Zacks Research Has Pessimistic Outlook of FANG Q4 Earnings

Key Points

• Zacks Research has lowered its Q4 2025 earnings per share estimate for Diamondback Energy from $2.80 to $2.65, indicating a pessimistic outlook for the company.
• In its last earnings report, Diamondback Energy missed expectations with $2.67 EPS, despite a revenue of $3.68 billion, which surpassed analyst estimates of $3.35 billion.
• Institutional investors hold 90.01% of Diamondback Energy's stock, showing strong interest and investment from major financial players in the firm.

Diamondback Energy, Inc. (NASDAQ:FANG - Free Report) - Research analysts at Zacks Research reduced their Q4 2025 earnings per share estimates for Diamondback Energy in a report issued on Monday, September 15th. Zacks Research analyst Team now expects that the oil and natural gas company will earn $2.65 per share for the quarter, down from their prior forecast of $2.80. The consensus estimate for Diamondback Energy's current full-year earnings is $15.49 per share. Zacks Research also issued estimates for Diamondback Energy's Q1 2026 earnings at $2.69 EPS, Q2 2026 earnings at $2.53 EPS, FY2026 earnings at $10.69 EPS and Q1 2027 earnings at $2.95 EPS.

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

A number of other brokerages also recently issued reports on FANG. Wells Fargo & Company upped their price target on Diamondback Energy from $210.00 to $211.00 and gave the company an "overweight" rating in a report on Thursday, August 14th. Piper Sandler reduced their price objective 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. Melius Research started coverage on Diamondback Energy in a research note on Wednesday, August 20th. They issued a "buy" rating and a $213.00 price objective for the company. Scotiabank reiterated an "outperform" rating on shares of Diamondback Energy in a research note on Friday, July 11th. Finally, Melius started coverage on Diamondback Energy in a research note on Wednesday, August 20th. They issued a "buy" rating and a $213.00 price objective for the company. Two equities research analysts have rated the stock with a Strong Buy rating and twenty-one have issued a Buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of "Buy" and a consensus target price of $193.39.

Diamondback Energy Stock Performance

Shares of FANG opened at $134.53 on Tuesday. The stock has a 50 day moving average price of $142.61 and a 200 day moving average price of $141.88. The company has a quick ratio of 0.52, a current ratio of 0.55 and a debt-to-equity ratio of 0.35. The company has a market capitalization of $38.95 billion, a price-to-earnings ratio of 9.56 and a beta of 1.15. Diamondback Energy has a 52-week low of $114.00 and a 52-week high of $200.47.

Diamondback Energy Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, August 21st. Stockholders of record on Thursday, August 14th were paid a dividend of $1.00 per share. This represents a $4.00 annualized dividend and a dividend yield of 3.0%. The ex-dividend date was Thursday, August 14th. Diamondback Energy's dividend payout ratio is 28.43%.

Insider Activity at Diamondback Energy

In other news, Chairman Travis D. Stice sold 20,400 shares of the company'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 owned 102,145 shares in the company, valued at $14,586,306. This represents a 16.65% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 0.48% of the stock is owned by company insiders.

Institutional Investors Weigh In On Diamondback Energy

Large investors have recently modified their holdings of the stock. Vanguard Group Inc. raised its position in Diamondback Energy by 1.7% in the second quarter. Vanguard Group Inc. now owns 23,325,287 shares of the oil and natural gas company's stock worth $3,204,894,000 after acquiring an additional 388,512 shares in the last quarter. Boston Partners raised its position in Diamondback Energy by 2.8% in the second quarter. Boston Partners now owns 5,569,990 shares of the oil and natural gas company's stock worth $766,914,000 after acquiring an additional 151,150 shares in the last quarter. Geode Capital Management LLC raised its position in Diamondback Energy by 2.7% in the second quarter. Geode Capital Management LLC now owns 5,441,649 shares of the oil and natural gas company's stock worth $746,526,000 after acquiring an additional 142,649 shares in the last quarter. Bank of New York Mellon Corp raised its position in Diamondback Energy by 9.0% in the second quarter. Bank of New York Mellon Corp now owns 4,642,218 shares of the oil and natural gas company's stock worth $637,841,000 after acquiring an additional 384,971 shares in the last quarter. Finally, Demars Financial Group LLC raised its position in Diamondback Energy by 5.3% in the first quarter. Demars Financial Group LLC now owns 4,102,785 shares of the oil and natural gas company's stock worth $655,953,000 after acquiring an additional 208,200 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, 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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