Debt to Equity
since 2005
Calculation
Devon Energy Corp., debt to equity, long-term trends, calculation
| Debt to equity | = | Total debt1 | ÷ | Stockholders’ equity attributable to Devon1 | |
|---|---|---|---|---|---|
| Dec 31, 2022 | 0.58 | = | 6,440) | ÷ | 11,167) |
| Dec 31, 2021 | 0.70 | = | 6,482) | ÷ | 9,262) |
| Dec 31, 2020 | 1.49 | = | 4,298) | ÷ | 2,885) |
| Dec 31, 2019 | 0.74 | = | 4,294) | ÷ | 5,802) |
| Dec 31, 2018 | 0.65 | = | 5,947) | ÷ | 9,186) |
| Dec 31, 2017 | 1.12 | = | 10,406) | ÷ | 9,254) |
| Dec 31, 2016 | 1.71 | = | 10,154) | ÷ | 5,927) |
| Dec 31, 2015 | 1.86 | = | 13,113) | ÷ | 7,049) |
| Dec 31, 2014 | 0.52 | = | 11,262) | ÷ | 21,539) |
| Dec 31, 2013 | 0.59 | = | 12,022) | ÷ | 20,499) |
| Dec 31, 2012 | 0.55 | = | 11,644) | ÷ | 21,278) |
| Dec 31, 2011 | 0.46 | = | 9,780) | ÷ | 21,430) |
| Dec 31, 2010 | 0.29 | = | 5,630) | ÷ | 19,253) |
| Dec 31, 2009 | 0.47 | = | 7,279) | ÷ | 15,570) |
| Dec 31, 2008 | 0.34 | = | 5,841) | ÷ | 17,060) |
| Dec 31, 2007 | 0.36 | = | 7,928) | ÷ | 22,006) |
| Dec 31, 2006 | 0.45 | = | 7,773) | ÷ | 17,442) |
| Dec 31, 2005 | 0.45 | = | 6,619) | ÷ | 14,862) |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The financial trajectory from 2005 to 2022 is characterized by three distinct phases of leverage management: a period of stability, a phase of acute volatility and high leverage, and a subsequent recovery toward a more conservative capital structure.
- Debt Accumulation and Reduction Trends
- Total debt remained relatively stable between 2005 and 2010, fluctuating between 5.6 billion and 7.9 billion US dollars. A period of expansion followed, with debt peaking at 13.1 billion US dollars in 2015. Following this peak, a systematic reduction in total liabilities occurred, with debt levels falling to approximately 4.3 billion US dollars by 2018 and 2019. A moderate increase was observed toward the end of the period, stabilizing at 6.4 billion US dollars in 2022.
- Equity Volatility and Capital Erosion
- Stockholders' equity exhibited significant instability. From 2005 to 2014, equity was generally robust, peaking at 22.0 billion US dollars in 2007. However, a precipitous decline occurred in 2015, where equity dropped to 7.0 billion US dollars. This downward trend continued with intermittent recoveries, reaching a historical low of 2.8 billion US dollars in 2020. A strong recovery is evident in the final two years, with equity rising to 11.1 billion US dollars by December 31, 2022.
- Debt to Equity Ratio Analysis
- The debt to equity ratio remained low and stable, ranging from 0.29 to 0.59, during the first decade of the observed period. A sharp spike occurred in 2015 and 2016, with ratios reaching 1.86 and 1.71 respectively, driven by the simultaneous increase in total debt and a collapse in equity. While the ratio improved toward 0.65 by 2018, another spike to 1.49 was recorded in 2020, coinciding with the lowest point of stockholders' equity. By 2022, the ratio returned to a more sustainable level of 0.58, signaling a return to the leverage profile observed prior to 2015.
The overall analysis indicates that the organization faced significant capital structure stress between 2015 and 2020. The spikes in the debt to equity ratio were primarily driven by severe equity contractions rather than solely by debt issuance. The trend from 2021 to 2022 demonstrates a successful deleveraging process and a restoration of the equity base.
