S&P Target Price: 137
We believe recent discoveries have shifted DVN's focus to organic production growth, from restructuring of historical acquisitions.We estimate that the successful production test of the deepwater Jack #2 well (DVN has a 25% working interest) in the Gulf of Mexico's Lower Tertiary Trend in 2006, and its Miocene-age discovery on the Mission Deep prospect (50%) in the Gulf of Mexico, have raised the company's production growth prospects through 2015, while its Chief Holdings acquisition has increased its presence and production outlook in the Barnett Shale.
$89.18 (08/06/08)
