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Diamondback Energy (FANG) Stock Sinks As Market Gains: What You Should Know
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Diamondback Energy (FANG - Free Report) closed at $125.42 in the latest trading session, marking a -0.96% move from the prior day. This move lagged the S&P 500's daily gain of 0.56%. Elsewhere, the Dow gained 0.41%, while the tech-heavy Nasdaq added 1.35%.
Prior to today's trading, shares of the energy exploration and production company had lost 10.57% over the past month. This has lagged the Oils-Energy sector's loss of 8% and the S&P 500's loss of 1.48% in that time.
Investors will be hoping for strength from Diamondback Energy as it approaches its next earnings release. The company is expected to report EPS of $4.91, down 5.58% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.11 billion, down 12.47% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $22.12 per share and revenue of $9.12 billion, which would represent changes of -7.91% and -5.47%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Diamondback Energy. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 7.11% lower within the past month. Diamondback Energy currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Diamondback Energy currently has a Forward P/E ratio of 5.73. This represents a premium compared to its industry's average Forward P/E of 5.23.
Investors should also note that FANG has a PEG ratio of 0.26 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Exploration and Production - United States industry currently had an average PEG ratio of 0.29 as of yesterday's close.
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 226, putting it in the bottom 11% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Diamondback Energy (FANG) Stock Sinks As Market Gains: What You Should Know
Diamondback Energy (FANG - Free Report) closed at $125.42 in the latest trading session, marking a -0.96% move from the prior day. This move lagged the S&P 500's daily gain of 0.56%. Elsewhere, the Dow gained 0.41%, while the tech-heavy Nasdaq added 1.35%.
Prior to today's trading, shares of the energy exploration and production company had lost 10.57% over the past month. This has lagged the Oils-Energy sector's loss of 8% and the S&P 500's loss of 1.48% in that time.
Investors will be hoping for strength from Diamondback Energy as it approaches its next earnings release. The company is expected to report EPS of $4.91, down 5.58% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.11 billion, down 12.47% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $22.12 per share and revenue of $9.12 billion, which would represent changes of -7.91% and -5.47%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Diamondback Energy. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 7.11% lower within the past month. Diamondback Energy currently has a Zacks Rank of #3 (Hold).
Digging into valuation, Diamondback Energy currently has a Forward P/E ratio of 5.73. This represents a premium compared to its industry's average Forward P/E of 5.23.
Investors should also note that FANG has a PEG ratio of 0.26 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Exploration and Production - United States industry currently had an average PEG ratio of 0.29 as of yesterday's close.
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 226, putting it in the bottom 11% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.