Diamondback Energy (NASDAQ:FANG) Shares Gap Down – Should You Sell?
by Renee Jackson · The Cerbat GemDiamondback Energy, Inc. (NASDAQ:FANG – Get Free Report)’s stock price gapped down before the market opened on Wednesday . The stock had previously closed at $211.52, but opened at $197.03. Diamondback Energy shares last traded at $194.2290, with a volume of 3,451,761 shares.
Analyst Upgrades and Downgrades
A number of brokerages have commented on FANG. Susquehanna increased their target price on Diamondback Energy from $245.00 to $255.00 and gave the company a “positive” rating in a report on Tuesday, July 21st. Truist Financial boosted their target price on Diamondback Energy from $220.00 to $224.00 and gave the stock a “buy” rating in a report on Wednesday, August 5th. Morgan Stanley reiterated an “equal weight” rating and issued a $216.00 target price on shares of Diamondback Energy in a report on Wednesday, August 19th. Wall Street Zen upgraded Diamondback Energy from a “hold” rating to a “buy” rating in a report on Sunday. Finally, Roth Capital set a $212.00 price target on shares of Diamondback Energy and gave the company a “buy” rating in a research note on Monday, June 22nd. Four research analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus price target of $224.55.
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Diamondback Energy Stock Down 8.9%
The business’s fifty day moving average is $199.05 and its two-hundred day moving average is $193.42. The company has a quick ratio of 0.45, a current ratio of 0.47 and a debt-to-equity ratio of 0.25. The stock has a market cap of $53.95 billion, a price-to-earnings ratio of 37.61 and a beta of 0.43.
Diamondback Energy (NASDAQ:FANG – Get Free Report) last announced its quarterly earnings data on Monday, August 3rd. The oil and natural gas company reported $6.48 earnings per share (EPS) for the quarter, beating the consensus estimate of $6.08 by $0.40. The business had revenue of $5.56 billion for the quarter, compared to analysts’ expectations of $4.89 billion. Diamondback Energy had a return on equity of 10.10% and a net margin of 8.58%.The company’s revenue for the quarter was up 51.2% compared to the same quarter last year. During the same period last year, the firm earned $2.38 earnings per share. Equities analysts forecast that Diamondback Energy, Inc. will post 19.94 earnings per share for the current fiscal year.
Diamondback Energy Dividend Announcement
The company also recently disclosed a quarterly dividend, which was paid on Thursday, August 20th. Stockholders of record on Thursday, August 13th were issued a $1.10 dividend. This represents a $4.40 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date was Thursday, August 13th. Diamondback Energy’s dividend payout ratio (DPR) is presently 85.77%.
Insider Activity
In other news, Director Travis Stice sold 75,000 shares of the company’s stock in a transaction dated Friday, September 11th. The stock was sold at an average price of $204.31, for a total transaction of $15,323,250.00. Following the completion of the transaction, the director directly owned 49,727 shares of the company’s stock, valued at approximately $10,159,723.37. This represents a 60.13% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Charles Meloy sold 33,333 shares of the company’s stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $198.41, for a total value of $6,613,600.53. Following the completion of the transaction, the director directly owned 818,197 shares of the company’s stock, valued at $162,338,466.77. This trade represents a 3.91% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.64% of the company’s stock.
Institutional Investors Weigh In On Diamondback Energy
Hedge funds and other institutional investors have recently bought and sold shares of the stock. Talon Private Wealth LLC grew its holdings in Diamondback Energy by 19.8% in the 2nd quarter. Talon Private Wealth LLC now owns 12,075 shares of the oil and natural gas company’s stock valued at $2,122,000 after buying an additional 1,993 shares during the period. The Manufacturers Life Insurance Company lifted its holdings in shares of Diamondback Energy by 3.2% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 150,826 shares of the oil and natural gas company’s stock worth $26,512,000 after acquiring an additional 4,686 shares during the period. Sequoia Financial Advisors LLC lifted its holdings in shares of Diamondback Energy by 3.5% during the 2nd quarter. Sequoia Financial Advisors LLC now owns 7,686 shares of the oil and natural gas company’s stock worth $1,351,000 after acquiring an additional 259 shares during the period. MCF Advisors LLC boosted its position in shares of Diamondback Energy by 11.6% in the second quarter. MCF Advisors LLC now owns 1,987 shares of the oil and natural gas company’s stock worth $349,000 after acquiring an additional 207 shares during the last quarter. Finally, Allworth Financial LP boosted its position in shares of Diamondback Energy by 43.3% in the second quarter. Allworth Financial LP now owns 11,812 shares of the oil and natural gas company’s stock worth $2,076,000 after acquiring an additional 3,568 shares during the last quarter. 90.01% of the stock is currently owned by institutional investors and hedge funds.
Diamondback Energy Company Profile
Diamondback Energy, Inc is an independent oil and natural gas company focused on the acquisition, development, exploration and exploitation of unconventional, onshore oil and natural gas reserves in the Permian Basin of West Texas and southeastern New Mexico. The company’s operations are concentrated primarily in the Midland and Delaware sub-basins.
Diamondback produces crude oil, natural gas and natural gas liquids. Its activities include drilling and completing horizontal wells, operating gathering and infrastructure assets, and managing mineral and royalty interests through its Viper Energy platform.