Devon Energy price target lowered to $51 from $64 at JPMorgan

JPMorgan lowered the firm’s price target on Devon Energy to $51 from $64 and keeps an Overweight rating on the shares. The firm marked to market its exploration and production models and price targets following the recent decline in strip pricing for both oil and natural gas. The decline in oil prices has been driven by worries surrounding OPEC+ barrels returning to the market, supply/demand balances in 2025 given non-OPEC supply growth and expectations for slowing demand growth, the analyst tells investors in a research note. With oil in the mid-$60s, JPMorgan does not expect to see any near-term changes in E&P activity levels. However, if the strip deteriorates further, “management teams are likely to begin having those discussions,” it adds.