UBS Group Issues Positive Forecast for Diamondback Energy (NASDAQ:FANG) Stock Price

Diamondback Energy (NASDAQ:FANG) had its price objective increased by UBS Group from $260.00 to $263.00 in a report released on Wednesday morning,Benzinga reports. They currently have a buy rating on the oil and natural gas company’s stock.

A number of other equities analysts also recently commented on FANG. Wells Fargo & Company lowered their price objective on Diamondback Energy from $263.00 to $244.00 and set an “overweight” rating for the company in a research report on Wednesday, November 4th. Weiss Ratings cut shares of Diamondback Energy from a “hold (c+)” rating to a “hold (c)” rating in a report on Monday. Morgan Stanley raised their target price on shares of Diamondback Energy from $216.00 to $222.00 and gave the company an “equal weight” rating in a report on Thursday, October 15th. Zacks Research upgraded shares of Diamondback Energy from a “hold” rating to a “strong-buy” rating in a research note on Thursday, November 5th. Finally, Sanford C. Bernstein reiterated an “outperform” rating and set a $240.00 price target (up from $221.00) on shares of Diamondback Energy in a report on Wednesday, September 2nd. Three research analysts have rated the stock with a Strong Buy rating, twenty-four have given a Buy rating and four have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Diamondback Energy presently has an average rating of “Moderate Buy” and a consensus price target of $228.39.

Diamondback Energy Price Performance

FANG opened at $180.98 on Wednesday. The stock’s 50-day moving average price is $194.43 and its 200 day moving average price is $190.34. Diamondback Energy has a 12-month low of $139.41 and a 12-month high of $216.90. The firm has a market cap of $50.52 billion, a price-to-earnings ratio of 24.76 and a beta of 0.49. The company has a current ratio of 0.55, a quick ratio of 0.54 and a debt-to-equity ratio of 0.26.

Diamondback Energy (NASDAQ:FANG) last released its earnings results on Monday, November 2nd. The oil and natural gas company reported $5.86 earnings per share for the quarter, beating the consensus estimate of $5.72 by $0.14. The company had revenue of $5.43 billion during the quarter, compared to the consensus estimate of $4.60 billion. Diamondback Energy had a return on equity of 11.86% and a net margin of 11.03%. Diamondback Energy’s revenue was up 38.4% compared to the same quarter last year. During the same period in the previous year, the company posted $3.08 EPS. As a group, sell-side analysts expect that Diamondback Energy will post 22.52 earnings per share for the current year.

Diamondback Energy Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, November 19th. Stockholders of record on Thursday, November 12th will be given a dividend of $1.18 per share. The ex-dividend date of this dividend is Thursday, November 12th. This represents a $4.72 annualized dividend and a dividend yield of 2.6%. This is an increase from Diamondback Energy’s previous quarterly dividend of $1.10. Diamondback Energy’s payout ratio is currently 60.19%.

Insider Transactions at Diamondback Energy

In other news, Director Travis Stice sold 75,000 shares of the firm’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 sale, the director owned 49,727 shares of the company’s stock, valued at approximately $10,159,723.37. This trade represents a 60.13% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Charles Meloy sold 33,333 shares of the firm’s stock in a transaction dated Monday, October 5th. The stock was sold at an average price of $183.74, for a total value of $6,124,605.42. Following the sale, the director directly owned 759,864 shares in the company, valued at $139,617,411.36. This trade represents a 4.20% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Corporate insiders own 0.64% of the company’s stock.

Institutional Trading of Diamondback Energy

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in FANG. Advisors Asset Management Inc. purchased a new stake in Diamondback Energy in the third quarter valued at $5,702,000. Hartford Funds Management Co LLC purchased a new position in shares of Diamondback Energy during the third quarter worth about $579,000. Stephens Investment Management Group LLC grew its holdings in shares of Diamondback Energy by 19.3% during the third quarter. Stephens Investment Management Group LLC now owns 119,311 shares of the oil and natural gas company’s stock worth $21,931,000 after purchasing an additional 19,301 shares during the last quarter. Meeder Asset Management Inc. grew its holdings in shares of Diamondback Energy by 170.6% during the third quarter. Meeder Asset Management Inc. now owns 433 shares of the oil and natural gas company’s stock worth $80,000 after purchasing an additional 273 shares during the last quarter. Finally, Harbour Wealth Management Group Inc. increased its position in shares of Diamondback Energy by 4.2% during the third quarter. Harbour Wealth Management Group Inc. now owns 3,057 shares of the oil and natural gas company’s stock worth $562,000 after purchasing an additional 124 shares in the last quarter. Institutional investors and hedge funds own 90.01% of the company’s stock.

Recent Diamondback Energy Headlines

Investors following FANG have been watching these headlines:

• Positive Sentiment: UBS raised its price target to $263 from $260 and maintained a Buy rating. The new target implies about 45% upside from the cited share price, potentially supporting investor sentiment. UBS Group recommendations
• Positive Sentiment: Diamondback and KKR agreed to acquire Five Point Infrastructure’s 70% stake in Deep Blue, a produced-water platform serving the Midland Basin. Alongside Diamondback’s existing 30% stake, the deal gives the partners joint ownership of the platform and supports Diamondback’s infrastructure strategy. Diamondback and KKR to acquire Deep Blue
• Positive Sentiment: Diamondback raised its quarterly base dividend by 7.3% to $1.18 per share. The increase signals confidence in cash generation, though the cited coverage advises investors to monitor oil prices. Diamondback dividend increase and oil-price considerations

Diamondback Energy Company Profile

Diamondback Energy is an independent oil and natural gas company focused on the development and production of energy resources in the Permian Basin, primarily in West Texas and southeastern New Mexico. Its operations include exploration, drilling and production. The company produces crude oil, natural gas and natural gas liquids. Its activities are concentrated in the Midland and Delaware Basin regions, where it develops oil and gas properties and related reserves. Founded in 2007 and headquartered in Midland, Texas, Diamondback has expanded its Permian Basin operations over time, including through acquisitions.