Diamondback Energy, Inc. (FANG)
Energy · Oil & Gas Exploration & Production · US stock · S&P 500 component
$197.14
▼ -3.79 (1.89%)
Fair valueFair
$222 +12.7% to fair value
$111fair band $189–$269$333
Day's range
$194.85 – $203.35
52-week range
$137.03 – $216.90
Red flags⚠ Heavy dilution⚠ Heavy dilution⚠ Heavy dilution⚠ Heavy dilution⚠ Heavy dilution
About Diamondback Energy, Inc.
Focused on the Permian Basin in West Texas, Diamondback Energy is an independent oil and natural gas company. It drills and operates wells that produce crude oil, natural gas and natural gas liquids. It also owns a publicly traded subsidiary, Viper Energy, which holds mineral and royalty interests. Its output is delivered to refiners, marketers and midstream companies, and the business is organised around its upstream operations in the basin.
Income depends on the oil, natural gas and liquids Diamondback produces, so it moves with output volumes and commodity prices. Revenue was $17.1 billion over the last twelve months and has grown at 15.9% a year across the last three years. The operating margin is 6.3%, and the business earns 2% on the capital invested in it. Net debt is 1.9 times EBITDA, and the dividend yield is 2.2%. On the site's X-Ray Score it receives 36 out of 100.
Price chart
52-wk range $137.03 – $216.90Volume 2,023,209Daily, split-adjusted
Vitals
Market cap$55.4B
52-week range$137.03 – $216.90
Volume (last day)2,023,209
P/E (TTM)41.7
EBIT / EV yield1.5%
Free-cash-flow yield–
Dividend yield2.2%
Revenue (TTM)$17.1B
Net income (TTM)$1.4B
Operating margin6.3%
Return on capital1.8%
Debt incl. leases$12.6B
Cash & securities$462M
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies that hold large long-term investments). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$222middle half of models $176 – $260
Fair
+12.7% to fair value
Average of the 10 valuation models that pass our checks: multiples, discounted cash flow, dividend discount and earnings power value. A model more than 100% above or 60% below the price is left out as unrealistic. Model uncertainty is High, based on how far apart the models are. Undervalued or Overvalued means the gap to fair value is more than 17.5%.
Price $197
Undervalued < $189Fair $189 – $269Overvalued > $269
P/E multiple
$174
P/B multiple
$202
P/S multiple
$189
EV/EBITDA multiple
$147
EV/EBIT multiple · not used
$62
EV/revenue multiple
$181
10-year DCF, EBITDA exit · not used
$450
5-year DCF, EBITDA exit
$341
10-year DCF, revenue exit · not used
$444
5-year DCF, revenue exit
$350
10-year DCF, growth exit
$272
5-year DCF, growth exit
$142
Dividend discount, multi-stage · not used
$533
Earnings power value
$223
Growth the price implies
32.4%/yr
A model estimate, not a price target or recommendation. Inputs: risk-free 5.13%, equity risk premium 4.30% (Damodaran). How it works.
What this means
Weak business, fairly priced
The price sits inside our fair-value band. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Energy peers. Open a lens to see the numbers behind it.
Strong: 70 to 100Fair: 50 to 69Weak: under 50No score: not enough data
Valuation
Weak
30/100
Expensive against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield1.5%
Fair value vs price1.1×
Growth
Fair
69/100
Growing at a typical pace for its sector.
See the numbers →
Revenue growth (3y)15.9%
EPS growth (3y)-38.5%
Growth consistency90%
Profitability
Weak
24/100
Earns lower returns on its capital than most peers.
See the numbers →
Return on invested capital1.8%
Operating margin6.3%
Financial health
Weak
31/100
Balance sheet is more stretched than most peers.
See the numbers →
Piotroski F-Score4 / 9
Net debt / EBITDA1.9×
Interest coverNo interest cost
Dividends
Weak
27/100
Dividend is modest or less certain than peers.
See the numbers →
Dividend yield2.2%
Dividend growth-9.7%
Quarterly results: last 6 quarters
+81.8%
Mar '25
+48.1%
Jun '25
+48.4%
Sep '25
-9.0%
Dec '25
+4.7%
Mar '26
+51.2%
Jun '26
Revenue against the same quarter a year earlier. Latest quarter revenue $5.6B, diluted EPS $6.65.
Compare with peers
EXE EXPAND ENERGY Corp67 EOG Eog Resources Inc66 EQT EQT Corp63 APA APA Corp62Other Oil & Gas Exploration & Production companies by X-Ray Score.
SWOT analysis: Diamondback Energy, Inc.
Strengthsinside the company
- Revenue has grown 15.9% a year over three years (median -4.6% for industry peers).
- Operating profit covers interest 50x, so debt costs are a small drag.
Weaknessesinside the company
- Return on invested capital is only 1.8% (median 12.7% for industry peers), so the business earns little above its cost of capital.
