Oil Dividend Stars Devon and Pioneer Face Tests After Payout Cuts

Some of the biggest outperformers in the U.S. energy sector—


Pioneer Natural Resources


and


Devon Energy


—cut their dividend payouts in the latest quarter as oil prices caused cash flow to slip.

The cuts were expected, and aren’t a sign of problems with either company, but they may be a test for investors who have become accustomed to steady growth in dividends for the past two years.