Diversified Energy Company

NYSE:DEC Stock Report

Market Cap: US$1.0b

Diversified Energy Management

Management criteria checks 3/4

Diversified Energy's CEO is Rusty Hutson, appointed in Jan 2001, has a tenure of 25.5 years. total yearly compensation is $5.00M, comprised of 16.2% salary and 83.8% bonuses, including company stock and options. directly owns 1.83% of the company’s shares, worth $18.91M. The average tenure of the management team and the board of directors is 2.8 years and 8.3 years respectively.

Key information

Rusty Hutson

Chief executive officer

US$5.0m

Total compensation

CEO salary percentage16.15%
CEO tenure25.5yrs
CEO ownership1.8%
Management average tenure2.8yrs
Board average tenure8.3yrs

Recent management updates

Recent updates

Narrative Update • Jun 26

DEC: Anadarko Basin Expansion And Buybacks Will Support Future Upside

Analysts have raised their price target for Diversified Energy from $20.50 to about $22.43, citing updated assumptions around fair value, discount rate, revenue growth, profit margin and future P/E as key drivers of the revision. What’s in the News for Diversified Energy Diversified Energy and Carlyle's Global Credit platform agreed to acquire a bolt-on portfolio of oil and natural gas properties in the Anadarko Basin of Oklahoma from Camino Natural Resources, with Diversified funding about $210 million through its senior secured bank facility.
Seeking Alpha • Jun 08

Diversified Energy: Stronger Numbers, Same Complicated Model

Summary Diversified Energy has improved operationally, with Q1 2026 production, adjusted EBITDA, and free cash flow all showing significant growth. DEC's acquisition-driven scale, particularly from Maverick, Sheridan, and Camino, is enhancing cash flow but increasing business complexity and integration risks. Leverage has decreased to 2.2x net debt/EBITDA, supporting ongoing dividends and buybacks, yet the debt-heavy, acquisition-dependent model remains a key risk. My valuation finds DEC fairly priced near $13–14 per share, with upside capped by market reluctance to pay a premium for complex, debt-laden stories. Read the full article on Seeking Alpha
Seeking Alpha • Mar 26

Diversified Energy: Old Wells And Some Leverage Bring Strong Cash Flow

Summary Diversified Energy offers a steady business model with strong cash flow and a 9% dividend yield, supported by extensive hedging and low decline rates. The company’s strategy focuses on acquiring old wells, improving recovery rates, and reducing operating costs, but high debt and environmental liabilities remain concerns. Recent acquisitions, including Maverick Natural Resources, are transformative, promising revenue growth and synergies, but also increasing debt and financing costs. To enhance investor confidence, Diversified should focus on reducing asset retirement obligations, executing consistent operations, and leveraging cash flow for debt reduction and share buybacks. Read the full article on Seeking Alpha
Seeking Alpha • Mar 19

Diversified Energy: Incredible Growth Potential With Maverick Natural Resources Acquisition, But Uncertainty Ahead

Summary Diversified Energy Company PLC's hold rating has been maintained due to lower gas prices, rising operating costs, and missed EBITDA margin targets. The Maverick Natural Resources acquisition boosts production and revenue, but uncertainties around cost synergies and commodity prices persist. DEC's hedging strategies and diversified portfolio aim to stabilize cash flow, yet economic slowdown fears and energy market volatility remain concerns. Investors should wait for clearer financial results post-acquisition before considering an upgrade, despite attractive dividend yields. Read the full article on Seeking Alpha
Seeking Alpha • Feb 03

Diversified Energy: On A Solid Growth Trajectory Following Acquisitions

Summary I am raising my rating to buy for Diversified Energy Company due to strategic acquisitions poised to boost profitability and operational capacity. DEC's Q3 2024 revenue grew 10.83% YoY to $239.05 million, with a 12.68% increase in adjusted EBITDA and a 32% TTM free cash flow yield. The acquisition of Maverick Natural Resources will expand DEC's presence in the Anadarko and Permian Basins, potentially increasing revenue by 95% and free cash flow by 55%. Despite a 5% YoY revenue decline in Q3 2024, DEC's debt reduction and continued dividend payments underscore its robust financial strategy and long-term value creation. Read the full article on Seeking Alpha
Seeking Alpha • Oct 20

Diversified Energy: The Risks Of Asset Retirement Obligations Are Too Great For Investors

Summary Diversified Energy faces substantial well retirement obligations, which are understated, posing significant financial risks if natural gas prices remain low. The derivatives book offers potential upside, but the variability in outcomes and financial risks remain high. Current dividend payments are unsustainable without increasing energy prices, making this stock a high-risk, leveraged bet on future energy market conditions. Read the full article on Seeking Alpha
Seeking Alpha • Oct 14

Diversified Energy: 9.6% Yield And Strong Fundamentals Make A Sound Tactical Investment

Summary Diversified Energy Company focuses on acquiring low-decline, cash-flowing wells, avoiding exploration risks and CapEx-intensive developments, making it an attractive cash flow machine. Over the past ~ 5 years, DEC has expanded its free cash flow base in a consistent manner, by conducting M&A and deleveraging the balance sheet. Yet, at the same time, the valuations have gone down. Currently, the TTM EV/EBITDA is below 5x. This renders the dividend yield enticing at ~ 9.6%. In this article, I elaborate on the key reasons why, in my opinion, DEC offers an attractive tactical investment case for especially yield-seeking investors to complement their portfolios. Read the full article on Seeking Alpha
Seeking Alpha • Jul 29

