- Here's Everything Investors Need to Know About the Fervo Energy IPO
May 13, 2026 · fool.com
A closer look at this hot energy IPO.
- Devon Coterra Merger Reshapes Shale Scale And Capital Returns
May 12, 2026
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Devon Energy (NYSE:DVN) has closed its all stock merger with Coterra Energy, creating a large cap shale operator with expanded scale. The combined company announced an $8b share repurchase program alongside a 33% increase in its fixed dividend. Management outlined targeted synergies and capital return priorities that reshape the company’s operating and financial profile.
For shareholders, the timing of this deal comes after a strong period for NYSE:DVN, with the stock up 23.4% year to date, 42.9% over the past year, and 121.1% over five years from a last close of $46.73. Those gains frame the Coterra merger as a meaningful new chapter, with a larger shale footprint and a capital return plan that now includes a sizeable buyback alongside a higher fixed dividend.
The enlarged business will run with a different operating structure, asset mix, and capital allocation approach. This could shift how investors think about risk, income, and total return potential from the stock. The blend of scale, synergy targets, and explicit capital return commitments gives investors new data points to watch as the combined company begins to report results and refine its payout and reinvestment balance.
Stay updated on the most important news stories for Devon Energy by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Devon Energy.NYSE:DVN Earnings & Revenue Growth as at May 2026
Is Devon Energy's dividend sustainable? Check out what every dividend investor needs to know in our dividend analysis.
Quick Assessment
✅ Price vs Analyst Target: At US$46.73 vs an analyst target of US$59.42, the stock trades about 21% below consensus. ✅ Simply Wall St Valuation: The shares are flagged as trading about 69.1% below an estimated fair value. ❌ Recent Momentum: The stock is down 2.2% over the past 30 days.
To better assess whether it may be the right time to buy, sell or hold Devon Energy, head to Simply Wall St's company report for the latest analysis of Devon Energy's Fair Value.
Key Considerations
📊 The all stock Coterra merger, larger shale footprint, and US$8b buyback together reshape how you might think about Devon Energy’s scale and capital returns. 📊 Keep an eye on synergy delivery, execution on the repurchase program, and how the 33% higher fixed dividend fits with cash flows and reinvestment needs. ⚠️ The company still carries flagged risks, including an unstable dividend track record, a high level of debt, and past shareholder dilution.
Story Continues
Dig Deeper
For the full picture including more risks and rewards, check out the complete Devon Energy analysis. Alternatively, you can check out the community page for Devon Energy to see how other investors believe this latest news will impact the company's narrative.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include DVN.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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- Fervo Targets $1.82 Billion IPO With Bill Gates-Backed Energy Push
May 12, 2026
This article first appeared on GuruFocus.
Fervo Energy is preparing for a bigger Nasdaq debut as investor appetite for power infrastructure continues to build around data center demand. The Houston-based geothermal energy developer is now seeking to raise as much as $1.82 billion in a US initial public offering, up from its earlier target of $1.33 billion. Fervo plans to market 70 million shares at $25 to $26 each, compared with its prior plan to sell 55.56 million shares at $21 to $24 each, according to its SEC filing. At the high end of the range, the company would be valued at $7.4 billion based on the outstanding shares listed in the filing. For investors, the larger target could make Fervo one of the more closely watched energy listings tied to the broader buildout in electricity demand.
Warning! GuruFocus has detected 4 Warning Sign with SHEL. Is SHEL fairly valued? Test your thesis with our free DCF calculator.
The company is backed by Bill Gates (Trades, Portfolio)' Breakthrough Energy Ventures and shale oil producer Devon Energy (DVN), giving the IPO a strategic angle as capital continues to move toward energy sources that could support long-term power needs. Fervo has about a $7.2 billion potential backlog of contracted revenue from power purchase agreements across its full portfolio, according to the filing. The company also has power agreements with Southern California Edison, Alphabet's Google and Shell (NYSE:SHEL), while Alphabet (NASDAQ:GOOG) was part of a $462 million investment round in December. Its Cape Station project in Beaver County, Utah, would be one of the world's largest geothermal projects with 500 megawatts of power. Across its portfolio, Fervo disclosed 595,900 total leased acres, 2.6 gigawatts in advanced development and more than 38 gigawatts in early-stage development.
