Devon Energy (DVN): A Top Crude Oil Stock Among Hedge Fund Investors

With 58 hedge fund investors in the Insider Monkey database at the end of Q1 2025, Devon Energy Corporation (NYSE:DVN) is counted among the Best Crude Oil Stocks to Buy According to Hedge Funds.

Devon Energy (DVN): A Top Crude Oil Stock Among Hedge Fund Investors

A group of technicians in hazmat suits inspecting a natural gas storage tank.

With an investment-grade balance sheet and a $45 corporate breakeven, Devon Energy Corporation (NYSE:DVN) remains well-positioned to thrive even in a low-price environment. Assuming an oil price of $60 per barrel, the company’s management believes it will generate $2.6 billion in free cash flow this year, enough to easily cover the $650 million in cash it needs to pay its dividend.

Devon Energy Corporation (NYSE:DVN) also remains committed to optimizing its business and cutting costs. The company recently announced plans to boost its annual free cash flow by $1 billion by the end of 2026 by reducing drilling and completion costs and improving operating margins. The efforts seem to be bearing fruit as DVN revealed in its Q1 2025 earnings call that it was cutting its FY 2025 CapEx by $100 million, while maintaining its productive capacity for the remainder of the year.

Devon Energy Corporation (NYSE:DVN) is a leading independent energy company engaged in finding and producing oil and natural gas, with operations focused onshore in the United States

While we acknowledge the potential of DVN to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than DVN and that has 100x upside potential, check out our report about this cheapest AI stock.

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