Diamondback Energy (FANG) closed the latest trading day at $136.65, indicating a -0.85% change from the previous session's end. This move lagged the S&P 500's daily gain of 0.58%. At the same time, the Dow added 0.75%, and the tech-heavy Nasdaq gained 0.55%.
Shares of the energy exploration and production company have depreciated by 13.8% over the course of the past month, underperforming the Oils-Energy sector's loss of 8.92% and the S&P 500's loss of 0.84%.
The investment community will be closely monitoring the performance of Diamondback Energy in its forthcoming earnings report. The company is scheduled to release its earnings on May 5, 2025. On that day, Diamondback Energy is projected to report earnings of $4 per share, which would represent a year-over-year decline of 11.11%. Alongside, our most recent consensus estimate is anticipating revenue of $3.74 billion, indicating a 68.15% upward movement from the same quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $14.02 per share and a revenue of $14.55 billion, signifying shifts of -15.39% and +31.44%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Diamondback Energy. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 6.74% lower. As of now, Diamondback Energy holds a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Diamondback Energy has a Forward P/E ratio of 9.83 right now. This represents a premium compared to its industry's average Forward P/E of 7.76.
It is also worth noting that FANG currently has a PEG ratio of 1.18. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Oil and Gas - Exploration and Production - United States industry had an average PEG ratio of 0.94 as trading concluded yesterday.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 192, putting it in the bottom 23% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Diamondback Energy, Inc. (FANG): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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