Still, the offering comes with a mix of growth potential and execution risk that investors may need to weigh carefully. Fervo uses horizontal drilling and multi-stage hydraulic fracturing to produce geothermal energy at its pilot project and expects to deliver power at its first commercial station by the end of 2026. The company said it reduced drilling times by approximately 75% from 2022 to 2025, helping lower drilling costs by about 70%. Current project costs are about $7,000 per kilowatt, while Fervo's long-term target is $3,000 per kilowatt. Financially, the company reported a net loss of $70.5 million on revenue of $138 million for the year ended Dec. 31, 2025, compared with a net loss of $41.1 million on revenue of $199 million a year earlier. Founders Chief Executive Officer Tim Latimer and Chief Technology Officer Jack Norbeck are expected to control the company through supervoting Class B shares after the offering.
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- Fervo Targets $1.82 Billion IPO With Bill Gates-Backed Energy Push
May 12, 2026 · gurufocus.com
Fervo Energy is preparing for a bigger Nasdaq debut as investor appetite for power infrastructure continues to build around data center demand. The Houston-base
- Fuel Shortages Could Hit This Summer and Oil Execs Say Recovery Is Months Away. 3 Stocks to Own While It Lasts.
May 12, 2026
Key Points
Shell and other energy companies are warning about the impact of the Middle East conflict. High oil prices and fuel shortages are good news for these three companies.10 stocks we like better than Diamondback Energy ›
The world is still highly reliant on oil and natural gas despite the global effort to go green. The geopolitical conflict in the Middle East has left the world short 1 billion barrels of oil, according to Shell(NYSE: SHEL) CEO Wael Sawan. And the CEO believes a recovery will take months. Both estimates are backed by other industry executives.
High energy prices look set to stay for a while. And, if the conflict drags on, it could get worse. This trio of energy stocks could benefit from the global fuel shortages.
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Image source: Getty Images.
Play the long game with Shell or its peers
Elevated energy prices will help all companies that produce oil and natural gas. Shell is an integrated energy giant, like ExxonMobil(NYSE: XOM) and Chevron(NYSE: CVX). So they all produce oil, transport it, and refine it. They will all benefit from high oil prices. Chevron, however, is probably the best option, as its 3.9% yield tops those of both Shell and Exxon. Plus, Chevron has increased its dividend annually for decades, showing it can navigate the entire energy cycle while continuing to reward investors. It is a relatively conservative way to play high oil prices, since long-term investors have to accept that energy prices will eventually fall.
Go direct, but out of the conflict region
A more direct beneficiary of high oil prices will be companies that only produce oil and natural gas, such as Diamondback Energy(NASDAQ: FANG) and Devon Energy(NYSE: DVN). As an added bonus, both of these upstream energy companies are U.S.-focused, so the conflict in the Middle East won't affect their production. Both companies estimate that $90 per barrel oil will support free cash flow yields of 15%, with Devon estimating that $110 oil will increase its yield to 21%.
The opportunity and risk with companies like Diamondback and Devon is that they tend to move more dramatically in response to energy prices than integrated energy giants do. They are both well-run upstream businesses that have proven that they can survive the industry's inherent swings. However, their stocks have already risen materially, each up about 25% so far in 2026 as of this writing, so there is material downside risk if energy prices decline. When the conflict in the Middle East ends, you'll want to be ready to act if you are simply looking for a short-term trade.
Energy markets are volatile by nature
The big takeaway is that the conflict in the Middle East is worrying, but it hasn't changed the basic nature of the energy sector. Volatility is the norm. If you want to lean into that volatility, U.S. producers like Diamondback and Devon are probably good choices. If you have a long-term approach, a more diversified industry giant like Chevron will likely be a better option.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
- Fuel Shortages Could Hit This Summer and Oil Execs Say Recovery Is Months Away. 3 Stocks to Own While It Lasts.
May 11, 2026 · fool.com
Shell and other energy companies are warning about the impact of the Middle East conflict. High oil prices and fuel shortages are good news for these three companies.
- Constellation Energy's Q1 Earnings and Revenues Beat Estimates
May 11, 2026
Constellation Energy Corporation CEG reported first-quarter 2026 earnings of $2.74 per share, which surpassed the Zacks Consensus Estimate of $2.56 by 7.03%. The earnings per share increased 28% from the year-ago quarter’s figure of $2.14.
CEG’s Total Revenues
Revenues totaled $11.12 billion, which beat the Zacks Consensus Estimate of $8.2 billion by 35.5%. The top line also increased 63.8% from the year-ago figure of $6.78 billion.
