Diamondback Energy
Diamondback Energy, Inc., an independent oil and natural gas company, acquires, develops, explores, and exploits unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas, the United States. The company primarily focuses on the development of the Spraberry and Wolfcamp…
Diamondback Energy, Inc., an independent oil and natural gas company, acquires, develops, explores, and exploits unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas, the United States. The company primarily focuses on the development of the Spraberry and Wolfcamp formations of the Midland Basin; and the Wolfcamp and Bone Spring formations of the Delaware Basin, both of which are part of the Permian Basin in West Texas and New Mexico. Diamondback Energy, Inc. was founded in 2007 and is headquartered in Midland, Texas.After signing in, return here and select “Add to watchlist”. Saving companies requires a verified email address.
Looks undervalued
5-year outlook: Not shown because confidence is low: Earnings-based DCF disagrees strongly.
Why: Free cash flow is far below earnings (heavy investment), and even a three-year average understates value, so an EV/EBITDA multiple, which is not distorted by capex timing, fits best.
Start with the price and fair value range, then review the data dates and assumptions below. Estimates are not predictions or investment advice.
Market price below modeled range
Showing the Fade DCF (10-year growth fade) you selected on the company card, using 3.92% growth, 2.5% terminal growth and 9.2% discount. The range varies these assumptions slightly; it is illustrative, not investment advice.
Assumptions: growth 3.92%, discount rate 9.20%, terminal growth 2.50% (sector defaults). See a worked example.
Blended growth assumption: 3.9% (sector default 4.6%, own revenue history 21.9%, analyst revenue consensus -5.4%).
Analyst consensus expects revenue growth of -5.4% a year; the growth assumption used is 3.9%.
Adjust assumptions
Show the recommended model instead
Why this model: Free cash flow is far below earnings (heavy investment), and even a three-year average understates value, so an EV/EBITDA multiple, which is not distorted by capex timing, fits best.
Compare models- Recommended: EV/EBITDA (12x) — USD 214.56 (+20.3%)
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EPS-based Gordon proxy
— USD 88.06 (-50.6%)
Not used: Treats all earnings as if paid out and ignores the cash kept for reinvestment, so it overstates value for companies that retain most profit.
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DCF (trailing free cash flow)
— USD 445.51 (+149.7%)
Not used: Free cash flow is 5.3x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
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FCFF (steady state)
— USD 416.36 (+133.4%)
Not used: Free cash flow is 5.3x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
- EV/EBITDA (12x) — USD 214.56 (+20.3%)
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Fade DCF (10-year growth fade)
— USD 444.49 (+149.2%)
Not used: Free cash flow is 5.3x net income, which usually means costs such as lease payments sit outside operating cash flow, so it may be overstated.
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EV/Sales (Rule of 40)
— USD 429.77 (+140.9%)
Not used: Used only for technology and communication companies whose cash-flow value is far below the price.
| Bear USD 258.72 | 31.0% |
| Base USD 444.49 | 59.9% |
| Bull USD 829.37 | 78.5% |
Margin = (value − price) / value, so it is measured against the value and reads lower than the upside to value, which is measured against the price. Positive means the price is below that case.
Track record: see the methodology page for how this model has performed historically, including its limits. Treat it as a screen, not a forecast.
Price history and fair value
No chartable saved daily price history is available for this range. The chart uses stored EODHD prices only and will appear after history is saved.
Latest news
Headlines provided by EODHD. Articles may mention multiple companies and are not investment recommendations.
More detail: quality, peers, price history, dividends and financials
Quality score: 100 / 100
Five equal checks on reported history: profitability, cash generation, revenue growth, balance sheet and margins. It describes business quality, not whether the price is attractive.
| Profitability | 5 of 5 years profitable | 20 / 20 |
| Cash generation | free cash flow positive in 5 of 5 years | 20 / 20 |
| Growth | revenue +17.9% a year | 20 / 20 |
| Balance sheet | net debt 1.5x EBITDA | 20 / 20 |
| Margins | EBITDA margin 41% | 20 / 20 |
Peers in Energy
Same-sector companies with a valuation, most undervalued first. Compare the margin of safety, yield and quality score side by side.
| Company | Price | Margin of safety | P/E | P/B | Yield | Quality |
|---|---|---|---|---|---|---|
| FANG (this company) | USD 178.39 | 37.1% | 24.3 | 1.3 | 2.4% | 100 |
| HBR.L Harbour Energy plc | GBP 2.62 | 61.9% | – | 1.4 | 7.9% | 92 |
| SHEL.L Shell plc | GBP 36.78 | 33.2% | 8.5 | 1.4 | 3.0% | 84 |
| AKSO.OL Aker Solutions ASA | NOK 35.96 | 22.8% | 6.8 | 1.5 | 9.1% | 75 |
| BP.L BP p.l.c. | GBP 5.52 | 19.4% | – | – | 4.4% | 69 |
| BWLPG.OL BW LPG Limited | NOK 206.40 | 8.2% | 7.5 | 1.7 | 1.3% | 100 |
| EOG EOG Resources | USD 144.79 | 6.2% | 11.1 | 2.4 | 2.8% | 92 |
| TTE.PA TotalEnergies SE | EUR 78.59 | 6.1% | 8.8 | 1.5 | 4.3% | 84 |
| ENB.TO Enbridge Inc. | CAD 66.75 | -10.4% | 19.5 | 2.3 | 5.9% | 80 |
| Peer median | 8.7 | 1.5 | ||||
Dividends
Paid in the last 12 months: USD 4.25 per share · yield 2.38% at the current price.
| Year | Dividends per share |
|---|---|
| 2026 (so far) | 3.250 |
| 2025 | 4.000 |
| 2024 | 8.290 |
| 2023 | 7.990 |
| 2022 | 8.960 |
| 2021 | 1.750 |
Annual financial statement
Saved annual report · Fiscal year 2025 · SEC EDGAR annual filings · period ended 31 Dec 2025
| Revenue | USD 15,026,000,000 |
|---|---|
| EBITDA | USD 6,304,000,000 |
| EBIT | USD 1,266,000,000 |
| Net income | USD 1,664,000,000 |
| Free cash flow | USD 8,758,000,000 |
| Capital expenditures | USD |
| Debt | USD 13,726,000,000 |
| Cash | USD 104,000,000 |
| Working capital | USD -2,685,000,000 |
| Shares outstanding | 289,079,000 |
| Reported dividends per share | USD 4.0000 |