Credit Suisse Reiterates Outperform, Raises PT On Devon Energy On Lower Estimates

In a report published Monday, Credit Suisse analyst Arun Jayaram reiterated an Outperform rating on Devon Energy Corp (NYSE: DVN), and raised the price target from $75.00 to $80.00.

In the report, Credit Suisse noted, "We raise our NAV to $80 from $75 per share to incorporate the company's updated reserve report and year-end '14 balance sheet. While capital efficiency in '14 was mixed as evidenced by drillbit F&D costs of $27.40 per Boe, value creation largely stemmed from its tax efficient swap of Canadian conventional and legacy U.S. assets before commodity prices collapsed for top of the food chain Eagle Ford assets. We expect DVN's drillbit performance to improve given the mix shift toward the Eagle Ford, Bone Spring, and Cana-Woodford programs as well as low maintenance capital required at Jackfish."

Devon Energy closed on Friday at $59.15.