Constellation Energy Corporation Price, Consensus and EPS SurpriseConstellation Energy Corporation Price, Consensus and EPS Surprise
Constellation Energy Corporation price-consensus-eps-surprise-chart | Constellation Energy Corporation Quote
Highlights of CEG’s Q1 Release
Total operating expenses were $8.8 billion, up 38.9% from $6.33 billion in the year-ago period. The year-over-year increase in operating expenses was due to higher purchased power and fuel, and higher operating and maintenance expenses compared with the year-ago period.
Operating income for the reported quarter was $2.33 billion compared with $0.45 billion in the year-ago period.
Net interest expenses increased 73.3% to $253 million from $146 million in the year-ago period.
Constellation Energy’s owned output from the Salem and South Texas Project Generating Stations produced 44,666 gigawatt-hours (GWhs) in the first quarter of 2026, compared with 45,582 GWhs in the first quarter of 2025.
Excluding Salem and STP, CEG’s owned nuclear plants recorded a 92.3% capacity factor in the first quarter of 2026, compared with 94.1% in the year-ago quarter. Sites operated by CEG experienced 99 planned refueling outage days in the first quarter of 2026, compared with 88 days in the first quarter of 2025.
Development post Q1
On April 16, 2026, CEG marked the commissioning of the 105-MW Pastoria Solar Project, the largest renewable energy project contracted by the California Department of Water Resources thus far as part of its goal to fully decarbonize operations by 2035.
On April 30, 2026, CEG’s Pin Oak Creek Energy Center commenced commercial operations. The 460-MW, advanced natural gas facility is built to deliver reliable, dispatchable power to the ERCOT grid.
CEG’s Financial Position
As of March 31, 2026, Constellation Energy had cash and cash equivalents of $0.8 billion compared with $3.64 billion as of Dec. 31, 2025.
The company had a long-term debt of $16.99 billion as of March 31, 2026, compared with $7.25 billion as of Dec. 31, 2025.
Cash provided in operating activities in first-quarter 2026 amounted to $425 million compared with $107 million in first-quarter 2025.
Total capital expenditures in the first three months of 2026 were $1.27 billion compared with $0.8 billion in first-quarter 2025.
CEG’s Guidance
Constellation Energy reaffirmed its 2026 earnings per share estimate in the range of $11.00-$12.00 per share. The Zacks Consensus Estimate for 2026 earnings per share is currently pegged at $11.69, which is within the guided range.
CEG projects long-term earnings growth of more than 20% through 2029.
Story Continues
CEG’s Zacks Rank
Constellation Energy has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Other Releases From the Sector
Devon Energy Corp. DVN reported first-quarter 2026 earnings per share (EPS) of $1.04, surpassing the Zacks Consensus Estimate of $1 by 4%. The metric was down 14% year over year.
Total revenues for the quarter were $3.80 billion, which lagged the Zacks Consensus Estimate of $4.16 billion by 8.5%. The top line decreased 14.5% from the year-ago quarter’s figure.
TotalEnergies SE TTE reported first-quarter 2026 operating earnings of $2.45 (€2.10) per share, which surpassed the Zacks Consensus Estimate of $1.99 by 23.1%. The bottom line improved 34% from the year-ago figure of $1.83 (€1.74).
Total revenues for the first quarter were $49.51 billion, which increased from the year-ago reported figure of $47.9 billion by 3.36%. The metric beat the Zacks Consensus Estimate of $46.85 billion by 5.9%.
Occidental Petroleum Corporation OXY reported first-quarter 2026 operating earnings of $1.06 per share, which beat the Zacks Consensus Estimate of 65 cents by 63.08%. The bottom line also increased 21.8% from 87 cents in the year-ago quarter.
The company reported revenues of $5.1 billion, which lagged the Zacks Consensus Estimate of $5.49 billion by 7.04%. The top line also dropped 25.3% from the prior-year quarter’s $6.84 billion.
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Devon Energy Corporation (DVN) : Free Stock Analysis Report
Constellation Energy Corporation (CEG) : Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).
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- Bill Gates-Backed Fervo Energy Boosts IPO Target to $1.8 Billion
May 11, 2026
(Bloomberg) -- Fervo Energy Co., a geothermal energy developer, is seeking to raise as much as $1.82 billion in a US initial public offering, raising its target from $1.33 billion.
