# Diamondback Energy, Inc. (FANG) — Stock CV

Diamondback Energy, Inc. is a $53.7B energy company. Revenue grew 21.4% over the last year, it keeps 9¢ of every dollar of sales as profit, and its net debt equals ~1.3 years of free cash flow. It trades at 36.7× earnings — in the most expensive third of its own history.

> Diamondback is a crude oil and natural gas exploration and production firm whose operations represent a pure-play in the US Permian Basin. The company went public in 2012 and has established itself as a top-tier independent producer through disciplined acquisition and operational excellence.

## Identity

- **Ticker**: FANG
- **Sector**: Energy
- **Industry**: Crude Petroleum & Natural Gas
- **Headquarters**: MIDLAND, TX
- **Employees**: 1 762
- **Website**: https://www.diamondbackenergy.com
- **Market cap**: $53.7B
- **Last price**: $191.80
- **Financial profile**: Mixed

## Vitals (TTM)

- **Revenue**: $17.1B
- **Net income**: $1.47B
- **Free cash flow**: $10.1B
- **Net debt**: $13.6B
- **P/E**: 36.7
- **Revenue growth (YoY)**: 21.4%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 65 |
| Growth | 50 |
| Profitability | 28 |
| Health | 47 |
| Quality | 35 |
| Moat | 31 |

## Qualifications (beginner checklist) — 8 of 11 passed

- [x] Revenue growing — +21.4% YoY
- [x] Profitable — $1.47B TTM
- [ ] Profit growing — -38.6% YoY
- [x] Generates cash — $10.1B TTM
- [x] Debt under control — ~1.3y of cash flow to repay
- [x] Established company — $53.7B market cap
- [ ] Not printing shares — +83.0% shares over ~5y
- [x] Proven track record — 8/10 profitable years
- [ ] Financially stable — Altman Z 1.6 — distress
- [x] Pays a dividend — yield 2.19%
- [x] Valuation not extreme — P/E 36.7

## Experience (career milestones)

- **2025** — The company acquired Double Eagle IV for $3 billion in cash and 6.9 million shares of stock
- **FY2024** — Revenue crossed $10B: $11.1B for the year
- **2024** — The company acquired Endeavor Energy Resources
- **FY2022** — Best year on record: $4.39B net income
- **2021** — The company acquired QEP Resources
- **FY2018** — Revenue crossed $1B: $2.18B for the year
- **2018** — The company acquired the assets of Ajax Resources for $1.25 billion
- **FY2017** — Turned profitable: $482M net income after a loss year
- **2017** — The company acquired assets from Brigham Resources for $2.55 billion
- **FY2016** — Positive free cash flow every year since: 10-year streak
- **2012** — The company became a public company via an initial public offering, issuing 12,500,000 shares of…
- **2007** — The company began operations in December 2007 with the acquisition of 4,174 net acres in the Permian Basin

## Strengths

- High gross margin (68.0%)
- Revenue growing 21.4% year over year
- Strong cash conversion — FCF is 59.3% of revenue
- Interest covered 12.1× by operating earnings

## Watch-outs

- Altman Z-Score 1.57 — elevated financial-distress risk
- Loss-making in 2 of the recent years

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $6.80B | $2.18B | $3.94B |
| FY2022 | $9.64B | $4.39B | $6.33B |
| FY2023 | $8.41B | $3.14B | $5.92B |
| FY2024 | $11.1B | $3.34B | $6.41B |
| FY2025 | $15.0B | $1.66B | $8.76B |

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Source: https://stockcv.com/FANG — derived from company filings; may be delayed or incomplete. Information, not investment advice.