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Diamondback Energy (FANG) Dips More Than Broader Markets: What You Should Know
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Diamondback Energy (FANG - Free Report) closed the most recent trading day at $136.93, moving -1.72% from the previous trading session. This move lagged the S&P 500's daily loss of 0.38%. Elsewhere, the Dow lost 0.68%, while the tech-heavy Nasdaq lost 10.47%.
Coming into today, shares of the energy exploration and production company had gained 6.59% in the past month. In that same time, the Oils-Energy sector gained 7.91%, while the S&P 500 gained 2.61%.
Investors will be hoping for strength from Diamondback Energy as it approaches its next earnings release, which is expected to be May 1, 2023. The company is expected to report EPS of $4.41, down 15.19% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.95 billion, down 18.99% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.72 per share and revenue of $8.63 billion, which would represent changes of -13.74% and -10.5%, 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. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection has moved 6.32% lower. Diamondback Energy is currently a Zacks Rank #3 (Hold).
Investors should also note Diamondback Energy's current valuation metrics, including its Forward P/E ratio of 6.72. Its industry sports an average Forward P/E of 6.64, so we one might conclude that Diamondback Energy is trading at a premium comparatively.
It is also worth noting that FANG currently has a PEG ratio of 0.31. 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. Oil and Gas - Exploration and Production - United States stocks are, on average, holding a PEG ratio of 0.35 based on yesterday's closing prices.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 217, which puts it in the bottom 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow FANG in the coming trading sessions, be sure to utilize Zacks.com.
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Diamondback Energy (FANG) Dips More Than Broader Markets: What You Should Know
Diamondback Energy (FANG - Free Report) closed the most recent trading day at $136.93, moving -1.72% from the previous trading session. This move lagged the S&P 500's daily loss of 0.38%. Elsewhere, the Dow lost 0.68%, while the tech-heavy Nasdaq lost 10.47%.
Coming into today, shares of the energy exploration and production company had gained 6.59% in the past month. In that same time, the Oils-Energy sector gained 7.91%, while the S&P 500 gained 2.61%.
Investors will be hoping for strength from Diamondback Energy as it approaches its next earnings release, which is expected to be May 1, 2023. The company is expected to report EPS of $4.41, down 15.19% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.95 billion, down 18.99% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $20.72 per share and revenue of $8.63 billion, which would represent changes of -13.74% and -10.5%, 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. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. Within the past 30 days, our consensus EPS projection has moved 6.32% lower. Diamondback Energy is currently a Zacks Rank #3 (Hold).
Investors should also note Diamondback Energy's current valuation metrics, including its Forward P/E ratio of 6.72. Its industry sports an average Forward P/E of 6.64, so we one might conclude that Diamondback Energy is trading at a premium comparatively.
It is also worth noting that FANG currently has a PEG ratio of 0.31. 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. Oil and Gas - Exploration and Production - United States stocks are, on average, holding a PEG ratio of 0.35 based on yesterday's closing prices.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 217, which puts it in the bottom 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow FANG in the coming trading sessions, be sure to utilize Zacks.com.