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DOW   36,124.56
QQQ   387.29
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How to Invest Early In the Next Potential Breakthrough Nerve-Sensing Technology (Ad)
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The Strategic Gold Play You Haven't Heard About (Ad)
The truth about DocuSign's relevancy in today's world: Surprise
SoFi expands ETF business with options-driven income fund

Diamondback Energy Stock Price, News & Analysis (NASDAQ:FANG)

$150.15
-3.71 (-2.41%)
(As of 12/5/2023 ET)
Compare
Today's Range
$150.05
$154.34
50-Day Range
$145.12
$169.92
52-Week Range
$119.01
$171.40
Volume
1.84 million shs
Average Volume
2.04 million shs
Market Capitalization
$26.88 billion
P/E Ratio
8.52
Dividend Yield
2.24%
Price Target
$183.69

Diamondback Energy MarketRank™ Stock Analysis

Analyst Rating
Buy
3.00 Rating Score
Upside/​Downside
22.3% Upside
$183.69 Price Target
Short Interest
Healthy
3.62% of Float Sold Short
Dividend Strength
Strong
Based on Four Factors
Sustainability
-7.40
Upright™ Environmental Score
News Sentiment
0.65mentions of Diamondback Energy in the last 14 days
Based on 20 Articles This Week
Insider Trading
Selling Shares
$1.68 M Sold Last Quarter
Proj. Earnings Growth
15.07%
From $18.84 to $21.68 Per Share

Overall MarketRank

MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation.

3.12 out of 5 stars

Oils/Energy Sector

9th out of 210 stocks

Crude Petroleum & Natural Gas Industry

4th out of 63 stocks


FANG stock logo

About Diamondback Energy Stock (NASDAQ:FANG)

Diamondback Energy, Inc. is an independent oil and natural gas company headquartered in Midland, Texas. Founded in 2007, Diamondback Energy's mission is to provide sustainable energy to the world while maintaining a commitment to safety, environmental stewardship, and operational excellence. The company primarily focuses on acquiring, developing, exploring, and producing oil and natural gas reserves in the Permian Basin of West Texas.

Diamondback Energy's essential products and services include the exploration, development, and production of crude oil and natural gas. The company's target market primarily comprises commercial and industrial customers who rely on oil and natural gas for energy. Its key customers include midstream companies, refineries, and petrochemical producers. Diamondback Energy has received multiple awards and recognition for its environmental and safety efforts, including the "Environmental Stewardship Award" from the Independent Petroleum Association of America.

Diamondback Energy's leadership team comprises experienced professionals with diverse backgrounds in the energy industry. Travis Stice has served as the company's Chief Executive Officer since its founding and has over 30 years of experience in the industry. 

Diamondback Energy has experienced strong financial performance recently, with revenues increasing and positive earnings per share for the past several years, with EPS growing yearly. Diamondback Energy's profit margin is higher than the industry average, and the company has a relatively low debt-to-equity ratio indicating a relatively low level of debt financing.

Diamondback Energy's current market capitalization is around $25 billion, with a price-to-earnings ratio and a price-to-book ratio lower than industry averages. This suggests that the market is pricing in some growth potential for the company.

The stock has been volatile due to concerns about rising inflation and interest rates. The volatility reflects the broader market's uncertainty about the trajectory of interest rates and the potential impact on economic growth and corporate earnings. However, the company's strong financial position and efficient operations should enable it to weather any possible downturn in the energy market.

Diamondback Energy operates in the oil and gas exploration and production industry, specifically focused on the Permian Basin, one of the largest and most productive oil and gas regions in the United States. The company's competitors include other sizeable independent exploration and production companies, such as Concho Resources and Pioneer Natural Resources, as well as integrated oil and gas companies like Chevron and ExxonMobil.

The industry has undergone significant consolidation in recent years, with several large mergers and acquisitions, as companies look to achieve scale and cost efficiencies. The sector also faces regulatory and political risks, with potential changes in tax policies and environmental regulations that could impact profitability.

Diamondback Energy has a solid competitive position in the industry, focusing on operational efficiency and cost control, allowing it to maintain profitability even in challenging market conditions. The company has also invested in technology and innovation, including using artificial intelligence and machine learning to optimize drilling and completion operations.

Diamondback Energy's growth opportunities primarily focus on expanding its presence in the Permian Basin by exploring and developing new oil and gas reserves. The company has a strong track record of successful drilling and completion operations, and its efficient operations and low-cost structure provide a competitive advantage in the industry.

In addition to organic growth, Diamondback Energy has also pursued acquisitions in the past, acquiring Energen Corporation in 2018 for $9.2 billion. The company has indicated that it remains open to further acquisition opportunities that can drive shareholder growth and value.

Diamondback Energy faces several risks and challenges that could impact its future performance. The company is highly dependent on the price of oil and gas, which can be volatile and subject to significant fluctuations. Additionally, the industry is subject to regulatory and political risks, which could impact profitability and the ability to operate in certain areas.

The company also faces competition from other large independent exploration and production companies and integrated oil and gas companies, which could impact market share and profitability. However, Diamondback Energy's focus on operational efficiency and cost control provides an industry competitive advantage.

