Diamondback Energy (NASDAQ:FANG) Shares Up 2.1% - Should You Buy?

Diamondback Energy, Inc. (NASDAQ:FANG - Get Free Report)'s share price rose 2.1% on Tuesday . The stock traded as high as $146.00 and last traded at $143.55. Approximately 410,402 shares were traded during mid-day trading, a decline of 83% from the average daily volume of 2,425,741 shares. The stock had previously closed at $140.58.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on FANG. Royal Bank of Canada restated an "outperform" rating and issued a $210.00 price objective on shares of Diamondback Energy in a research report on Thursday, January 23rd. The Goldman Sachs Group started coverage on Diamondback Energy in a research note on Monday, December 2nd. They issued a "buy" rating and a $227.00 price target for the company. Morgan Stanley increased their price objective on shares of Diamondback Energy from $220.00 to $227.00 and gave the company an "overweight" rating in a report on Wednesday, February 19th. Truist Financial boosted their target price on Diamondback Energy from $236.00 to $238.00 and gave the stock a "buy" rating in a research report on Wednesday, February 19th. Finally, Mizuho lifted their price objective on Diamondback Energy from $201.00 to $204.00 and gave the stock an "outperform" rating in a research note on Tuesday, February 25th. One analyst has rated the stock with a sell rating, three have issued a hold rating, eighteen have assigned a buy rating and two have given a strong buy rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $215.00.

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Diamondback Energy Price Performance

The company has a quick ratio of 0.42, a current ratio of 0.45 and a debt-to-equity ratio of 0.31. The stock's 50 day moving average price is $163.56 and its two-hundred day moving average price is $172.90. The stock has a market cap of $41.87 billion, a price-to-earnings ratio of 8.28, a price-to-earnings-growth ratio of 1.24 and a beta of 1.85.

Diamondback Energy (NASDAQ:FANG - Get Free Report) last issued its quarterly earnings data on Tuesday, February 25th. The oil and natural gas company reported $3.64 EPS for the quarter, topping analysts' consensus estimates of $3.57 by $0.07. The business had revenue of $3.71 billion for the quarter, compared to analysts' expectations of $3.55 billion. Diamondback Energy had a net margin of 33.64% and a return on equity of 13.68%. Equities research analysts forecast that Diamondback Energy, Inc. will post 15.49 EPS for the current fiscal year.

Diamondback Energy Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, March 13th. Shareholders of record on Thursday, March 6th will be issued a $1.00 dividend. This is a boost from Diamondback Energy's previous quarterly dividend of $0.90. The ex-dividend date of this dividend is Thursday, March 6th. This represents a $4.00 dividend on an annualized basis and a yield of 2.77%. Diamondback Energy's payout ratio is presently 25.32%.

Insider Buying and Selling

In other Diamondback Energy news, Director Frank D. Tsuru bought 2,000 shares of the firm's stock in a transaction on Friday, February 28th. The shares were acquired at an average cost of $156.51 per share, with a total value of $313,020.00. Following the purchase, the director now directly owns 5,730 shares of the company's stock, valued at $896,802.30. This trade represents a 53.62 % increase in their position. The acquisition was disclosed in a filing with the SEC, which is available through this hyperlink. 0.48% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Diamondback Energy

Several large investors have recently modified their holdings of the business. Wintrust Investments LLC acquired a new position in shares of Diamondback Energy in the fourth quarter worth $28,000. R Squared Ltd acquired a new position in Diamondback Energy during the 4th quarter worth $29,000. UMB Bank n.a. increased its holdings in Diamondback Energy by 247.3% during the 4th quarter. UMB Bank n.a. now owns 191 shares of the oil and natural gas company's stock worth $31,000 after purchasing an additional 136 shares during the period. Fourth Dimension Wealth LLC acquired a new stake in Diamondback Energy in the 4th quarter valued at about $33,000. Finally, Key Financial Inc boosted its stake in shares of Diamondback Energy by 940.0% in the 4th quarter. Key Financial Inc now owns 208 shares of the oil and natural gas company's stock valued at $34,000 after buying an additional 188 shares during the period. Institutional investors and hedge funds own 90.01% of the company's stock.

About Diamondback Energy

Diamondback Energy, Inc, an independent oil and natural gas company, acquires, develops, explores, and exploits unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas. It focuses on the development of the Spraberry and Wolfcamp formations of the Midland basin; and the Wolfcamp and Bone Spring formations of the Delaware basin, which are part of the Permian Basin in West Texas and New Mexico.

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