158.38 USD
+2.4 (+1.54%)
158 USD
-0.38 (-0.24%)
FANG gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 209 industry peers in the Oil, Gas & Consumable Fuels industry. While FANG has a great profitability rating, there are quite some concerns on its financial health. FANG is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
FANG had positive earnings in the past year.
In the past year FANG had a positive cash flow from operations.
Of the past 5 years FANG 4 years were profitable.
FANG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of FANG (5.48%) is better than 68.42% of its industry peers.
The Return On Equity of FANG (10.69%) is better than 66.03% of its industry peers.
FANG's Return On Invested Capital of 6.23% is in line compared to the rest of the industry. FANG outperforms 55.50% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for FANG is significantly below the industry average of 21.47%.
The last Return On Invested Capital (6.23%) for FANG is well below the 3 year average (13.71%), which needs to be investigated, but indicates that FANG had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.48% | ||
| ROE | 10.69% | ||
| ROIC | 6.23% |
ROA(3y)10.76%
ROA(5y)3.23%
ROE(3y)18.84%
ROE(5y)4.64%
ROIC(3y)13.71%
ROIC(5y)11.82%
1.3 Margins
FANG's Profit Margin of 27.20% is amongst the best of the industry. FANG outperforms 84.69% of its industry peers.
FANG's Profit Margin has improved in the last couple of years.
FANG has a Operating Margin of 36.35%. This is amongst the best in the industry. FANG outperforms 84.21% of its industry peers.
In the last couple of years the Operating Margin of FANG has grown nicely.
The Gross Margin of FANG (70.42%) is better than 80.86% of its industry peers.
FANG's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.35% | ||
| PM (TTM) | 27.2% | ||
| GM | 70.42% |
OM growth 3Y-10.89%
OM growth 5Y2.54%
PM growth 3Y-2.26%
PM growth 5Y37.7%
GM growth 3Y-4.27%
GM growth 5Y-1.55%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), FANG is creating some value.
The number of shares outstanding for FANG has been increased compared to 1 year ago.
The number of shares outstanding for FANG has been increased compared to 5 years ago.
Compared to 1 year ago, FANG has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.27, we must say that FANG is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.27, FANG is in line with its industry, outperforming 49.76% of the companies in the same industry.
A Debt/Equity ratio of 0.41 indicates that FANG is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.41, FANG is in line with its industry, outperforming 55.02% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.27 |
ROIC/WACC0.79
WACC7.91%
2.3 Liquidity
A Current Ratio of 0.62 indicates that FANG may have some problems paying its short term obligations.
FANG has a worse Current ratio (0.62) than 78.95% of its industry peers.
A Quick Ratio of 0.60 indicates that FANG may have some problems paying its short term obligations.
FANG's Quick ratio of 0.60 is on the low side compared to the rest of the industry. FANG is outperformed by 73.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.6 |
3. Growth
3.1 Past
The earnings per share for FANG have decreased strongly by -18.73% in the last year.
The Earnings Per Share has been growing by 19.84% on average over the past years. This is quite good.
The Revenue has grown by 60.29% in the past year. This is a very strong growth!
FANG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 22.79% yearly.
EPS 1Y (TTM)-18.73%
EPS 3Y12.48%
EPS 5Y19.84%
EPS Q2Q%-8.88%
Revenue 1Y (TTM)60.29%
Revenue growth 3Y17.64%
Revenue growth 5Y22.79%
Sales Q2Q%48.36%
3.2 Future
The Earnings Per Share is expected to grow by 5.10% on average over the next years.
The Revenue is expected to grow by 9.64% on average over the next years. This is quite good.
EPS Next Y-17.89%
EPS Next 2Y-11.67%
EPS Next 3Y-0.94%
EPS Next 5Y5.1%
Revenue Next Year36.06%
Revenue Next 2Y15.59%
Revenue Next 3Y12.95%
Revenue Next 5Y9.64%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.37, the valuation of FANG can be described as reasonable.
Based on the Price/Earnings ratio, FANG is valued a bit cheaper than 74.16% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.37, FANG is valued rather cheaply.
With a Price/Forward Earnings ratio of 12.66, FANG is valued correctly.
FANG's Price/Forward Earnings ratio is in line with the industry average.
FANG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.37 | ||
| Fwd PE | 12.66 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FANG is valued a bit cheaper than 68.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.92 |
4.3 Compensation for Growth
The decent profitability rating of FANG may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.57
EPS Next 2Y-11.67%
EPS Next 3Y-0.94%
5. Dividend
5.1 Amount
FANG has a Yearly Dividend Yield of 2.68%.
Compared to an average industry Dividend Yield of 5.93, FANG has a dividend in line with its industry peers.
FANG's Dividend Yield is comparable with the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.68% |
5.2 History
The dividend of FANG is nicely growing with an annual growth rate of 57.49%!
FANG has been paying a dividend for over 5 years, so it has already some track record.
The dividend of FANG decreased recently.
Dividend Growth(5Y)57.49%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
27.09% of the earnings are spent on dividend by FANG. This is a low number and sustainable payout ratio.