FANG Stock Price History

FANG Stock News Headlines

Diamondback Energy: An Attractive Stock To Consider
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Energy Storage Trend Ignites Frenzy Over Vanadium Supply
As the world shifts to renewables such as wind and solar, how will we store all this energy? Vanadium batteries are the breakthrough that some experts predict will be the future of grid-scale energy storage. The problem is, only 5% of vanadium is mined in the U.S. - and China and Russia have a stranglehold on our supply.
Diamondback Energy (NASDAQ:FANG) PT Raised to $194.00
Energy Storage Trend Ignites Frenzy Over Vanadium Supply
As the world shifts to renewables such as wind and solar, how will we store all this energy? Vanadium batteries are the breakthrough that some experts predict will be the future of grid-scale energy storage. The problem is, only 5% of vanadium is mined in the U.S. - and China and Russia have a stranglehold on our supply.
American Oil—Good to the Last Drop?
With Diamondback Energy It's About the Long-Term
Q3 2023 Diamondback Energy Inc Earnings Call
See More Headlines
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Company Calendar

Last Earnings
11/06/2023
Ex-Dividend for 11/24 Dividend
11/15/2023
Dividend Payable
11/24/2023
Today
12/05/2023
Fiscal Year End
12/31/2023
Next Earnings (Estimated)
2/20/2024

Industry, Sector and Symbol

Industry
Crude petroleum & natural gas
Sub-Industry
Oil & Gas Exploration & Production
Current Symbol
NASDAQ:FANG
CUSIP
25278X10
Fax
N/A
Employees
972
Year Founded
2007

Price Target and Rating

Average Stock Price Target
$183.69
High Stock Price Target
$225.00
Low Stock Price Target
$145.00
Potential Upside/Downside
+22.3%
Consensus Rating
Buy
Rating Score (0-4)
3.00
Research Coverage
16 Analysts

Profitability

Net Income
$4.39 billion
Pretax Margin
51.89%

Debt

Sales & Book Value

Annual Sales
$9.64 billion
Cash Flow
$30.52 per share
Book Value
$87.43 per share

Miscellaneous

Free Float
178,215,000
Market Cap
$26.88 billion
Optionable
Optionable
Beta
1.89

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Should I Buy Diamondback Energy Stock? FANG Pros and Cons Explained

These insights were generated using artificial intelligence. They are based on proprietary MarketBeat data, news articles, and custom LLM A.I. algorithms. This analysis of Diamondback Energy was last updated on Tuesday, November 28, 2023 at 11:48 AM.

Pros

Here are some ways that investors could benefit from investing in Diamondback Energy, Inc.:

  • Diamondback Energy has a strong financial performance, with a return on equity of 20.66% and a net margin of 38.84%. This indicates that the company is efficiently utilizing its resources and generating profits.
  • The company has consistently beaten earnings estimates, as seen in its latest earnings release. Diamondback Energy reported $5.49 earnings per share for the quarter, beating the consensus estimate of $4.90 by $0.59. This demonstrates the company's ability to outperform market expectations.
  • Diamondback Energy has a diverse portfolio, with operations in both oil and natural gas. This diversification helps mitigate risks associated with fluctuations in commodity prices and allows the company to capitalize on opportunities in both sectors.
  • The company has a strong market position, with a market capitalization of $27.59 billion. This indicates that Diamondback Energy is a significant player in the industry and has the resources to pursue growth opportunities.
  • The stock price of Diamondback Energy has been on the rise, with a 12-month high of $171.40. This suggests that the market has confidence in the company's future prospects and potential for growth.

Cons

Investors should be bearish about investing in Diamondback Energy, Inc. for these reasons:

  • The company's stock has a beta of 1.98, indicating that it is more volatile than the overall market. This means that the stock price of Diamondback Energy may experience larger fluctuations in response to market conditions.
  • Diamondback Energy operates in the oil and natural gas industry, which is subject to regulatory and environmental risks. Changes in regulations or environmental concerns could impact the company's operations and profitability.
  • The company has a debt-to-equity ratio of 0.37, indicating that it has a moderate level of debt. Investors should consider the company's ability to manage its debt obligations and the associated interest costs.
  • Fluctuations in commodity prices, particularly oil and natural gas prices, can significantly impact the financial performance of Diamondback Energy. Investors should be aware of the inherent volatility in the energy market.
  • While Diamondback Energy has a strong market position, competition in the oil and natural gas industry is intense. Investors should consider the competitive landscape and the company's ability to maintain its market share.














FANG Stock Analysis - Frequently Asked Questions

Should I buy or sell Diamondback Energy stock right now?

16 Wall Street equities research analysts have issued "buy," "hold," and "sell" ratings for Diamondback Energy in the last year. There are currently 1 hold rating, 14 buy ratings and 1 strong buy rating for the stock. The consensus among Wall Street equities research analysts is that investors should "buy" FANG shares.
View FANG analyst ratings
or view top-rated stocks.

What is Diamondback Energy's stock price target for 2024?

