Diamondback Energy Inc (NASDAQ:FANG): The Best Of Both Worlds
I’ve been keeping an eye on Diamondback Energy Inc (NASDAQ:FANG) because I’m attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe FANG has a lot to offer. Basically, it has a an impressive track record of performance as well as a excellent growth outlook going forward. In the following section, I expand a bit more on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, read the full report on Diamondback Energy here.
High growth potential with proven track record
Investors in search of impressive top-line expansion should look no further than FANG, with its expected 92.66% revenue growth in the upcoming year, supported by its outstanding capacity to churn out cash from operating activities, which is predicted to more than double over the next year. This indicates that revenue is driven by high-quality cash from FANG’s day-to-day business as opposed to one-off income. FANG delivered a triple-digit bottom-line expansion over the past couple of years, with its most recent earnings level surpassing its average level over the last five years. Not only did FANG outperformed its past performance, its growth also surpassed the Oil and Gas industry expansion, which generated a 25.00% earnings growth. This is what investors like to see!
Next Steps:
For Diamondback Energy, there are three essential factors you should further examine:
Financial Health: Does it have a healthy balance sheet? Take a look at our free balance sheet analysis with six simple checks on key factors like leverage and risk.
Valuation: What is FANG worth today? Is the stock undervalued, even when its growth outlook is factored into its intrinsic value? The intrinsic value infographic in our free research report helps visualize whether FANG is currently mispriced by the market.
Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of FANG? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
