NasdaqGS:FANG

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Executive Summary

Diamondback Energy, Inc., an independent oil and natural gas company, focuses on the acquisition, development, exploration, and exploitation of unconventional and onshore oil and natural gas reserves in the Permian Basin in West Texas. More Details


Snowflake Analysis

Moderate growth potential second-rate dividend payer.


Similar Companies

Share Price & News

How has Diamondback Energy's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FANG's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-0.4%

FANG

-4.4%

US Oil and Gas

-1.4%

US Market


1 Year Return

-66.6%

FANG

-47.5%

US Oil and Gas

17.8%

US Market

Return vs Industry: FANG underperformed the US Oil and Gas industry which returned -46.7% over the past year.

Return vs Market: FANG underperformed the US Market which returned 18.5% over the past year.


Shareholder returns

FANGIndustryMarket
7 Day-0.4%-4.4%-1.4%
30 Day-2.4%-4.8%4.7%
90 Day-28.4%-18.3%8.2%
1 Year-65.8%-66.6%-44.3%-47.5%20.5%17.8%
3 Year-71.1%-72.1%-46.8%-53.8%42.2%32.7%
5 Year-59.1%-60.5%-44.0%-54.8%83.4%62.7%

Price Volatility Vs. Market

How volatile is Diamondback Energy's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Diamondback Energy undervalued compared to its fair value and its price relative to the market?

0.43x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: FANG ($27.71) is trading above our estimate of fair value ($15.91)

Significantly Below Fair Value: FANG is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: FANG is unprofitable, so we can't compare its PE Ratio to the US Oil and Gas industry average.

PE vs Market: FANG is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate FANG's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: FANG is good value based on its PB Ratio (0.4x) compared to the US Oil and Gas industry average (0.8x).


Next Steps

Future Growth

How is Diamondback Energy forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

79.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FANG is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2.2%).

Earnings vs Market: FANG is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: FANG's is expected to become profitable in the next 3 years.

Revenue vs Market: FANG's revenue (9.7% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: FANG's revenue (9.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: FANG's Return on Equity is forecast to be low in 3 years time (5.8%).


Next Steps

Past Performance

How has Diamondback Energy performed over the past 5 years?

11.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FANG is currently unprofitable.

Growing Profit Margin: FANG is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: FANG is unprofitable, but has reduced losses over the past 5 years at a rate of 11.5% per year.

Accelerating Growth: Unable to compare FANG's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: FANG is unprofitable, making it difficult to compare its past year earnings growth to the Oil and Gas industry (-38%).


Return on Equity

High ROE: FANG has a negative Return on Equity (-24.46%), as it is currently unprofitable.


Next Steps

Financial Health

How is Diamondback Energy's financial position?


Financial Position Analysis

Short Term Liabilities: FANG's short term assets ($654.0M) do not cover its short term liabilities ($1.1B).

Long Term Liabilities: FANG's short term assets ($654.0M) do not cover its long term liabilities ($7.4B).


Debt to Equity History and Analysis

Debt Level: FANG's debt to equity ratio (50.3%) is considered high.

Reducing Debt: FANG's debt to equity ratio has increased from 31.8% to 50.3% over the past 5 years.

Debt Coverage: FANG's debt is well covered by operating cash flow (48.1%).

Interest Coverage: FANG is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Diamondback Energy current dividend yield, its reliability and sustainability?

5.14%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: FANG's dividend (5.41%) is higher than the bottom 25% of dividend payers in the US market (1.64%).

High Dividend: FANG's dividend (5.41%) is in the top 25% of dividend payers in the US market (4.68%)


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, FANG has been paying a dividend for less than 10 years.

Growing Dividend: FANG's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: FANG is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: FANG's dividends in 3 years are forecast to be well covered by earnings (27.5% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Travis Stice (58 yo)

8.75yrs

Tenure

US$16,049,656

Compensation

Mr. Travis D. Stice has been Chief Executive Officer and Director of Energen Corporation since November 29, 2018. Mr. Stice serves as the Chief Executive Officer and Director of Viper Energy Partners GP LL ...


CEO Compensation Analysis

Compensation vs Market: Travis's total compensation ($USD16.05M) is above average for companies of similar size in the US market ($USD5.63M).

Compensation vs Earnings: Travis's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Travis Stice
CEO & Director8.75yrsUS$16.05m0.28%
$ 12.7m
Matthew Van't Hof
CFO & Executive VP of Business Development1.58yrsUS$31.06m0.017%
$ 763.8k
Teresa Dick
Chief Accounting Officer1.58yrsUS$4.85m0.028%
$ 1.3m
P. Zmigrosky
Executive VP1.67yrsUS$3.88m0.0032%
$ 145.5k
Russell Pantermuehl
Executive VP & Chief Engineer3.75yrsUS$7.27m0.072%
$ 3.3m
Thomas Hawkins
Executive Vice President of Land3.58yrsUS$3.72m0.011%
$ 508.3k
Daniel Wesson
Executive Vice President of Operations1.08yrsno data0.0067%
$ 310.3k
Adam Lawlis
Vice President of Investor Relationsno datano datano data
Jennifer Soliman
Executive VP & Chief Human Resources Officer2.75yrsno data0.0015%
$ 70.4k
David Cannon
Senior Vice President of Geoscience and Technology1.58yrsno datano data
W. Dingler
Senior VP of Government Affairs & Deputy General Counsel1.58yrsno datano data
Joe Niederhofer
Senior Vice President of Midstream Operations1.58yrsno datano data

1.6yrs

Average Tenure

50yo

Average Age

Experienced Management: FANG's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Travis Stice
CEO & Director8.75yrsUS$16.05m0.28%
$ 12.7m
David Houston
Independent Lead Directorno dataUS$276.00k0.0072%
$ 331.5k
Michael Cross
Independent Director8yrsUS$276.00k0.011%
$ 492.1k
Steven West
Independent Chairman of the Board8yrsUS$379.75k0.0059%
$ 271.2k
Mark Plaumann
Independent Director8yrsUS$276.00k0.0064%
$ 295.6k
Melanie Trent
Independent Director2.5yrsUS$268.50k0.0022%
$ 99.4k
Stephanie Mains
Independent Director0.50yrno datano data
Vincent Brooks
Independent Director0.50yrno datano data

7.9yrs

Average Tenure

60.5yo

Average Age

Experienced Board: FANG's board of directors are considered experienced (7.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Diamondback Energy, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Diamondback Energy, Inc.
  • Ticker: FANG
  • Exchange: NasdaqGS
  • Founded: 2007
  • Industry: Oil and Gas Exploration and Production
  • Sector: Energy
  • Market Cap: US$4.604b
  • Shares outstanding: 157.82m
  • Website: https://www.diamondbackenergy.com

Number of Employees


Location

  • Diamondback Energy, Inc.
  • 500 West Texas Avenue
  • Suite 1200
  • Midland
  • Texas
  • 79701
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FANGNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDOct 2012
7DBDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2012
FANG *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNOct 2012
F1AN34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 2 REPR 1 SHS UNSPONBRBRLJan 2020

Biography

Diamondback Energy, Inc., an independent oil and natural gas company, focuses on the acquisition, development, exploration, and exploitation of unconventional and onshore oil and natural gas reserves in th ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/23 01:04
End of Day Share Price2020/10/22 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.