16 brokers have issued 12 month price objectives for Diamondback Energy's shares. Their FANG share price targets range from $145.00 to $225.00. On average, they expect the company's share price to reach $183.69 in the next twelve months. This suggests a possible upside of 22.3% from the stock's current price.
View analysts price targets for FANG
or view top-rated stocks among Wall Street analysts.

How have FANG shares performed in 2023?

Diamondback Energy's stock was trading at $136.78 at the beginning of 2023. Since then, FANG stock has increased by 9.8% and is now trading at $150.15.
View the best growth stocks for 2023 here
.

Are investors shorting Diamondback Energy?

Diamondback Energy saw a increase in short interest in the month of November. As of November 15th, there was short interest totaling 6,230,000 shares, an increase of 16.0% from the October 31st total of 5,370,000 shares. Based on an average daily volume of 1,950,000 shares, the short-interest ratio is currently 3.2 days. Approximately 3.6% of the shares of the company are short sold.
View Diamondback Energy's Short Interest
.

When is Diamondback Energy's next earnings date?

The company is scheduled to release its next quarterly earnings announcement on Tuesday, February 20th 2024.
View our FANG earnings forecast
.

How were Diamondback Energy's earnings last quarter?

Diamondback Energy, Inc. (NASDAQ:FANG) announced its earnings results on Monday, November, 6th. The oil and natural gas company reported $5.49 EPS for the quarter, beating analysts' consensus estimates of $4.90 by $0.59. The oil and natural gas company earned $2.34 billion during the quarter, compared to analyst estimates of $2.21 billion. Diamondback Energy had a trailing twelve-month return on equity of 20.66% and a net margin of 38.84%. The business's quarterly revenue was down 4.0% on a year-over-year basis. During the same period in the prior year, the business posted $6.48 EPS.
Read the conference call transcript
.

How often does Diamondback Energy pay dividends? What is the dividend yield for Diamondback Energy?

Diamondback Energy declared a quarterly dividend on Monday, November 6th. Stockholders of record on Thursday, November 16th will be paid a dividend of $0.84 per share on Friday, November 24th. This represents a $3.36 annualized dividend and a dividend yield of 2.24%. The ex-dividend date of this dividend is Wednesday, November 15th.
Read our dividend analysis for FANG
.

Is Diamondback Energy a good dividend stock?

Diamondback Energy (NASDAQ:FANG) pays an annual dividend of $3.36 per share and currently has a dividend yield of 2.18%. The company has been increasing its dividend for 5 consecutive years, indicating the company has a new, but growing committment to grow its dividend. The dividend payout ratio is 19.07%. This payout ratio is at a healthy, sustainable level, below 75%. Based on earnings estimates, FANG will have a dividend payout ratio of 15.50% next year. This indicates that the company will be able to sustain or increase its dividend.
Read our dividend analysis for FANG.

How will Diamondback Energy's stock buyback program work?

Diamondback Energy announced that its Board of Directors has initiated a share repurchase program on Monday, August 1st 2022, which permits the company to buyback $4,000,000,000.00 in outstanding shares, according to EventVestor. This buyback authorization permits the company to reacquire up to 17.9% of its shares through open market purchases. Shares buyback programs are usually a sign that the company's management believes its stock is undervalued.

What is Travis D. Stice's approval rating as Diamondback Energy's CEO?

26 employees have rated Diamondback Energy Chief Executive Officer Travis D. Stice on Glassdoor.com. Travis D. Stice has an approval rating of 96% among the company's employees. This puts Travis D. Stice in the top 30% of approval ratings compared to other CEOs of publicly-traded companies. 66.0% of employees surveyed would recommend working at Diamondback Energy to a friend.

What other stocks do shareholders of Diamondback Energy own?

Based on aggregate information from My MarketBeat watchlists, some companies that other Diamondback Energy investors own include Alibaba Group (BABA), NVIDIA (NVDA), Micron Technology (MU), Intel (INTC), Tesla (TSLA), Walt Disney (DIS), Advanced Micro Devices (AMD), Boeing (BA), Johnson & Johnson (JNJ) and Netflix (NFLX).

Who are Diamondback Energy's major shareholders?

Diamondback Energy's stock is owned by a number of institutional and retail investors. Top institutional investors include Wellington Management Group LLP (7.97%), Blackstone Inc. (3.27%), FMR LLC (3.12%), Morgan Stanley (1.95%), Invesco Ltd. (1.86%) and Massachusetts Financial Services Co. MA (1.68%). Insiders that own company stock include Daniel N Wesson, David L Houston, Hof Matthew Kaes Van't, Matt Zmigrosky, Michael P Cross, Russell Pantermuehl, Steven E West, Teresa L Dick, Thomas F Hawkins and Travis D Stice.
View institutional ownership trends
.

How do I buy shares of Diamondback Energy?

Shares of FANG stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include WeBull, Vanguard Brokerage Services, TD Ameritrade, E*TRADE, Robinhood, Fidelity, and Charles Schwab.
Compare Top Brokerages Here.

This page (NASDAQ:FANG) was last updated on 12/6/2023 by MarketBeat.com Staff

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