The stock market has rallied this year. The S 500 is up more than 18%, while the tech-heavy Nasdaq 100 has surged over 35%.

However, not all stock market sectors have been in rally mode this year. Energy stocks have underperformed, with those in the S 500 falling by an average of 4%. Because of that, many energy stocks trade at a compelling discount. Devon Energy (NYSE: DVN) and NextEra Energy (NYSE: NEE) are among the many top energy stocks currently in the discount bin.

Shares of Devon Energy have shed about a quarter of their value this year. While oil prices are down, WTI, the primary U.S. oil benchmark price, has only fallen about 4% in 2023. Because of that, Devon looks like a bargain, given the cash it can produce in the coming year.

Continue reading

Source Fool.com