NEW YORK (TheStreet) -- When we shop in an old brick and mortar store we like to get a bargain. Shares of Devon Energy (DVN) - Get Report are back to their 2009 lows and could be a real bargain here. It's worth a look.

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In this longer-term view of DVN, above, we can see the 2006 to 2007 run-up in DVN as energy prices soared -- remember gasoline prices near $5 per gallon -- and then the plunge to a low in 2009. With DVN back near its 2009 nadir, we think shares of DVN are worth a price scan.

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This short-term view of DVN, above, shows a 50% retracement this year -- pretty dramatic -- but prices are bottoming since late August. The On-Balance-Volume line is rising, which is bullish, and prices have rallied above the 50-day moving average while the slope of the average has turned up. Also note the bullish divergence this summer between the price action and the momentum study. Traders could buy this current price dip for DVN and then use a sell-stop under $42 for now. Overhead resistance does not become a factor until we get back to the $55 to $60 area on DVN.

TheStreet Ratings team rates DEVON ENERGY CORP as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:

We rate DEVON ENERGY CORP (DVN) a SELL. This is driven by several weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, generally high debt management risk, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself.

Highlights from the analysis by TheStreet Ratings Team goes as follows:

  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Oil, Gas & Consumable Fuels industry. The net income has significantly decreased by 445.2% when compared to the same quarter one year ago, falling from $1,016.00 million to -$3,507.00 million.
  • The debt-to-equity ratio of 1.03 is relatively high when compared with the industry average, suggesting a need for better debt level management. Along with the unfavorable debt-to-equity ratio, DVN maintains a poor quick ratio of 0.89, which illustrates the inability to avoid short-term cash problems.
  • Return on equity has greatly decreased when compared to its ROE from the same quarter one year prior. This is a signal of major weakness within the corporation. Compared to other companies in the Oil, Gas & Consumable Fuels industry and the overall market, DEVON ENERGY CORP's return on equity significantly trails that of both the industry average and the S&P 500.
  • Net operating cash flow has declined marginally to $1,553.00 million or 0.38% when compared to the same quarter last year. Despite a decrease in cash flow DEVON ENERGY CORP is still fairing well by exceeding its industry average cash flow growth rate of -27.14%.
  • The share price of DEVON ENERGY CORP has not done very well: it is down 22.90% and has underperformed the S&P 500, in part reflecting the company's sharply declining earnings per share when compared to the year-earlier quarter. The fact that the stock is now selling for less than others in its industry in relation to its current earnings is not reason enough to justify a buy rating at this time.
  • You can view the full analysis from the report here: DVN

Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of Jim Cramer, TheStreet or any of its contributors.