Diamondback Energy, Inc. (NASDAQ:FANG) Receives Average Rating of "Buy" from Analysts

Key Points

• Diamondback Energy, Inc. (NASDAQ:FANG) received an average analyst rating of "Buy", with 20 buy ratings and a 12-month price target of $189.91.
• The company recently reported a quarterly earnings per share (EPS) of $2.67, which was slightly below the consensus estimate, but revenues surged by 48.1% year-over-year to $3.68 billion.
• Diamondback Energy declared a quarterly dividend of $1.00 per share, translating to an annualized rate of $4.00 and a yield of 2.8%.

Shares of Diamondback Energy, Inc. (NASDAQ:FANG - Get Free Report) have earned an average recommendation of "Buy" from the twenty-three ratings firms that are presently covering the firm, Marketbeat Ratings reports. One investment analyst has rated the stock with a hold rating, twenty have issued a buy rating and two have issued a strong buy rating on the company. The average 12-month price target among brokers that have updated their coverage on the stock in the last year is $189.9091.

Several research firms have recently issued reports on FANG. Evercore ISI raised their price objective on Diamondback Energy from $165.00 to $175.00 and gave the company an "outperform" rating in a research note on Monday, October 6th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Diamondback Energy in a research note on Wednesday, October 8th. KeyCorp lowered their price objective on Diamondback Energy from $180.00 to $176.00 and set an "overweight" rating for the company in a research note on Wednesday, September 3rd. Royal Bank Of Canada reaffirmed an "outperform" rating and issued a $173.00 price objective on shares of Diamondback Energy in a research note on Friday, October 10th. Finally, Piper Sandler decreased their price target on Diamondback Energy from $228.00 to $222.00 and set an "overweight" rating for the company in a research note on Thursday, August 14th.

Diamondback Energy Price Performance

NASDAQ:FANG opened at $141.19 on Tuesday. The firm has a market capitalization of $40.87 billion, a price-to-earnings ratio of 10.03 and a beta of 1.04. Diamondback Energy has a 1 year low of $114.00 and a 1 year high of $186.74. The business has a 50 day simple moving average of $142.26 and a 200-day simple moving average of $140.48. The company has a debt-to-equity ratio of 0.35, a current ratio of 0.55 and a quick ratio of 0.52.

Diamondback Energy (NASDAQ:FANG - Get Free Report) last posted its quarterly earnings data on Monday, August 4th. The oil and natural gas company reported $2.67 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.72 by ($0.05). The company had revenue of $3.68 billion during the quarter, compared to the consensus estimate of $3.35 billion. Diamondback Energy had a net margin of 27.25% and a return on equity of 9.48%. Diamondback Energy's revenue for the quarter was up 48.1% on a year-over-year basis. During the same period in the previous year, the business earned $4.52 earnings per share. Equities analysts forecast that Diamondback Energy will post 15.49 EPS for the current year.

Diamondback Energy Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 21st. Investors of record on Thursday, August 14th were paid a dividend of $1.00 per share. This represents a $4.00 dividend on an annualized basis and a dividend yield of 2.8%. The ex-dividend date of this dividend was Thursday, August 14th. Diamondback Energy's dividend payout ratio (DPR) is currently 28.43%.

Insider Activity

In related news, Chairman Travis D. Stice sold 20,400 shares of the firm's stock in a transaction that occurred on Thursday, August 7th. The stock was sold at an average price of $142.80, for a total transaction of $2,913,120.00. Following the completion of the sale, the chairman directly owned 102,145 shares of the company's stock, valued at approximately $14,586,306. This trade represents a 16.65% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 0.48% of the company's stock.

Institutional Investors Weigh In On Diamondback Energy

A number of institutional investors and hedge funds have recently modified their holdings of FANG. Merit Financial Group LLC increased its holdings in Diamondback Energy by 4.5% during the 3rd quarter. Merit Financial Group LLC now owns 7,837 shares of the oil and natural gas company's stock worth $1,122,000 after purchasing an additional 335 shares during the period. Security National Bank increased its holdings in Diamondback Energy by 4.0% during the 3rd quarter. Security National Bank now owns 30,106 shares of the oil and natural gas company's stock worth $4,308,000 after purchasing an additional 1,155 shares during the period. Ascent Group LLC purchased a new position in Diamondback Energy during the 3rd quarter worth $1,263,000. Segment Wealth Management LLC increased its holdings in Diamondback Energy by 4.9% during the 3rd quarter. Segment Wealth Management LLC now owns 3,012 shares of the oil and natural gas company's stock worth $431,000 after purchasing an additional 140 shares during the period. Finally, Oak Harvest Investment Services increased its holdings in Diamondback Energy by 5.6% during the 3rd quarter. Oak Harvest Investment Services now owns 45,387 shares of the oil and natural gas company's stock worth $6,495,000 after purchasing an additional 2,420 shares during the period. 90.01% of the stock is owned by institutional investors.

Diamondback Energy Company Profile

Diamondback Energy, Inc, an independent oil and natural gas company, acquires, develops, explores, and exploits unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas. It focuses on the development of the Spraberry and Wolfcamp formations of the Midland basin; and the Wolfcamp and Bone Spring formations of the Delaware basin, which are part of the Permian Basin in West Texas and New Mexico.

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