- Operating margin of 6.3% is thin against 26.9% for industry peers.
- Earnings per share have declined 38.5% a year over three years.
- Altman Z-score of 1.6 is in the zone linked with financial distress in past studies.
Opportunitiesvaluation and setting
- Revenue growth picked up to 35.8% last year from 15.9% a year over three years.
- Our Market Compass rates the backdrop for Energy as favourable.
- Price momentum is strong on the weekly and monthly signals (trends can reverse).
Threatsvaluation and setting
- Trades at 41.1x earnings, 231% above the 12.4x median of industry peers, so the price already assumes better results.
- Valuation uncertainty is high: the models give widely different values, so the fair value range is wide.
- Earnings in Oil & Gas Exploration & Production follow the industry cycle, so margins and profits can swing from year to year.
- Our checks raised: Heavy dilution; Heavy dilution.
Written by fixed rules from the figures on this page and the peer table below: filings, our fair value, the sector climate and the price trend. It summarises the data, it is not a forecast or advice.
Compare FANG with peers and sector
Medians of 8 Oil & Gas Exploration & Production peers and of 19 Energy stocks in our universe.
Largest peers (X-Ray Score): COP 58, EOG 66, OXY 36, DVN 49, EQT 63, TPL 48.
| Metric | FANG | Peers | Sector |
|---|---|---|---|
| X-Ray Score (out of 100) | 36 | 60 | 50 |
| Valuation | 30 | 73 | 60 |
| Growth | 69 | 51 | 52 |
| Profitability | 24 | 61 | 50 |
| Financial health | 31 | 58 | 55 |
| Dividends | 27 | 44 | 55 |
Sector leaders: highest X-Ray Score in Energy
FANG ranks #20 of 20 in Energy and #9 of 9 in Oil & Gas Exploration & Production by X-Ray Score. A higher score is stronger on our five pillars; it is a ranking of facts, not a forecast.
Green means better than the peer median, red worse (only where a higher or lower figure is clearly better). A dash means too few companies report the figure. P/E, EV/EBITDA and price changes are not graded: a different level is not good or bad by itself.
Factor ratings for FANG
Each factor is rated by where FANG stands among the 20 Energy stocks in our universe.
Rating against the sector
Goodthe top third of these stocks
Averagethe middle third of these stocks
Badthe bottom third of these stocks
"Beats" is the share of those stocks it is ahead of.
Against its own history
The last columns set today's figure against the company's own median of its last five financial years:
▲ Betterbetter than its usual level
▼ Worseworse than its usual level
≈ In linewithin its usual range
For valuation factors Good means cheaper than most of the sector and Better means cheaper than usual for this company, which is not the same as a bargain.
In total: 8 Good · 1 Average · 10 Bad of 19
Growth: 2 · 0 · 1
Profitability: 0 · 0 · 4
Financial strength: 1 · 0 · 3
Valuation: 1 · 1 · 2
Cash flow: 3 · 0 · 0
Efficiency: 1 · 0 · 0
| Factor | FANG | Rating | Sector median | Own 5-year median | Against own history |
|---|---|---|---|---|---|
| Growth | |||||
| Revenue growth, 3 years a year | +15.9% | Good beats 97% | −5.7% | – | – |
| Revenue growth, last year | +35.8% | Good beats 82% | +3.9% | +35.8% | ≈ In line |
| EPS growth, 3 years a year | −38.5% | Bad beats 13% | −22.6% | – | – |
| Profitability | |||||
| Operating margin | 6.3% | Bad beats 3% | 23.0% | 54.3% | ▼ Worse |
| Net margin | 7.9% | Bad beats 24% | 13.5% | 33.5% | ▼ Worse |
| Return on invested capital | 1.8% | Bad beats 3% | 12.3% | – | – |
| Return on equity | 3.6% | Bad beats 3% | 15.2% | 18.8% | ▼ Worse |
| Financial strength | |||||
| Net debt / EBITDA | 1.9x | Bad beats 25% | 1.1x | 1.1x | ▼ Worse |
| Interest cover | 50.0x | Good beats 76% | 22.5x | 28.7x | ▲ Better |
| Current ratio | 0.47 | Bad beats 8% | 1.19 | 0.77 | ▼ Worse |
| Piotroski F-score | 4 / 9 | Bad beats 18% | 6 / 9 | – | – |
| Valuation | |||||
| P/E ratio | 41.1x | Bad beats 8% | 17.4x | 8.4x | ▼ Worse |
| Price / book | 1.5x | Good beats 83% | 2.6x | 1.6x | ≈ In line |
| Price / sales | 3.2x | Bad beats 29% | 2.3x | 2.9x | ▼ Worse |
| EV / EBITDA | 11.7x | Average beats 39% | 9.4x | 5.4x | ▼ Worse |
| Cash flow | |||||
| Free cash flow margin | 59.3% | Good beats 92% | 13.2% | 58.3% | ≈ In line |
| Cash from operations / net income | 7.51 | Good beats 98% | 1.95 | 1.73 | ▲ Better |
| Accruals (lower is better) | −12.5% | Good beats 93% | −6.6% | – | – |
| Efficiency | |||||
| Days sales outstanding | 36 days | Good beats 74% | 43 days | 28 days | ▼ Worse |
These ratings compare companies with each other and describe the past; they are not a forecast, a recommendation or part of the X-Ray Score. A factor is left out when its data is missing or meaningless (for example a P/E on negative earnings). A dash in the history columns means fewer than three usable years.
