Diamondback Energy (NASDAQ:FANG) Cut to “Hold” at Wall Street Zen

Wall Street Zen downgraded shares of Diamondback Energy (NASDAQ:FANG) from a buy rating to a hold rating in a report released on Saturday morning,Wall Street Zen reports.

A number of other equities analysts also recently commented on the company. Raymond James Financial reissued a “strong-buy” rating on shares of Diamondback Energy in a research report on Thursday, September 17th. Stifel Nicolaus set a $259.00 target price on shares of Diamondback Energy in a report on Tuesday, November 3rd. 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. Sanford C. Bernstein reiterated an “outperform” rating and issued a $240.00 price target (up from $221.00) on shares of Diamondback Energy in a research note on Wednesday, September 2nd. Finally, Barclays lowered their price target on shares of Diamondback Energy from $232.00 to $221.00 and set an “overweight” rating for the company in a report on Monday, August 17th. Three investment analysts have rated the stock with a Strong Buy rating, twenty-four have assigned a Buy rating and four have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $228.29.

Diamondback Energy Trading Down 0.4%

NASDAQ:FANG opened at $178.17 on Friday. The firm has a market cap of $49.89 billion, a PE ratio of 9.99 and a beta of 0.49. The stock has a fifty day moving average price of $195.33 and a 200 day moving average price of $190.08. Diamondback Energy has a 12-month low of $139.41 and a 12-month high of $216.90. The company has a current ratio of 0.55, a quick ratio of 0.45 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 EPS for the quarter, topping the consensus estimate of $5.72 by $0.14. Diamondback Energy had a return on equity of 11.86% and a net margin of 11.03%. The firm had revenue of $5.43 billion during the quarter, compared to analysts’ expectations of $4.60 billion. During the same period in the previous year, the firm posted $3.08 EPS. Diamondback Energy’s revenue for the quarter was up 38.4% on a year-over-year basis. Sell-side analysts anticipate that Diamondback Energy will post 22.57 earnings per share for the current fiscal year.

Diamondback Energy Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, November 19th. Investors of record on Thursday, November 12th will be given a $1.18 dividend. This represents a $4.72 dividend on an annualized basis and a yield of 2.6%. This is a boost from Diamondback Energy’s previous quarterly dividend of $1.10. The ex-dividend date of this dividend is Thursday, November 12th. Diamondback Energy’s dividend payout ratio is presently 60.19%.

Insider Buying and Selling at Diamondback Energy

In other Diamondback Energy news, 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 transaction of $6,124,605.42. Following the transaction, the director owned 759,864 shares of the company’s stock, valued at approximately $139,617,411.36. This trade represents a 4.20% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, 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 value of $15,323,250.00. Following the transaction, the director directly owned 49,727 shares in the company, valued at approximately $10,159,723.37. The trade was a 60.13% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 0.64% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in FANG. Independence Bank of Kentucky increased its position in Diamondback Energy by 1.0% in the 3rd quarter. Independence Bank of Kentucky now owns 5,217 shares of the oil and natural gas company’s stock valued at $959,000 after buying an additional 50 shares in the last quarter. Transamerica Financial Advisors LLC raised its stake in Diamondback Energy by 21.0% during the 2nd quarter. Transamerica Financial Advisors LLC now owns 294 shares of the oil and natural gas company’s stock worth $52,000 after buying an additional 51 shares during the period. Capital Advisors Inc. OK raised its stake in Diamondback Energy by 2.9% during the 2nd quarter. Capital Advisors Inc. OK now owns 1,929 shares of the oil and natural gas company’s stock worth $339,000 after buying an additional 54 shares during the period. Rehmann Capital Advisory Group boosted its holdings in Diamondback Energy by 4.9% in the second quarter. Rehmann Capital Advisory Group now owns 1,251 shares of the oil and natural gas company’s stock worth $220,000 after acquiring an additional 59 shares in the last quarter. Finally, Wedbush Securities Inc. boosted its holdings in Diamondback Energy by 1.5% in the second quarter. Wedbush Securities Inc. now owns 4,979 shares of the oil and natural gas company’s stock worth $875,000 after acquiring an additional 72 shares in the last quarter. Institutional investors and hedge funds own 90.01% of the company’s stock.

About Diamondback Energy

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.