Where Could Devon Energy Trade in the Next Seven Days?



Devon Energy’s implied volatility

Devon Energy’s (DVN) 30-day implied volatility was 29.9% as of September 26. Its peers Anadarko Petroleum (APC) and EOG Resources (EOG) have implied volatilities of 26.5% and 21.6%, respectively. In comparison, the SPDR S&P Oil & Gas Exploration & Production ETF (XOP) has an implied volatility of 23.9%.

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Devon Energy’s price forecast

Based on its current implied volatility, Devon Energy could trade at $38.04–$41.32 in the next seven days. The stock is expected to trade in that range with a 60% probability. That assumes a standard deviation of one and a normal distribution of prices.

In the next part, we’ll analyze Devon Energy’s current valuation.


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