Devon Energy price target lowered to $55 from $57 at Citi

Citi analyst Scott Gruber lowered the firm’s price target on Devon Energy to $55 from $57 and keeps a Buy rating on the shares. With lower sand and steel prices sufficient to deliver 5% deflation, the added benefit of efficiency gains and minor service rate deflation should push deflation into the high-single digits for the exploration and production companies, the analyst tells investors in a research note. The firm now models 8% deflation for most E&Ps in 2024, below its previous 10% forecast.