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Comparison to Competitors
Devon Energy Corp., debt to equity, long-term trends, comparison to competitors
| Devon Energy Corp. | Chevron Corp. | ConocoPhillips | Exxon Mobil Corp. | |
|---|---|---|---|---|
| Dec 31, 2022 | 0.58 | 0.15 | 0.35 | 0.21 |
| Dec 31, 2021 | 0.70 | 0.23 | 0.44 | 0.28 |
| Dec 31, 2020 | 1.49 | 0.34 | 0.51 | 0.43 |
| Dec 31, 2019 | 0.74 | 0.19 | 0.43 | 0.24 |
| Dec 31, 2018 | 0.65 | 0.22 | 0.47 | 0.20 |
| Dec 31, 2017 | 1.12 | 0.26 | 0.64 | 0.23 |
| Dec 31, 2016 | 1.71 | 0.32 | 0.78 | 0.26 |
| Dec 31, 2015 | 1.86 | 0.25 | 0.63 | 0.23 |
| Dec 31, 2014 | 0.52 | 0.18 | 0.43 | 0.17 |
| Dec 31, 2013 | 0.59 | 0.14 | 0.42 | 0.13 |
| Dec 31, 2012 | 0.55 | 0.09 | 0.45 | 0.07 |
| Dec 31, 2011 | 0.46 | 0.08 | 0.35 | 0.11 |
| Dec 31, 2010 | 0.29 | 0.11 | 0.34 | 0.10 |
| Dec 31, 2009 | 0.47 | 0.11 | 0.46 | 0.09 |
| Dec 31, 2008 | 0.34 | 0.10 | 0.50 | 0.08 |
| Dec 31, 2007 | 0.36 | 0.09 | 0.24 | 0.08 |
| Dec 31, 2006 | 0.45 | 0.14 | 0.33 | 0.07 |
| Dec 31, 2005 | 0.45 | 0.21 | 0.24 | 0.07 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Oil, Gas & Consumable Fuels)
Devon Energy Corp., debt to equity, long-term trends, comparison to sector (oil, gas & consumable fuels)
| Devon Energy Corp. | Oil, Gas & Consumable Fuels | |
|---|---|---|
| Dec 31, 2022 | 0.58 | 0.20 |
| Dec 31, 2021 | 0.70 | 0.28 |
| Dec 31, 2020 | 1.49 | 0.40 |
| Dec 31, 2019 | 0.74 | 0.24 |
| Dec 31, 2018 | 0.65 | 0.23 |
| Dec 31, 2017 | 1.12 | 0.28 |
| Dec 31, 2016 | 1.71 | 0.33 |
| Dec 31, 2015 | 1.86 | 0.28 |
| Dec 31, 2014 | 0.52 | 0.21 |
| Dec 31, 2013 | 0.59 | 0.17 |
| Dec 31, 2012 | 0.55 | 0.13 |
| Dec 31, 2011 | 0.46 | 0.15 |
| Dec 31, 2010 | 0.29 | 0.16 |
| Dec 31, 2009 | 0.47 | 0.18 |
| Dec 31, 2008 | 0.34 | 0.18 |
| Dec 31, 2007 | 0.36 | 0.13 |
| Dec 31, 2006 | 0.45 | 0.17 |
| Dec 31, 2005 | 0.45 | 0.15 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Energy)
Devon Energy Corp., debt to equity, long-term trends, comparison to industry (energy)
| Devon Energy Corp. | Energy | |
|---|---|---|
| Dec 31, 2022 | 0.58 | 0.22 |
| Dec 31, 2021 | 0.70 | 0.31 |
| Dec 31, 2020 | 1.49 | 0.44 |
| Dec 31, 2019 | 0.74 | 0.26 |
| Dec 31, 2018 | 0.65 | 0.25 |
| Dec 31, 2017 | 1.12 | 0.30 |
| Dec 31, 2016 | 1.71 | 0.35 |
| Dec 31, 2015 | 1.86 | 0.30 |
| Dec 31, 2014 | 0.52 | 0.22 |
| Dec 31, 2013 | 0.59 | 0.19 |
| Dec 31, 2012 | 0.55 | 0.15 |
| Dec 31, 2011 | 0.46 | 0.16 |
| Dec 31, 2010 | 0.29 | 0.17 |
| Dec 31, 2009 | 0.47 | 0.19 |
| Dec 31, 2008 | 0.34 | 0.19 |
| Dec 31, 2007 | 0.36 | 0.15 |
| Dec 31, 2006 | 0.45 | 0.19 |
| Dec 31, 2005 | 0.45 | 0.16 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).