Fundamentals checklist
● 4 Good · ● 1 Average · ● 8 BadCash quality
Earnings backed by cashGood
Risk models
Altman Z''Bad
Piotroski F-ScoreBad
Growth
EPS growth (3y)Bad
Revenue growth (3y)Good
Growth consistencyGood
Balance sheet
Current ratioBad
Net debt / EBITDABad
Interest coverGood
Valuation
Fair value vs priceAverage
EBIT / EV yieldBad
Profitability
Return on invested capitalBad
Operating marginBad
Each check is graded against the company's sector, not a fixed number. Checklist score 42/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $6.8B | $9.6B | $8.4B | $11.1B | $15.0B |
| Operating income | $4.0B | $6.5B | $4.6B | $4.4B | $1.3B |
| Net income | $2.3B | $4.6B | $3.3B | $3.7B | $1.5B |
| Operating cash flow | $3.9B | $6.3B | $5.9B | $6.4B | $8.8B |
| Operating margin | 58.9% | 67.5% | 54.3% | 39.7% | 8.4% |
| Free cash flow | – | – | – | – | – |
| Diluted EPS | $12.24 | $24.61 | $17.34 | $15.53 | $5.73 |
Fiscal years, from SEC filings.
Technical summary
Daily
Bullish
9 bullish · 4 neutral · 3 bearish
Weekly
Strongly bullish
10 bullish · 1 neutral · 1 bearish
Monthly
Strongly bullish
7 bullish · 1 neutral · 0 bearish
Moving averages (daily)
| SMA 10 | 198.6 | Bearish |
| EMA 10 | 197.9 | Bearish |
| SMA 20 | 192.1 | Bullish |
| EMA 20 | 195.7 | Bullish |
| SMA 50 | 197.3 | Bearish |
| EMA 50 | 195.0 | Bullish |
| SMA 100 | 193.8 | Bullish |
| EMA 100 | 193.0 | Bullish |
| SMA 200 | 186.5 | Bullish |
| EMA 200 | 185.2 | Bullish |
Oscillators (daily)
| RSI (14) | 52.81 | Neutral |
| MACD (12, 26) | 1.90 | Bullish |
| Momentum (12) | 6.57 | Bullish |
| Stochastic %K (14) | 63.03 | Neutral |
| Williams %R (14) | -36.97 | Neutral |
| CCI (20) | 63.17 | Neutral |
Pivot points (classic, last session)
S3 185.0 | S2 189.9 | S1 193.5 | Pivot 198.4 | R1 202.0 | R2 207.0 | R3 210.5 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
Dividends
Paid, last 12 months
4.25 USD
Yield on today's price
2.16%
Frequency
Quarterly
Next ex-dividend date
Not announced
| Ex-dividend date | Amount per share |
|---|---|
| 1.1000 | |
| 1.1000 | |
| 1.0500 | |
| 1.0000 | |
| 1.0000 | |
| 1.0000 | |
| 1.0000 | |
| 0.9000 | |
| 2.3400 | |
| 1.9700 | |
| 3.0800 | |
| 3.3700 |
Ex-dividend dates and amounts from EODHD. Shown as declared, before tax.
ETFs that hold FANG
| ETF | Share of the fund |
|---|---|
| IEO iShares U.S. Oil & Gas Exploration & P... | 4.29% |
| FCG First Trust Natural Gas | 4.03% |
| XOP SPDR S&P Oil & Gas Exploration & Produ... | 2.43% |
| VFLO VictoryShares Free Cash Flow | 2.35% |
| XLE Energy Select Sector SPDR | 2.05% |
| FXN First Trust Energy AlphaDEX | 1.76% |
| ERX Direxion Daily Energy Bull 2X | 1.73% |
| IYE iShares U.S. Energy | 1.70% |
The eight funds with the largest weight in FANG among the ETFs we cover, from each fund's latest SEC Form N-PORT (quarter-end positions, so they can be months old). All ETFs.
FANG SEC filings
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Entered a material agreement; Director or officer change
10-QSEC EDGAR
Quarterly report
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Results of operations
8-KSEC EDGAR
Entered a material agreement
8-KSEC EDGAR
Director or officer change; Shareholder vote results
10-QSEC EDGAR
Quarterly report
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.