The dividend of FANG is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP27.09%
EPS Next 2Y-11.67%
EPS Next 3Y-0.94%
158.38
+2.4 (+1.54%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)
Earnings (Next)
Inst Owners61.93%
Inst Owner Change1.31%
Ins Owners0.72%
Ins Owner Change-0.02%
Market Cap45.38B
Revenue(TTM)15.36B
Net Income(TTM)4.18B
Analysts84.21
Price Target184.98 (16.8%)
Short Float %5.42%
Short Ratio5.6
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.68% |
Yearly Dividend6.72
Dividend Growth(5Y)57.49%
DP27.09%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.91%
Min EPS beat(2)-7.02%
Max EPS beat(2)3.2%
EPS beat(4)3
Avg EPS beat(4)2.65%
Min EPS beat(4)-7.02%
Max EPS beat(4)7.78%
EPS beat(8)3
Avg EPS beat(8)-1.08%
EPS beat(12)4
Avg EPS beat(12)-1.37%
EPS beat(16)8
Avg EPS beat(16)0.45%
Revenue beat(2)2
Avg Revenue beat(2)8.1%
Min Revenue beat(2)7.01%
Max Revenue beat(2)9.18%
Revenue beat(4)4
Avg Revenue beat(4)6.44%
Min Revenue beat(4)3.11%
Max Revenue beat(4)9.18%
Revenue beat(8)8
Avg Revenue beat(8)6.08%
Revenue beat(12)9
Avg Revenue beat(12)3.43%
Revenue beat(16)13
Avg Revenue beat(16)6.03%
PT rev (1m)-1.71%
PT rev (3m)-1.86%
EPS NQ rev (1m)2.18%
EPS NQ rev (3m)-1.39%
EPS NY rev (1m)-1.77%
EPS NY rev (3m)-1.16%
Revenue NQ rev (1m)1.98%
Revenue NQ rev (3m)1.81%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)0.37%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.37 | ||
| Fwd PE | 12.66 | ||
| P/S | 2.95 | ||
| P/FCF | N/A | ||
| P/OCF | 5.18 | ||
| P/B | 1.16 | ||
| P/tB | 1.16 | ||
| EV/EBITDA | 5.92 |
EPS(TTM)13.93
EY8.8%
EPS(NY)12.51
Fwd EY7.9%
FCF(TTM)-3.82
FCFYN/A
OCF(TTM)30.56
OCFY19.29%
SpS53.61
BVpS136.42
TBVpS136.42
PEG (NY)N/A
PEG (5Y)0.57
Graham Number206.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.48% | ||
| ROE | 10.69% | ||
| ROCE | 7.75% | ||
| ROIC | 6.23% | ||
| ROICexc | 6.24% | ||
| ROICexgc | 6.24% | ||
| OM | 36.35% | ||
| PM (TTM) | 27.2% | ||
| GM | 70.42% | ||
| FCFM | N/A |
ROA(3y)10.76%
ROA(5y)3.23%
ROE(3y)18.84%
ROE(5y)4.64%
ROIC(3y)13.71%
ROIC(5y)11.82%
ROICexc(3y)13.87%
ROICexc(5y)12.01%
ROICexgc(3y)13.87%
ROICexgc(5y)12.01%
ROCE(3y)17.06%
ROCE(5y)14.7%
ROICexgc growth 3Y-27.28%
ROICexgc growth 5Y2.37%
ROICexc growth 3Y-27.28%
ROICexc growth 5Y2.37%
OM growth 3Y-10.89%
OM growth 5Y2.54%
PM growth 3Y-2.26%
PM growth 5Y37.7%
GM growth 3Y-4.27%
GM growth 5Y-1.55%
F-Score7
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.41 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 1.53 | ||
| Cap/Depr | 205% | ||
| Cap/Sales | 64.12% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 84.28% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.62 | ||
| Quick Ratio | 0.6 | ||
| Altman-Z | 1.27 |
F-Score7
WACC7.91%
ROIC/WACC0.79
Cap/Depr(3y)314.79%
Cap/Depr(5y)256.28%
Cap/Sales(3y)66.3%
Cap/Sales(5y)61.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-18.73%
EPS 3Y12.48%
EPS 5Y19.84%
EPS Q2Q%-8.88%
EPS Next Y-17.89%
EPS Next 2Y-11.67%
EPS Next 3Y-0.94%
EPS Next 5Y5.1%
Revenue 1Y (TTM)60.29%
Revenue growth 3Y17.64%
Revenue growth 5Y22.79%
Sales Q2Q%48.36%
Revenue Next Year36.06%
Revenue Next 2Y15.59%
Revenue Next 3Y12.95%
Revenue Next 5Y9.64%
EBIT growth 1Y25.15%
EBIT growth 3Y4.83%
EBIT growth 5Y25.91%
EBIT Next Year118.23%
EBIT Next 3Y32.79%
EBIT Next 5Y20.16%
FCF growth 1Y-208.1%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y52.62%
OCF growth 3Y17.59%
OCF growth 5Y18.59%
DIAMONDBACK ENERGY INC / FANG FAQ
What is the ChartMill fundamental rating of DIAMONDBACK ENERGY INC (FANG) stock?
ChartMill assigns a fundamental rating of 5 / 10 to FANG.
Can you provide the valuation status for DIAMONDBACK ENERGY INC?
ChartMill assigns a valuation rating of 4 / 10 to DIAMONDBACK ENERGY INC (FANG). This can be considered as Fairly Valued.
What is the profitability of FANG stock?
DIAMONDBACK ENERGY INC (FANG) has a profitability rating of 7 / 10.
What is the financial health of DIAMONDBACK ENERGY INC (FANG) stock?
The financial health rating of DIAMONDBACK ENERGY INC (FANG) is 2 / 10.
What is the expected EPS growth for DIAMONDBACK ENERGY INC (FANG) stock?
The Earnings per Share (EPS) of DIAMONDBACK ENERGY INC (FANG) is expected to decline by -17.89% in the next year.