151.21 USD
+3.65 (+2.47%)
152.17 USD
+0.96 (+0.63%)
We assign a fundamental rating of 5 out of 10 to FANG. FANG was compared to 208 industry peers in the Oil, Gas & Consumable Fuels industry. FANG has an excellent profitability rating, but there are concerns on its financial health. FANG has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- FANG had positive earnings in the past year.
- In the past year FANG had a positive cash flow from operations.
- FANG had positive earnings in 4 of the past 5 years.
- Each year in the past 5 years FANG had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of FANG (5.48%) is better than 68.75% of its industry peers.
- FANG has a better Return On Equity (10.69%) than 65.87% of its industry peers.
- FANG has a Return On Invested Capital of 6.23%. This is comparable to the rest of the industry: FANG outperforms 56.73% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for FANG is significantly below the industry average of 21.83%.
- The last Return On Invested Capital (6.23%) for FANG is well below the 3 year average (13.71%), which needs to be investigated, but indicates that FANG had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.48% | ||
| ROE | 10.69% | ||
| ROIC | 6.23% |
ROA(3y)10.76%
ROA(5y)3.23%
ROE(3y)18.84%
ROE(5y)4.64%
ROIC(3y)13.71%
ROIC(5y)11.82%
1.3 Margins
- The Profit Margin of FANG (27.20%) is better than 85.10% of its industry peers.
- FANG's Profit Margin has improved in the last couple of years.
- With an excellent Operating Margin value of 36.35%, FANG belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
- In the last couple of years the Operating Margin of FANG has grown nicely.
- With a decent Gross Margin value of 70.42%, FANG is doing good in the industry, outperforming 79.81% of the companies in the same industry.
- In the last couple of years the Gross Margin of FANG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.35% | ||
| PM (TTM) | 27.2% | ||
| GM | 70.42% |
OM growth 3Y-10.89%
OM growth 5Y2.54%
PM growth 3Y-2.26%
PM growth 5Y37.7%
GM growth 3Y-4.27%
GM growth 5Y-1.55%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FANG is creating some value.
- The number of shares outstanding for FANG has been increased compared to 1 year ago.
- Compared to 5 years ago, FANG has more shares outstanding
- The debt/assets ratio for FANG has been reduced compared to a year ago.
2.2 Solvency
- FANG has an Altman-Z score of 1.24. This is a bad value and indicates that FANG is not financially healthy and even has some risk of bankruptcy.
- FANG's Altman-Z score of 1.24 is in line compared to the rest of the industry. FANG outperforms 50.48% of its industry peers.
- FANG has a Debt/Equity ratio of 0.41. This is a healthy value indicating a solid balance between debt and equity.
- FANG has a Debt to Equity ratio of 0.41. This is comparable to the rest of the industry: FANG outperforms 56.25% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.24 |
ROIC/WACC0.81
WACC7.7%
2.3 Liquidity
- A Current Ratio of 0.62 indicates that FANG may have some problems paying its short term obligations.
- FANG has a worse Current ratio (0.62) than 77.88% of its industry peers.
- A Quick Ratio of 0.60 indicates that FANG may have some problems paying its short term obligations.
- FANG has a worse Quick ratio (0.60) than 71.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
- The earnings per share for FANG have decreased strongly by -18.73% in the last year.
- Measured over the past years, FANG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.84% on average per year.
- The Revenue has grown by 60.29% in the past year. This is a very strong growth!
- The Revenue has been growing by 22.79% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-18.73%
EPS 3Y12.48%
EPS 5Y19.84%
EPS Q2Q%-8.88%
Revenue 1Y (TTM)60.29%
Revenue growth 3Y17.64%
Revenue growth 5Y22.79%
Sales Q2Q%48.36%
3.2 Future
- Based on estimates for the next years, FANG will show a small growth in Earnings Per Share. The EPS will grow by 1.85% on average per year.
- FANG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.44% yearly.
EPS Next Y-17.18%
EPS Next 2Y-12.65%
EPS Next 3Y-0.69%
EPS Next 5Y1.85%
Revenue Next Year39.72%
Revenue Next 2Y15.46%
Revenue Next 3Y12.77%
Revenue Next 5Y8.44%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- FANG is valuated reasonably with a Price/Earnings ratio of 10.85.
- FANG's Price/Earnings ratio is a bit cheaper when compared to the industry. FANG is cheaper than 77.40% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.30. FANG is valued rather cheaply when compared to this.
- The Price/Forward Earnings ratio is 12.36, which indicates a correct valuation of FANG.
- Based on the Price/Forward Earnings ratio, FANG is valued a bit cheaper than 63.94% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of FANG to the average of the S&P500 Index (24.04), we can say FANG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.85 | ||
| Fwd PE | 12.36 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, FANG is valued a bit cheaper than the industry average as 71.15% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.72 |
4.3 Compensation for Growth
- The decent profitability rating of FANG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.55
EPS Next 2Y-12.65%
EPS Next 3Y-0.69%
5. Dividend
5.1 Amount
- FANG has a Yearly Dividend Yield of 2.71%.
- Compared to an average industry Dividend Yield of 3.91, FANG has a dividend in line with its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.92, FANG pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.71% |
5.2 History
- The dividend of FANG is nicely growing with an annual growth rate of 57.49%!
- FANG has been paying a dividend for over 5 years, so it has already some track record.
- The dividend of FANG decreased recently.
Dividend Growth(5Y)57.49%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
- FANG pays out 27.09% of its income as dividend. This is a sustainable payout ratio.