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The Houston-based firm plans to market 70 million shares for $25 to $26 each, up from a previous target of 55.56 million shares at $21 to $24 each, according to a filing with the US Securities and Exchange Commission Monday. At the top of that range, Fervo would have a market value of $7.4 billion based on the outstanding shares listed in its filing.
With backing from Bill Gates’ investment firm Breakthrough Energy Ventures and shale oil producer Devon Energy Corp., Fervo is among a number of energy producers seeking to capitalize on the growing power demand for data centers. The company has about a $7.2 billion potential backlog of contracted revenue from power purchase agreements across its full portfolio, according to the filing.
Fervo also has power agreements with Southern California Edison Co., Alphabet Inc.’s Google and Shell Plc. Alphabet was part of a $462 million investment round in December.
The company’s Cape Station project in Beaver County, Utah, would be one of the world’s largest geothermal projects with 500 megawatts of power. All told, Fervo disclosed 595,900 total leased acres as well as 2.6 gigawatts in advanced development and more than 38 gigawatts in early-stage development.
The company uses horizontal drilling and multi-stage hydraulic fracturing to produce geothermal energy at its pilot project and expects to deliver power at its first commercial station by the end of 2026.
In its filing, it said it reduced drilling times by approximately 75% from 2022 to 2025, lowering drilling costs by about 70%. Current project costs are about $7,000 per kilowatt, with a long-term target of $3,000 per kilowatt.
Fervo had a net loss of $70.5 million on revenue of $138 million in the year ended Dec. 31, 2025, compared with a net loss of $41.1 million on revenue of $199 million a year earlier, according to its filings.
Founders Chief Executive Officer Tim Latimer and Chief Technology Officer Jack Norbeck, are expected to control the company through their holdings of supervoting Class B shares following the offering, the filing shows.
Story Continues
The offering is being led by JPMorgan Chase & Co., Bank of America Corp., Royal Bank of Canada and Barclays Plc. The company expects its shares to trade on Nasdaq under the symbol FRVO. The IPO is due to price May 12, according to a presentation seen by Bloomberg News.
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- Here is What to Know Beyond Why Devon Energy Corporation (DVN) is a Trending Stock
May 11, 2026
Devon Energy (DVN) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Shares of this oil and gas exploration company have returned -4.6% over the past month versus the Zacks S&P 500 composite's +9.1% change. The Zacks Oil and Gas - Exploration and Production - United States industry, to which Devon Energy belongs, has lost 5.3% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings Estimates
Rather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
Devon Energy is expected to post earnings of $1.45 per share for the current quarter, representing a year-over-year change of +72.6%. Over the last 30 days, the Zacks Consensus Estimate has changed +18%.
The consensus earnings estimate of $5.66 for the current fiscal year indicates a year-over-year change of +44.4%. This estimate has changed +26.3% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $4.89 indicates a change of -13.5% from what Devon Energy is expected to report a year ago. Over the past month, the estimate has changed +5.4%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #2 (Buy) for Devon Energy.
Story Continues
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS12-month consensus EPS estimate for DVN
Projected Revenue Growth
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Devon Energy, the consensus sales estimate of $4.69 billion for the current quarter points to a year-over-year change of +9.4%. The $18.63 billion and $19.23 billion estimates for the current and next fiscal years indicate changes of +8.4% and +3.3%, respectively.
Last Reported Results and Surprise History
Devon Energy reported revenues of $3.81 billion in the last reported quarter, representing a year-over-year change of -14.5%. EPS of $1.04 for the same period compares with $1.21 a year ago.
Compared to the Zacks Consensus Estimate of $4.16 billion, the reported revenues represent a surprise of -8.48%. The EPS surprise was +4%.
The company beat consensus EPS estimates in each of the trailing four quarters. The company topped consensus revenue estimates three times over this period.
Valuation
No investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Devon Energy is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Conclusion
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Devon Energy. However, its Zacks Rank #2 does suggest that it may outperform the broader market in the near term.
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Devon Energy Corporation (DVN) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
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- Here is What to Know Beyond Why Devon Energy Corporation (DVN) is a Trending Stock
May 11, 2026 · zacks.com
Devon Energy (DVN) has received quite a bit of attention from Zacks.com users lately. Therefore, it is wise to be aware of the facts that can impact the stock's prospects.
