Devon EnergyMEX:DVN 80 Gross Margin % is 12.14% as of Mar. 2026, which is 52% below its 10-year median of 25.11. GuruFocus rates MEX:DVN with a GF Score™ of 80/100 and a GF Value™ of MXN878.39 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 872 Oil & Gas companies, Devon Energy ranks worse than 55.73% on this metric.
The historical rank and industry rank for Devon Energy's Gross Margin % or its related term are showing as below:
MEX:DVN'
s Gross Margin % Range Over the Past 10 Years
Min: 8.12 Med: 25.11 Max: 43.66
Current: 22.13
During the past 13 years, the highestGross Margin % of Devon Energy was 43.66%. The lowest was 8.12%. And the median was 25.11%.
MEX:DVN's Gross Margin % is ranked worse than 55.73% of 872
companies
in the Oil & Gas industry
Industry Median: 25.62
vs MEX:DVN: 22.13
Devon Energy had a gross margin of 12.14% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Devon Energy was 16.90% per year.
Devon Energy (MEX:DVN) Gross Margin % Explanation
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Devon Energy had a gross margin of 12.14% for the quarter that ended in Mar. 2026 => No sustainable competitive advantage
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Devon Energy Gross Margin % Related Terms
Devon Energy Gross Margin % Historical Data
* Premium members only.
The historical data trend for Devon Energy's Gross Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
MEX:DVN vs OXY, FANG, EQT: Gross Margin % Comparison
For the Oil & Gas E&P subindustry, Devon Energy's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Devon Energy Gross Margin % vs Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Devon Energy's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Devon Energy's Gross Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Devon Energy (MEX:DVN) has a Gross Margin % of 12.14% as of Mar. 2026. Gross margin is the ratio of total gross profit to net sales. View historical data on Devon Energy and its competitors. This is 52% below median its historical median of 25.11. Over the past decade, Devon Energy's Gross Margin % has ranged from 8.12 to 43.66. According to the industry distribution chart, Devon Energy ranks #486 out of 872 companies in the Oil & Gas industry, placing it in the top 55.7%.
Is Devon Energy's Gross Margin % too high?
Devon Energy's current Gross Margin % of 12.14% is 52% below median its 10-year median of 25.11. Over the past 10 years, this metric has ranged from a low of 8.12 to a high of 43.66. The Oil & Gas industry median Gross Margin % is 25.62. Devon Energy's value of 12.14% is 52.6% below this industry median. Based on the distribution chart, Devon Energy ranks #486 out of 872 companies in the Oil & Gas industry, which is below the industry midpoint. Overall, Devon Energy has a GF Score™ of 80/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Devon Energy's Gross Margin % compare to OXY and FANG?
According to the Oil & Gas industry distribution chart, Devon Energy ranks #486 out of 872 companies for Gross Margin %. This places Devon Energy in the lower half of its industry. The industry median Gross Margin % is 25.62. Devon Energy's value of 12.14% is 52.6% below this benchmark. Historically, Devon Energy's own Gross Margin % has ranged from 8.12 to 43.66 over the past decade. While the company's 10-year median is 25.11 vs. the industry median of 25.62, Devon Energy has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for an Oil & Gas company?
The median Gross Margin % among Oil & Gas companies is 25.62, based on 872 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Devon Energy's current Gross Margin % of 12.14% is 52.6% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Devon Energy and its competitors. For the Oil & Gas industry, the median Gross Margin % is 25.62 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Devon Energy's current Gross Margin % is 12.14%, which is 52% below median its own 10-year median of 25.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Devon Energy stock overvalued right now?
Based on GuruFocus' analysis, Devon Energy (MEX:DVN) is currently considered Modestly Undervalued. The stock's GF Value™ is MXN878.39, compared to a current price of MXN734.00 — trading 16.4% below its estimated fair value. The current Gross Margin % is 12.14%, which is 52% below median its 10-year median of 25.11 and 52.6% below the Oil & Gas industry median of 25.62. Devon Energy's overall GF Score™ is 80/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Devon Energy (MEX:DVN), the current Gross Margin % is 12.14% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Devon Energy (MEX:DVN) Overvalued in 2026?
Based on GuruFocus' analysis, Devon Energy stock appears to be undervalued.
The current stock price of MXN734.00 is trading 16.4% below its estimated GF Value™ of MXN878.39.
GuruFocus considers Devon Energy to be Modestly Undervalued.
Key valuation signals for MEX:DVN:
Gross Margin %: 12.14% (52% below median its 10-year median of 25.11)
GF Value™: MXN878.39 vs. price of MXN734.00 (16.4% below fair value)
Industry Position: 52.6% below the Oil & Gas median (#486 of 872)
No single metric tells the full story. See the MEX:DVN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Devon Energy is an oil and gas producer with acreage in several top US shale plays. While roughly two-thirds of its production comes from the Permian Basin, it also holds a meaningful presence in the Anadarko, Eagle Ford, and Bakken basins. After the merger with Coterra, it will have a foothold in the gas-driven Appalachian Basin as well. At the end of 2025, Devon reported net proved reserves of 2.4 billion barrels of oil equivalent, up from 2.2 billion in 2024. Net production averaged roughly 840,000 barrels of oil equivalent per day in 2025 at a ratio of 73% oil and natural gas liquids and 27% natural gas.
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