Devon Energy price target lowered to $60 from $63 at RBC Capital

RBC Capital lowered the firm’s price target on Devon Energy to $60 from $63 and keeps a Sector Perform rating on the shares. The firm price target cut is driven by the reduced commodity price outlook, even though the company’s production activity provides a nice trajectory in Q3, where oil output should peak around 330 Mb/d, the analyst tells investors in a research note. RBC adds however that while operationally, Devon’s performance looks good, the natural gas and NGL pricing pose headwinds for the company.