FANG

Diamondback Energy Inc

Energy


Presented:01/27/2017
Price:$106.68
Cap:$8.23B
Current Price:$179.77
Cap:$52.99B

Presented

Date01/27/2017
Price$106.68
Market Cap$8.23B
Ent Value$8.10B
P/E RatioN/A
Book Value$32.22
Div Yield0%
Shares O/S77.17M
Ave Daily Vol1,439,951
Short IntN/A

Current

Price$179.77
Market Cap$52.99B
Diamondback Energy, Inc. operates as oil and natural gas company. It engages in the acquisition, development, exploration and exploitation of unconventional, onshore oil, and natural gas reserves. The company was founded in December 2007 and is headquartered in Midland, TX.

Publicly traded companies mentioned herein: Diamondback Energy Inc (FANG)

Highlights

The presenter is long shares of Diamondback Energy (FANG) following the announcement of the $2.4 billion Brigham acquisition, and sees upside to $135 (from ~$100) over the next 12-18 months. He bases this price target on the stock trading at 7x his 2019 EBITDA estimate. He assumes $60/ barrel oil, and said an analysis of the data for a dozen wells compared to management’s guidance gives him confidence in the overall projections for estimated ultimate recovery (EURs). Additionally, his estimates for the oil mix and 2018 production - in the 70%s and 100+ Mboe/d, respectively - are higher than Street forecasts.

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Idea Discussion

Commentor 1 - 2 weeks ago

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