- The dividend of FANG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP27.09%
EPS Next 2Y-12.65%
EPS Next 3Y-0.69%
151.21
+3.65 (+2.47%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)11-03 2025-11-03/amc
Earnings (Next)02-23 2026-02-23/amc
Inst Owners62.3%
Inst Owner Change0.04%
Ins Owners0.71%
Ins Owner Change-1.96%
Market Cap43.33B
Revenue(TTM)15.36B
Net Income(TTM)4.18B
Analysts84.74
Price Target185.28 (22.53%)
Short Float %4.95%
Short Ratio5.25
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.71% |
Yearly Dividend6.72
Dividend Growth(5Y)57.49%
DP27.09%
Div Incr Years1
Div Non Decr Years1
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.91%
Min EPS beat(2)-7.02%
Max EPS beat(2)3.2%
EPS beat(4)3
Avg EPS beat(4)2.65%
Min EPS beat(4)-7.02%
Max EPS beat(4)7.78%
EPS beat(8)3
Avg EPS beat(8)-1.08%
EPS beat(12)4
Avg EPS beat(12)-1.37%
EPS beat(16)8
Avg EPS beat(16)0.45%
Revenue beat(2)2
Avg Revenue beat(2)8.1%
Min Revenue beat(2)7.01%
Max Revenue beat(2)9.18%
Revenue beat(4)4
Avg Revenue beat(4)6.44%
Min Revenue beat(4)3.11%
Max Revenue beat(4)9.18%
Revenue beat(8)8
Avg Revenue beat(8)6.08%
Revenue beat(12)9
Avg Revenue beat(12)3.43%
Revenue beat(16)13
Avg Revenue beat(16)6.03%
PT rev (1m)-0.04%
PT rev (3m)-1.55%
EPS NQ rev (1m)-0.06%
EPS NQ rev (3m)-2.09%
EPS NY rev (1m)0.53%
EPS NY rev (3m)0.82%
Revenue NQ rev (1m)0.83%
Revenue NQ rev (3m)2.78%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)3.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.85 | ||
| Fwd PE | 12.36 | ||
| P/S | 2.82 | ||
| P/FCF | N/A | ||
| P/OCF | 4.95 | ||
| P/B | 1.11 | ||
| P/tB | 1.11 | ||
| EV/EBITDA | 5.72 |
EPS(TTM)13.93
EY9.21%
EPS(NY)12.24
Fwd EY8.09%
FCF(TTM)-3.82
FCFYN/A
OCF(TTM)30.56
OCFY20.21%
SpS53.61
BVpS136.42
TBVpS136.42
PEG (NY)N/A
PEG (5Y)0.55
Graham Number206.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.48% | ||
| ROE | 10.69% | ||
| ROCE | 7.75% | ||
| ROIC | 6.23% | ||
| ROICexc | 6.24% | ||
| ROICexgc | 6.24% | ||
| OM | 36.35% | ||
| PM (TTM) | 27.2% | ||
| GM | 70.42% | ||
| FCFM | N/A |
ROA(3y)10.76%
ROA(5y)3.23%
ROE(3y)18.84%
ROE(5y)4.64%
ROIC(3y)13.71%
ROIC(5y)11.82%
ROICexc(3y)13.87%
ROICexc(5y)12.01%
ROICexgc(3y)13.87%
ROICexgc(5y)12.01%
ROCE(3y)17.06%
ROCE(5y)14.7%
ROICexgc growth 3Y-27.28%
ROICexgc growth 5Y2.37%
ROICexc growth 3Y-27.28%
ROICexc growth 5Y2.37%
OM growth 3Y-10.89%
OM growth 5Y2.54%
PM growth 3Y-2.26%
PM growth 5Y37.7%
GM growth 3Y-4.27%
GM growth 5Y-1.55%
F-Score7
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.53 | ||
| Cap/Depr | 205% | ||
| Cap/Sales | 64.12% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.28% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 1.24 |
F-Score7
WACC7.7%
ROIC/WACC0.81
Cap/Depr(3y)314.79%
Cap/Depr(5y)256.28%
Cap/Sales(3y)66.3%
Cap/Sales(5y)61.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-18.73%
EPS 3Y12.48%
EPS 5Y19.84%
EPS Q2Q%-8.88%
EPS Next Y-17.18%
EPS Next 2Y-12.65%
EPS Next 3Y-0.69%
EPS Next 5Y1.85%
Revenue 1Y (TTM)60.29%
Revenue growth 3Y17.64%
Revenue growth 5Y22.79%
Sales Q2Q%48.36%
Revenue Next Year39.72%
Revenue Next 2Y15.46%
Revenue Next 3Y12.77%
Revenue Next 5Y8.44%
EBIT growth 1Y25.15%
EBIT growth 3Y4.83%
EBIT growth 5Y25.91%
EBIT Next Year121.19%
EBIT Next 3Y31.93%
EBIT Next 5Y20.16%
FCF growth 1Y-208.1%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y52.62%
OCF growth 3Y17.59%
OCF growth 5Y18.59%
DIAMONDBACK ENERGY INC / FANG FAQ
What is the ChartMill fundamental rating of DIAMONDBACK ENERGY INC (FANG) stock?
ChartMill assigns a fundamental rating of 5 / 10 to FANG.
What is the valuation status of DIAMONDBACK ENERGY INC (FANG) stock?
ChartMill assigns a valuation rating of 4 / 10 to DIAMONDBACK ENERGY INC (FANG). This can be considered as Fairly Valued.
What is the profitability of FANG stock?
DIAMONDBACK ENERGY INC (FANG) has a profitability rating of 7 / 10.
What is the valuation of DIAMONDBACK ENERGY INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for DIAMONDBACK ENERGY INC (FANG) is 10.85 and the Price/Book (PB) ratio is 1.11.
Can you provide the dividend sustainability for FANG stock?
The dividend rating of DIAMONDBACK ENERGY INC (FANG) is 5 / 10 and the dividend payout ratio is 27.09%.