Scotiabank Predicts Lower Earnings for Diamondback Energy

Diamondback Energy, Inc. (NASDAQ:FANG - Free Report) - Equities research analysts at Scotiabank dropped their FY2026 EPS estimates for Diamondback Energy in a research report issued on Wednesday, March 19th. Scotiabank analyst P. Cheng now expects that the oil and natural gas company will post earnings per share of $16.35 for the year, down from their previous forecast of $16.50. The consensus estimate for Diamondback Energy's current full-year earnings is $15.49 per share.

Diamondback Energy (NASDAQ:FANG - Get Free Report) last posted its earnings results on Tuesday, February 25th. The oil and natural gas company reported $3.64 earnings per share for the quarter, beating the consensus estimate of $3.57 by $0.07. Diamondback Energy had a net margin of 33.64% and a return on equity of 13.68%. The firm had revenue of $3.71 billion during the quarter, compared to the consensus estimate of $3.55 billion.

Several other analysts have also recently issued reports on FANG. Raymond James lowered their price objective on shares of Diamondback Energy from $245.00 to $214.00 and set a "strong-buy" rating for the company in a research note on Wednesday, March 12th. Morgan Stanley upped their price target on Diamondback Energy from $220.00 to $227.00 and gave the stock an "overweight" rating in a research note on Wednesday, February 19th. JPMorgan Chase & Co. reduced their price objective on Diamondback Energy from $212.00 to $167.00 and set an "overweight" rating on the stock in a research note on Thursday, March 13th. Piper Sandler dropped their target price on shares of Diamondback Energy from $252.00 to $232.00 and set an "overweight" rating for the company in a research report on Tuesday, December 17th. Finally, Citigroup reduced their price target on shares of Diamondback Energy from $195.00 to $157.00 and set a "neutral" rating on the stock in a research report on Monday, March 17th. Four equities research analysts have rated the stock with a hold rating, eighteen have given a buy rating and two have given a strong buy rating to the company's stock. According to MarketBeat, Diamondback Energy has a consensus rating of "Moderate Buy" and a consensus target price of $209.92.

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Diamondback Energy Price Performance

Shares of FANG traded up $1.58 during mid-day trading on Friday, reaching $160.08. 568,572 shares of the company's stock were exchanged, compared to its average volume of 1,869,437. 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 company has a market cap of $46.33 billion, a price-to-earnings ratio of 9.16, a PEG ratio of 1.24 and a beta of 1.85. Diamondback Energy has a 52-week low of $137.09 and a 52-week high of $214.50. The company has a 50-day simple moving average of $160.47 and a two-hundred day simple moving average of $170.29.

Diamondback Energy Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, March 13th. Stockholders of record on Thursday, March 6th were given a $1.00 dividend. The ex-dividend date of this dividend was Thursday, March 6th. This represents a $4.00 annualized dividend and a dividend yield of 2.50%. This is an increase from Diamondback Energy's previous quarterly dividend of $0.90. Diamondback Energy's payout ratio is presently 25.32%.

Insider Activity

In other news, Director Frank D. Tsuru acquired 2,000 shares of the stock in a transaction that occurred on Friday, February 28th. The stock was purchased at an average cost of $156.51 per share, with a total value of $313,020.00. Following the completion of the acquisition, the director now directly owns 5,730 shares in the company, valued at $896,802.30. This represents a 53.62 % increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Company insiders own 0.48% of the company's stock.

Institutional Inflows and Outflows

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

Diamondback Energy Company Profile

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.