the first quarter and 15.7% in the fourth quarter of the last fiscal year.

Competitors to Watch: Chesapeake Energy Corp. (NYSE:CHK), Anadarko Petroleum Corp. (NYSE:APC), Targa Resources Partners LP (NYSE:NGLS), GeoResources, Inc. (NASDAQ:GEOI), QEP Resources, Inc. (NYSE:QEP), Newfield Exploration Co. (NYSE:NFX), SandRidge Energy Inc. (NYSE:SD), Swift Energy Company (NYSE:SFY), EOG Resources, Inc. (NYSE:EOG), and Gulfport Energy Corp. (NASDAQ:GPOR).

Stock Price Performance: During September 29, 2011 to October 27, 2011, the stock price had risen $8.70 (15.1%) from $57.67 to $66.37. The stock price saw one of its best stretches over the last year between October 28, 2010 and November 8, 2010 when shares rose for eight-straight days, rising 10.6% (+$6.77) over that span. It saw one of its worst periods between July 22, 2011 and August 2, 2011 when shares fell for eight-straight days, falling 10.7% (-$8.98) over that span. Shares are down $11.62 (-14.9%) year to date.

(Source: Xignite Financials)

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.