# Diamondback Energy Inc. (FANG) — Financial Analysis

**Exchange:** NASDAQ  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-13  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/FANG/thesis · /stocks/FANG/memo

## Financial Snapshot

---
ticker: FANG
step: 04
generated: 2026-05-13
source: quick-research
---

### Diamondback Energy, Inc. (FANG) — Financial Snapshot

#### Income Statement Summary

| Metric | FY2022 | FY2023 | FY2024 | YoY |
|--------|--------|--------|--------|-----|
| Revenue | ~$8.1B | ~$8.4B | ~$11.1B | +32% |
| Gross Margin | ~65% | ~60% | ~63% | |
| Operating Margin | ~45% | ~40% | ~35%* | |
| Net Income | ~$3.7B | ~$3.1B | ~$1.7B* | |
| EPS (diluted) | ~$20.00 | ~$17.00 | ~$15.53 | |

*FY2024 net income and operating margin depressed by large non-cash impairment charges ($3.65B in Q4 2025 related to Endeavor assets marked at $64 realized oil vs. $80 acquisition assumption). Adjusted/cash earnings substantially higher. FY2024 revenue surged due to Endeavor consolidation (closed late 2024).*

#### Cash Flow & Balance Sheet (FY2024)

| Metric | Value |
|--------|-------|
| Operating Cash Flow | ~$8.8B (FY2025 record) |
| Free Cash Flow | ~$4.0B (FY2024); ~$5.9B Adjusted FCF FY2025 |
| Capital Expenditures | ~$3.6–$3.9B (FY2026 guidance) |
| Cash & Equivalents | ~$1.0B |
| Total Debt | ~$14.6B (post-Endeavor; down from $18B peak) |

#### Key Ratios (approximate)
- P/E: ~10–12x (adjusted) | EV/EBITDA: ~6–7x | FCF Yield: ~10–12%
- Revenue Growth (FY2024): +32% (largely acquisition-driven) | FCF Margin: ~35–40%
- Base Dividend: $4.20/share annually (+5% raise, February 2026); plus variable dividends + buybacks
- Shareholder Return Policy: ≥50% of FCF returned to shareholders

#### Growth Profile
Diamondback's financial profile was transformed by the $26B Endeavor acquisition (closed late 2024), which added ~500,000 net acres and roughly doubled production. FY2025 was a record year — $8.8B in net operating cash flow and $5.9B in adjusted FCF — even as commodity prices softened. The company carried significant non-cash impairment charges in Q4 2025 ($3.65B) as Endeavor assets were marked to lower oil price assumptions (~$64/bbl realized vs. $80 acquisition model). Post-Endeavor integration, management targets $10B in net debt by year-end 2026 (down from $18B peak), using FCF to rapidly delever.

#### Forward Estimates
- FY2026 Oil Production Guidance: 500–510 MBO/d (essentially flat vs. FY2025)
- FY2026 Capex Guidance: $3.6–$3.9B (disciplined — prioritizing FCF over growth)
- Oil Price Sensitivity: Each $5/bbl move in WTI = ~$500M in annual FCF impact
- Analyst consensus: 22/26 analysts Buy/Strong Buy; price targets generally $160–$200+

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/FANG/fundamental

## Navigation

- Overview: /stocks/FANG
- Financials (this page): /stocks/FANG/financials
- Thesis: /stocks/FANG/thesis
- Investment Memo: /stocks/FANG/memo
- Coverage universe: /stocks