Devon Energy gains on plans to boost free cash flow by $1 billion

Shares of oil and gas producer Devon Energy DVN.N rise 4.6%% to $30.84

Company says it plans to boost its annual free cash flow by $1 billion by the end of 2026

"The $1 billion savings is significantly above our expectations and the $300-$500 million range we think investors anticipated" - RBC Capital Markets

*"We expect a positive reaction to the significant "self-help" initiatives .. While we sensed elevated expectations ahead of the print (1Q25), we think the plan..will be received by the buyside"- J.P. Morgan

Company expects to save $300 million through capital efficiency, $250 million by cutting production and $300 million through commercial opportunities

DVN also expects ~30% of the estimated improvements to be completed by year-end 2025, with the remaining by year-end 2026

Including session's moves, shares are down 5.4% YTD