Diamondback Energy (NASDAQ:FANG) Announces Earnings Results, Beats Expectations By $0.14 EPS

Key Points

• Diamondback Energy beat quarterly expectations: The company reported $5.86 in EPS, $0.14 above consensus, while revenue reached $5.43 billion versus the $4.60 billion estimate.
• Analysts remain broadly positive: The stock has a “Moderate Buy” consensus rating and an average price target of $228.43, despite some target revisions and shares trading near $199.74.
• Shares declined and insiders sold stock: FANG fell $12.34 in mid-day trading, while directors Charles Meloy and Travis Stice sold shares under pre-arranged trading plans.

Diamondback Energy (NASDAQ:FANG - Get Free Report) issued its quarterly earnings data on Monday. The oil and natural gas company reported $5.86 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.72 by $0.14, FiscalAI reports. Diamondback Energy had a net margin of 8.58% and a return on equity of 10.10%. The company had revenue of $5.43 billion for the quarter, compared to the consensus estimate of $4.60 billion.

Diamondback Energy Price Performance

NASDAQ:FANG traded down $12.34 during mid-day trading on Monday, hitting $199.74. 2,764,049 shares of the company's stock traded hands, compared to its average volume of 2,588,107. The company has a debt-to-equity ratio of 0.25, a quick ratio of 0.45 and a current ratio of 0.47. The company has a market cap of $55.93 billion, a PE ratio of 38.94 and a beta of 0.49. The firm's 50 day simple moving average is $197.38 and its 200 day simple moving average is $189.06. Diamondback Energy has a 1 year low of $137.03 and a 1 year high of $216.90.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on FANG shares. Stephens reissued an "outperform" rating on shares of Diamondback Energy in a report on Tuesday, October 13th. Barclays decreased their price objective on Diamondback Energy from $232.00 to $221.00 and set an "overweight" rating for the company in a research report on Monday, August 17th. Susquehanna lifted their target price on Diamondback Energy from $255.00 to $265.00 in a research note on Wednesday, August 5th. UBS Group boosted their target price on Diamondback Energy from $243.00 to $253.00 and gave the company a "buy" rating in a report on Monday, September 14th. Finally, Roth Capital upped their price target on Diamondback Energy from $205.00 to $212.00 and gave the stock a "buy" rating in a research note on Tuesday, August 4th. Two analysts have rated the stock with a Strong Buy rating, twenty-four have given a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $228.43.

Insider Activity

In other news, Director Charles Meloy sold 33,333 shares of the stock in a transaction that occurred on Monday, October 5th. The shares were sold at an average price of $183.74, for a total value of $6,124,605.42. Following the sale, the director directly owned 759,864 shares in the company, valued at $139,617,411.36. This represents a 4.20% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Travis Stice sold 75,000 shares of the firm's stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $204.31, for a total transaction of $15,323,250.00. Following the transaction, the director directly owned 49,727 shares of the company's stock, valued at approximately $10,159,723.37. This trade represents a 60.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 0.64% of the stock is owned by corporate insiders.

About Diamondback Energy

Diamondback Energy, Inc is an independent oil and natural gas company engaged in the acquisition, development, exploration and exploitation of unconventional, onshore oil and natural gas reserves. The company's operations are concentrated in the Permian Basin of West Texas and southeastern New Mexico, particularly the Midland and Delaware Basins.

Diamondback produces crude oil, natural gas and natural gas liquids from horizontal wells and related infrastructure. Its activities include drilling and completing wells, operating gathering and processing assets, and managing midstream services that support production.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.