Q3 EPS Estimate for Diamondback Energy Lowered by Analyst

Key Points

• Zacks Research cut Diamondback Energy’s Q3 2026 EPS estimate to $2.70 from $4.32 and also lowered several later-period forecasts, signaling weaker expected profitability.
• Despite the forecast reductions, analysts maintain a generally positive view: FANG has an average “Buy” rating and a consensus price target of $221.75, with recent targets ranging up to $248.
• Diamondback recently exceeded quarterly expectations with $6.48 EPS and $5.56 billion in revenue, while declaring a $1.10 quarterly dividend, equivalent to a 2.1% yield.

Diamondback Energy, Inc. (NASDAQ:FANG - Free Report) - Research analysts at Zacks Research dropped their Q3 2026 EPS estimates for shares of Diamondback Energy in a research report issued on Monday, August 17th. Zacks Research analyst Team now expects that the oil and natural gas company will post earnings per share of $2.70 for the quarter, down from their prior forecast of $4.32. Zacks Research has a "Hold" rating on the stock. The consensus estimate for Diamondback Energy's current full-year earnings is $19.50 per share. Zacks Research also issued estimates for Diamondback Energy's Q4 2026 earnings at $3.11 EPS, FY2026 earnings at $16.52 EPS, Q1 2027 earnings at $4.27 EPS, Q4 2027 earnings at $3.08 EPS, FY2027 earnings at $14.95 EPS, Q1 2028 earnings at $3.12 EPS and Q2 2028 earnings at $4.37 EPS.

Other research analysts have also issued research reports about the company. Mizuho upped their price objective on Diamondback Energy from $220.00 to $240.00 and gave the stock an "outperform" rating in a report on Wednesday, May 27th. Barclays cut their price target on shares of Diamondback Energy from $232.00 to $221.00 and set an "overweight" rating for the company in a report on Monday. Wolfe Research reissued an "outperform" rating and set a $206.00 price objective on shares of Diamondback Energy in a report on Tuesday, August 4th. Truist Financial upped their target price on shares of Diamondback Energy from $220.00 to $224.00 and gave the stock a "buy" rating in a research report on Wednesday, August 5th. Finally, Raymond James Financial reaffirmed a "strong-buy" rating and issued a $248.00 target price on shares of Diamondback Energy in a report on Friday, July 31st. Four investment analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and four have assigned a Hold rating to the company. According to data from MarketBeat, Diamondback Energy currently has an average rating of "Buy" and a consensus price target of $221.75.

Diamondback Energy Price Performance

Shares of FANG opened at $210.02 on Wednesday. The company has a current ratio of 0.47, a quick ratio of 0.45 and a debt-to-equity ratio of 0.25. The stock's 50 day moving average is $190.79 and its two-hundred day moving average is $188.42. Diamondback Energy has a twelve month low of $134.30 and a twelve month high of $214.51. The firm has a market capitalization of $58.81 billion, a PE ratio of 40.94 and a beta of 0.43.

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

Institutional Investors Weigh In On Diamondback Energy

Several hedge funds have recently modified their holdings of the company. Transamerica Financial Advisors LLC grew its stake in Diamondback Energy by 21.0% during the second quarter. Transamerica Financial Advisors LLC now owns 294 shares of the oil and natural gas company's stock valued at $52,000 after acquiring an additional 51 shares in the last quarter. Deseret Mutual Benefit Administrators lifted its stake in Diamondback Energy by 31.7% in the 4th quarter. Deseret Mutual Benefit Administrators now owns 274 shares of the oil and natural gas company's stock worth $41,000 after purchasing an additional 66 shares in the last quarter. Scotia Capital Inc. boosted its holdings in Diamondback Energy by 0.3% in the 3rd quarter. Scotia Capital Inc. now owns 19,719 shares of the oil and natural gas company's stock valued at $2,822,000 after purchasing an additional 68 shares during the period. Capital Financial Group Inc. Co. ADV grew its position in shares of Diamondback Energy by 2.1% during the 1st quarter. Capital Financial Group Inc. Co. ADV now owns 3,584 shares of the oil and natural gas company's stock valued at $709,000 after purchasing an additional 75 shares in the last quarter. Finally, Kestra Private Wealth Services LLC increased its holdings in shares of Diamondback Energy by 0.5% in the third quarter. Kestra Private Wealth Services LLC now owns 17,564 shares of the oil and natural gas company's stock worth $2,513,000 after purchasing an additional 86 shares during the period. 90.01% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling

In related news, Director Charles Alvin Meloy sold 83,334 shares of Diamondback Energy stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $187.12, for a total transaction of $15,593,458.08. Following the completion of the sale, the director owned 851,530 shares in the company, valued at approximately $159,338,293.60. This trade represents a 8.91% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Mark Lawrence Plaumann sold 500 shares of Diamondback Energy stock in a transaction dated Tuesday, June 9th. The stock was sold at an average price of $196.50, for a total value of $98,250.00. Following the sale, the director owned 13,437 shares of the company's stock, valued at approximately $2,640,370.50. This represents a 3.59% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 129,167 shares of company stock valued at $24,714,309. 0.64% of the stock is owned by insiders.

Diamondback Energy Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 20th. Stockholders of record on Thursday, August 13th will be issued a $1.10 dividend. This represents a $4.40 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date of this dividend is Thursday, August 13th. Diamondback Energy's payout ratio is 85.77%.

More Diamondback Energy News

Here are the key news stories impacting Diamondback Energy this week:

• Positive Sentiment: Diamondback’s participation in new Permian-to-Katy gas and Solitude pipeline ventures is reshaping its investment story toward greater midstream exposure. The projects could improve market access, support long-term production growth and diversify revenue beyond oil and gas production. How Diamondback’s Permian-to-Katy Gas Pipeline Bet Has Changed Its Investment Story
• Positive Sentiment: Zacks Research raised its Q2 2028 EPS forecast to $4.37 from $3.51 and increased its FY2028 estimate to $15.37 from $14.83, suggesting analysts see potential for longer-term earnings resilience from Diamondback’s operations and infrastructure investments.
• Neutral Sentiment: Analysts continue to rate FANG “Hold.” An article discussing whether the shares are undervalued after Diamondback joined the Solitude pipeline venture may reinforce investor interest, although it does not represent a formal rating change. Is Diamondback Energy Undervalued As It Joins the Solitude Pipeline Venture?
• Negative Sentiment: Zacks Research lowered several earnings forecasts, including Q3 2026 EPS to $2.70 from $4.32, Q4 2026 EPS to $3.11 from $4.19, FY2026 EPS to $16.52 from $18.11, and FY2027 EPS to $14.95 from $16.42. It also reduced Q1 2027, Q4 2027, Q2 2027 and Q3 2027 estimates, signaling weaker expected near-term profitability.

About Diamondback Energy

Diamondback Energy, Inc NASDAQ: FANG is an independent oil and natural gas company focused on the development, exploration and production of unconventional resources in the Permian Basin. Headquartered in Midland, Texas, the company concentrates its operations in the core Midland and Delaware sub‑basins of West Texas and southeastern New Mexico, where it pursues contiguous acreage positions to support repeatable drilling programs.

Diamondback's activities span the upstream value chain, including leasehold acquisition, well planning, drilling, completion and production optimization.

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.

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