FANG Stock Analysis: Diamondback Energy | NASDAQ
Oil & Gas E&P | NASDAQ, USA | Market Cap: 54.049m USD | 12M Return: 40.6% | US25278X1090 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 515M
EPS Trend: -83.4%
Qual. Beats: 2
Rev. Trend: 97.7%
Qual. Beats: 9
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Diamondback Energy, Inc. (FANG) is an independent oil and natural gas company focused on acquiring, developing, exploring, and exploiting unconventional, onshore reserves in the Permian Basin in West Texas. The companys operations are concentrated on the Spraberry and Wolfcamp formations of the Midland Basin, as well as the Wolfcamp and Bone Spring formations of the Delaware Basin, spanning parts of West Texas and New Mexico. Diamondback was founded in 2007 and is headquartered in Midland, Texas, and trades on the NASDAQ as a large-cap stock with a market capitalization of approximately $51.7 billion USD.
As an independent exploration and production (E&P) company, Diamondback operates without the refining or marketing arms of integrated oil majors, generating revenue primarily through the sale of crude oil, natural gas, and natural gas liquids produced from its acreage. The Permian Basin is one of the most prolific and lowest-cost shale producing regions in the United States, and FANGs concentration there reflects the broader industry trend of operators consolidating acreage and capital in the most economic core areas of major U.S. shale plays.
- WTI crude prices drive Permian revenue and free cash flow margins
- Production growth from Spraberry and Wolfcamp wells lifts total output
- Capital returns accelerate through dividends and share buybacks program
| Net Income: 1.59b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 20.98 > 1.0 |
| NWC/Revenue: -17.71% < 20% (prev -12.08%; Δ -5.62% < -1%) |
| CFO/TA 0.14 > 3% & CFO 10.1b > Net Income 1.59b |
| Net Debt (12.5b) to EBITDA (7.13b): 1.76 < 3 |
| Current Ratio: 0.47 > 1.5 & < 3 |
| Outstanding Shares: last quarter (281.2m) vs 12m ago -3.74% < -2% |
| Gross Margin: 44.46% > 18% (prev 40.30%; Δ 4.16% > 0.5%) |
| Asset Turnover: 24.06% > 50% (prev 19.48%; Δ 4.58% > 0%) |
| Interest Coverage Ratio: 7.0 > 6 (EBIT TTM 1.87b / Interest Expense TTM 267.0m) |
| A: -0.04 (Total Current Assets 2.65b - Total Current Liabilities 5.68b) / Total Assets 70.2b |
| B: 0.09 (Retained Earnings 6.04b / Total Assets 70.2b) |
| C: 0.03 (EBIT TTM 1.87b / Avg Total Assets 71.1b) |
| D: 1.44 (Book Value of Equity 37.9b / Total Liabilities 26.2b) |
| Altman-Z'' = 1.69 = BB |
| DSRI: 1.03 (Receivables 1.93b/1.53b, Revenue 17.1b/14.0b) |
| GMI: 0.91 (GM 40.30% / 44.46%) |
| AQI: 1.26 (AQ_t 0.01 / AQ_t-1 0.01) |
| SGI: 1.22 (Revenue 17.1b / 14.0b) |
| TATA: -0.12 (NI 1.59b - CFO 10.1b) / TA 70.2b) |
| Beneish M = -2.78 (Cap -4..+1) = A |
As of October 13, 2026, the stock is trading at USD 195.11 with a total of 2,444,248 shares traded. Over the past week, the price has changed by +5.99%, over one month by -5.16%, over three months by +2.39% and over the past year by +40.60%.
Current recommended Stop Loss: 183.50 (which is 6% or 2.3 ATR below the current price).
Diamondback Energy has received a consensus analysts rating of 4.52. Therefore, it is recommended to buy FANG.
