Devon Energy's Eagle Ford Sale to Boost Buyback Capacity, UBS Says
MT Newswires Live
3 hours ago
Devon Energy's (DVN) Eagle Ford sale is expected to streamline capital allocation and boost share repurchase capacity, UBS said in a note Thursday.
UBS said it models $3.6 billion in net sale proceeds going to share repurchases and debt reduction. The brokerage expects $7 billion in share buybacks in 2027, equivalent to about 13% of Devon's current market capitalization.
UBS expects Devon's ongoing portfolio review to lead to further divestitures, with its Anadarko Basin assets the most likely next candidate.
UBS maintained the company's buy rating and $65 price target.
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