WallStSmart

Canadian Natural Resources Ltd (CNQ)vsDevon Energy Corporation (DVN)

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Smart Verdict

WallStSmart Research — data-driven comparison

Canadian Natural Resources Ltd generates 138% more annual revenue ($44.68B vs $18.78B). CNQ leads profitability with a 26.3% profit margin vs 17.5%. DVN appears more attractively valued with a PEG of 2.93. CNQ earns a higher WallStSmart Score of 81/100 (A-).

CNQ

Exceptional Buy

81

out of 100

Grade: A-

Growth: 7.3Profit: 9.0Value: 7.3Quality: 7.0
Piotroski: 6/9Altman Z: 2.05

DVN

Strong Buy

79

out of 100

Grade: B+

Growth: 7.3Profit: 7.0Value: 4.7Quality: 5.5
Piotroski: 3/9Altman Z: 1.99
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CNQUndervalued (+50.3%)

Margin of Safety

+50.3%

Fair Value

$95.59

Current Price

$47.17

$48.42 discount

UndervaluedFair: $95.59Overvalued
DVNSignificantly Overvalued (-38.6%)

Margin of Safety

-38.6%

Fair Value

$34.33

Current Price

$46.73

$12.40 premium

UndervaluedFair: $34.33Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CNQ6 strengths · Avg: 9.7/10
P/E RatioValuation
11.9x10/10

Attractively priced relative to earnings

Operating MarginProfitability
43.1%10/10

Strong operational efficiency at 43.1%

Revenue GrowthGrowth
69.5%10/10

Revenue surging 69.5% year-over-year

EPS GrowthGrowth
83.8%10/10

Earnings expanding 83.8% YoY

Market CapQuality
$98.21B9/10

Large-cap with strong market position

Return on EquityProfitability
25.1%9/10

Every $100 of equity generates 25 in profit

DVN6 strengths · Avg: 9.7/10
P/E RatioValuation
10.6x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
41.1%10/10

Strong operational efficiency at 41.1%

Revenue GrowthGrowth
64.2%10/10

Revenue surging 64.2% year-over-year

Market CapQuality
$53.47B9/10

Large-cap with strong market position

Debt/EquityHealth
0.289/10

Conservative balance sheet, low leverage

Areas to Watch

CNQ1 concerns · Avg: 2.0/10
PEG RatioValuation
3.422/10

Expensive relative to growth rate

DVN4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.994/10

Grey zone — moderate risk

Return on EquityProfitability
7.9%3/10

ROE of 7.9% — below average capital efficiency

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.932/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : CNQ

The strongest argument for CNQ centers on P/E Ratio, Operating Margin, Revenue Growth. Profitability is solid with margins at 26.3% and operating margin at 43.1%. Revenue growth of 69.5% demonstrates continued momentum.

Bull Case : DVN

The strongest argument for DVN centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 17.5% and operating margin at 41.1%. Revenue growth of 64.2% demonstrates continued momentum.

Bear Case : CNQ

The primary concerns for CNQ are PEG Ratio.

Bear Case : DVN

The primary concerns for DVN are Altman Z-Score, Return on Equity, Piotroski F-Score.

Key Dynamics to Monitor

CNQ carries more volatility with a beta of 0.88 — expect wider price swings.

CNQ is growing revenue faster at 69.5% — sustainability is the question.

CNQ generates stronger free cash flow (4.4B), providing more financial flexibility.

Monitor OIL & GAS E&P industry trends, competitive dynamics, and regulatory changes.

Bottom Line

CNQ scores higher overall (81/100 vs 79/100), backed by strong 26.3% margins and 69.5% revenue growth. Both earn "Exceptional Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Canadian Natural Resources Ltd

ENERGY · OIL & GAS E&P · USA

Canadian Natural Resources Limited acquires, explores, develops, produces, markets and sells crude oil, natural gas and natural gas liquids (NGL). The company is headquartered in Calgary, Canada.

Devon Energy Corporation

ENERGY · OIL & GAS E&P · USA

Devon Energy Corporation is an American energy company engaged in hydrocarbon exploration in the American market.

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