- StrongBuy: 21
- Buy: 5
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 234.7 | 20.3% |
P/E Trailing = 36.5962
P/E Forward = 10.0301
P/S = 3.3112
P/B = 1.3717
P/EG = 22.2883
Revenue TTM = 17.1b USD
EBIT TTM = 1.87b USD
EBITDA TTM = 7.13b USD
Long Term Debt = 11.1b USD (from longTermDebt, last quarter)
Short Term Debt = 1.55b USD (from shortTermDebt, last quarter)
Debt = 13.0b USD (from shortLongTermDebtTotal, last quarter) + Leases 390.0m
Net Debt = 12.5b USD (calculated: Debt 13.0b - CCE 462.0m)
Enterprise Value = 66.6b USD (54.0b + Debt 13.0b - CCE 462.0m)
Interest Coverage Ratio = 7.0 (Ebit TTM 1.87b / Interest Expense TTM 267.0m)
EV/FCF = 10.25x (Enterprise Value 66.6b / FCF TTM 6.50b)
FCF Yield = 9.76% (FCF TTM 6.50b / Enterprise Value 66.6b)
FCF Margin = 37.99% (FCF TTM 6.50b / Revenue TTM 17.1b)
Net Margin = 9.27% (Net Income TTM 1.59b / Revenue TTM 17.1b)
Gross Margin = 44.46% ((Revenue TTM 17.1b - Cost of Revenue TTM 9.50b) / Revenue TTM)
Gross Margin QoQ = 45.16% (prev 68.68%)
Tobins Q-Ratio = 0.95 (Enterprise Value 66.6b / Total Assets 70.2b)
Interest Expense / Debt = 2.05% (Interest Expense 267.0m / Debt 13.0b)
Taxrate = 17.97% (332.0m / 1.85b)
NOPAT = 1.53b (EBIT 1.87b * (1 - 17.97%))
Current Ratio = 0.47 (Total Current Assets 2.65b / Total Current Liabilities 5.68b)
Debt / Equity = 0.34 (Debt 13.0b / totalStockholderEquity, last quarter 37.9b)
Debt / EBITDA = 1.76 (Net Debt 12.5b / EBITDA 7.13b)
Debt / FCF = 1.93 (Net Debt 12.5b / FCF TTM 6.50b)
Total Stockholder Equity = 37.6b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.23% (Net Income 1.59b / Total Assets 70.2b)
RoE = 4.22% (Net Income TTM 1.59b / Total Stockholder Equity 37.6b)
RoCE = 3.84% (EBIT 1.87b / Capital Employed (Equity 37.6b + L.T.Debt 11.1b))
RoIC = 2.34% (NOPAT 1.53b / Invested Capital 65.6b)
WACC = 5.98% (E(54.0b)/V(67.1b) * Re(7.01%) + D(13.0b)/V(67.1b) * Rd(2.05%) * (1-Tc(0.18)))
Discount Rate = 7.01% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 76.75 | Cagr: 22.39%
[DCF] Terminal Value 75.44% ; FCFF base≈6.50b ; Y1≈6.52b ; Y5≈6.91b
[DCF] Fair Price = 337.5 (EV 107b - Net Debt 12.5b = Equity 94.9b / Shares 281.3m; r=8.35% [WACC [floored]]; 5y FCF grow 0.0% → 2.50% )
EPS Correlation: -83.40 | EPS CAGR: -14.23% | SUE: 1.27 | # QB: 2
Revenue Correlation: 97.71 | Revenue CAGR: 34.20% | SUE: 4.0 | # QB: 9
EPS current Quarter (2026-09-30): EPS=5.02 | Chg30d=+2.89% | Revisions=+29% | Analysts=25
EPS current Year (2026-12-31): EPS=20.96 | Chg30d=+2.50% | Revisions=+44% | GrowthEPS=+56.8% | GrowthRev=+25.7%
EPS next Year (2027-12-31): EPS=18.74 | Chg30d=+3.65% | Revisions=+50% | GrowthEPS=-10.6% | GrowthRev=-6.8%
[Analyst] Revisions Ratio: +55% (up=14, down=3)