Q2 EPS Estimate for Diamondback Energy Reduced by Analyst

Key Points

• Zacks Research lowered Diamondback Energy’s Q2 2027 EPS estimate to $3.76 from $3.77 and maintained a “Hold” rating. Analysts’ consensus view remains more favorable, with a “Moderate Buy” average rating and a $226.33 target price.
• Diamondback’s latest quarterly results exceeded expectations, with EPS of $6.48 versus the $6.08 consensus and revenue of $5.56 billion versus estimates of $4.89 billion. Revenue increased 51.2% year over year.
• The stock opened at $196.94 and recently traded near its 52-week high, while the company maintains a quarterly dividend of $1.10, equivalent to a 2.2% yield. Institutional investors own approximately 90.01% of outstanding shares.

Diamondback Energy, Inc. (NASDAQ:FANG - Free Report) - Stock analysts at Zacks Research reduced their Q2 2027 earnings estimates for Diamondback Energy in a research note issued to investors on Thursday, September 17th. Zacks Research analyst Team now expects that the oil and natural gas company will earn $3.76 per share for the quarter, down from their prior estimate of $3.77. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for Diamondback Energy's current full-year earnings is $19.94 per share. Zacks Research also issued estimates for Diamondback Energy's Q2 2028 earnings at $4.38 EPS and FY2028 earnings at $15.40 EPS.

Diamondback Energy (NASDAQ:FANG - Get Free Report) last released its quarterly earnings results on Monday, August 3rd. The oil and natural gas company reported $6.48 EPS for the quarter, beating analysts' consensus estimates of $6.08 by $0.40. The firm had revenue of $5.56 billion during the quarter, compared to analyst estimates of $4.89 billion. Diamondback Energy had a net margin of 8.58% and a return on equity of 10.10%. The business's revenue for the quarter was up 51.2% on a year-over-year basis. During the same period in the previous year, the business earned $2.38 EPS.

A number of other analysts also recently weighed in on FANG. Morgan Stanley restated an "equal weight" rating and issued a $216.00 target price on shares of Diamondback Energy in a research report on Wednesday, August 19th. Citigroup dropped their price objective on Diamondback Energy from $221.00 to $220.00 and set a "buy" rating for the company in a research note on Monday, August 10th. Mizuho increased their target price on shares of Diamondback Energy from $220.00 to $240.00 and gave the stock an "outperform" rating in a report on Wednesday, May 27th. Wall Street Zen raised Diamondback Energy from a "hold" rating to a "buy" rating in a research note on Sunday, September 13th. Finally, Wolfe Research restated an "outperform" rating and set a $206.00 price target on shares of Diamondback Energy in a report on Tuesday, August 4th. Four investment analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and five have given a Hold rating to the company's stock. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $226.33.

Diamondback Energy Trading Up 1.2%

Shares of Diamondback Energy stock opened at $196.94 on Friday. The company has a debt-to-equity ratio of 0.25, a current ratio of 0.47 and a quick ratio of 0.45. Diamondback Energy has a 1 year low of $136.13 and a 1 year high of $216.90. The firm has a market cap of $55.15 billion, a PE ratio of 38.39 and a beta of 0.43. The company has a 50 day simple moving average of $199.51 and a two-hundred day simple moving average of $193.78.

Diamondback Energy Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, August 20th. Shareholders of record on Thursday, August 13th were issued a $1.10 dividend. The ex-dividend date was Thursday, August 13th. This represents a $4.40 annualized dividend and a yield of 2.2%. Diamondback Energy's dividend payout ratio (DPR) is 85.77%.

Insider Activity at Diamondback Energy

In other Diamondback Energy news, Director Travis D. Stice sold 75,000 shares of the firm's stock in a transaction 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 completion of the transaction, the director 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. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Charles Meloy sold 33,333 shares of the stock in a transaction dated Monday, August 3rd. The stock was sold at an average price of $198.41, for a total transaction of $6,613,600.53. Following the completion of the transaction, the director owned 818,197 shares of the company's stock, valued at approximately $162,338,466.77. The trade was a 3.91% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 0.64% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new position in Diamondback Energy in the second quarter worth about $3,303,362,000. Wellington Management Group LLP increased its holdings in shares of Diamondback Energy by 31.3% in the 2nd quarter. Wellington Management Group LLP now owns 16,420,247 shares of the oil and natural gas company's stock worth $2,886,351,000 after purchasing an additional 3,918,943 shares in the last quarter. Bank of New York Mellon Corp bought a new stake in shares of Diamondback Energy in the 2nd quarter worth $852,791,000. Geode Capital Management LLC raised its stake in shares of Diamondback Energy by 0.3% in the fourth quarter. Geode Capital Management LLC now owns 5,621,120 shares of the oil and natural gas company's stock worth $844,073,000 after purchasing an additional 14,625 shares during the last quarter. Finally, Capital Research Global Investors lifted its holdings in shares of Diamondback Energy by 14.1% during the fourth quarter. Capital Research Global Investors now owns 4,332,885 shares of the oil and natural gas company's stock valued at $651,363,000 after purchasing an additional 534,073 shares in the last quarter. Hedge funds and other institutional investors own 90.01% of the company's stock.

About Diamondback Energy

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

Diamondback produces crude oil, natural gas and natural gas liquids. Its activities include drilling and completing horizontal wells, operating gathering and infrastructure assets, and managing mineral and royalty interests through its Viper Energy platform.

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.