Why I Ultimately Decided Against Investing In Diversified Energy Company

Summary Diversified Energy has a unique business model focused on acquiring and optimizing older natural gas wells with potential for growth if commodity prices rise. The company has the most natural gas wells in the country and operates a profitable well retirement business, Next LVL, showing organic growth potential. Recent acquisitions and capital allocation decisions raise concerns about the company's long-term value proposition, leading to a decision to stay on the sidelines for now. Read the full article on Seeking Alpha

CEO Compensation Analysis

How has Rusty Hutson's remuneration changed compared to Diversified Energy's earnings?
DateTotal CompensationSalaryCompany Earnings
Mar 31 2026n/an/a

US$504m

Dec 31 2025US$5mUS$807k

US$341m

Sep 30 2025n/an/a

US$94m

Jun 30 2025n/an/a

-US$138m

Mar 31 2025n/an/a

-US$435m

Dec 31 2024US$5mUS$779k

-US$104m

Sep 30 2024n/an/a

US$10m

Jun 30 2024n/an/a

US$143m

Mar 31 2024n/an/a

US$451m

Dec 31 2023US$4mUS$749k

US$749m

Sep 30 2023n/an/a

US$850m

Jun 30 2023n/an/a

US$942m

Mar 31 2023n/an/a

US$158m

Dec 31 2022US$6mUS$720k

-US$625m

Sep 30 2022n/an/a

-US$902m

Jun 30 2022n/an/a

-US$1b

Mar 31 2022n/an/a

-US$752m

Dec 31 2021US$2mUS$693k

-US$326m

Sep 30 2021n/an/a

-US$226m

Jun 30 2021n/an/a

-US$126m

Mar 31 2021n/an/a

-US$75m

Dec 31 2020US$2mUS$675k

-US$23m

Sep 30 2020n/an/a

US$16m

Jun 30 2020n/an/a

US$56m

Mar 31 2020n/an/a

US$78m

Dec 31 2019US$1mUS$425k

US$99m

Compensation vs Market: Rusty's total compensation ($USD5.00M) is above average for companies of similar size in the US market ($USD3.54M).

Compensation vs Earnings: Rusty's compensation has been consistent with company performance over the past year.

CEO

Rusty Hutson (57 yo)

25.5yrs
Tenure
US$4,996,277
Compensation

Mr. Robert Russell Hutson, Jr. also known as Rusty, is Co-Founder of Diversified Energy Company PLC from 2001 (formerly known as Diversified Gas & Oil PLC). Mr. Hutson was Chief Executive Officer at Atlas...

Leadership Team

NamePositionTenureCompensationOwnership
Robert Hutson
Co-Founder25.5yrsUS$5.00m1.83%
$ 18.9m
Bradley Gray
President & CFO2.8yrsUS$2.72m0.29%
$ 3.0m
Richard Gideon
Chief Operating Officer1.3yrsUS$6.68m0.030%
$ 306.8k
Benjamin Sullivan
Senior Executive VP2.8yrsUS$2.34m0.12%
$ 1.3m
Ronald Ridgway
Executive Vice President of Energy Marketing5.3yrsUS$1.29m0.030%
$ 309.8k
Michael Rigg
Executive VP & Chief Investment Officer2.5yrsno datano data
Michael Garrett
Chief Accounting Officer & Corporate Controller8.3yrsno data0.012%
$ 120.8k
David Myers
Executive VP & Chief Information Officer7.9yrsno datano data
Douglas Kris
Senior Vice President of Investor Relations & Corporate Communications3.9yrsno datano data
Jennifer Bass
Executive VP & Chief Human Resources Officerless than a yearno datano data
Maverick Bentley
Executive Vice President of Operations1.3yrsno datano data
Teresa Odom
Senior Vice President of Sustainabilityno datano datano data
2.8yrs
Average Tenure
51yo
Average Age

Experienced Management: DEC's management team is considered experienced (2.8 years average tenure).

Board Members

NamePositionTenureCompensationOwnership
Robert Hutson
Co-Founder12yrsUS$5.00m1.83%
$ 18.9m
Kirk Oliver
Independent Non-Executive Directorless than a yearno data0.00016%
$ 1.7k
David Turner
Senior Independent Director7.2yrsUS$204.38k0.067%
$ 690.7k
Martin Thomas
Independent Non-Executive Vice Chairman11.5yrsUS$164.79k0.16%
$ 1.6m
Kathryn Klaber
Independent Non-Executive Director3.5yrsUS$172.93k0.0055%
$ 56.9k
David Johnson
Independent Non-Executive Chairman9.4yrsUS$229.39k0.035%
$ 361.5k
8.3yrs
Average Tenure
62.5yo
Average Age

Experienced Board: DEC's board of directors are considered experienced (8.3 years average tenure).

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/07/06 05:27
End of Day Share Price 2026/07/02 00:00
Earnings2026/03/31
Annual Earnings2025/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

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Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Diversified Energy Company is covered by 17 analysts. 6 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Paul DiamondCitigroup Inc
Sanjeev BahlEdison Investment Research
Simon ScholesFirst Berlin Equity Research GmbH