Diamondback Energy, Inc. (NASDAQ: FANG) is a prominent player in the oil and gas sector, focusing on exploration and production within the United States. As a key entity in the Zacks Oil and Gas - Exploration and Production industry, FANG is known for its robust operational strategies and financial performance. The company competes with other major energy firms, striving to maintain its position through strategic investments and shareholder returns.
FANG is set to release its quarterly earnings on February 25, 2025, with Wall Street analysts estimating an earnings per share (EPS) of $3.57 and projected revenue of $3.55 billion. In the previous quarter, FANG reported a revenue of $3.71 billion, surpassing the Zacks Consensus Estimate of $3.4 billion by 9.18%. This marked a significant year-over-year increase of 66.6%, showcasing the company's strong revenue growth.
Despite a decrease in EPS from $4.74 in the previous year to $3.64, FANG still exceeded the consensus estimate of $3.26, delivering an 11.66% surprise. This performance highlights the company's ability to surpass market expectations, even amidst challenges. Over the past four quarters, FANG has exceeded consensus EPS estimates three times, indicating consistent financial strength.
FANG's financial health is further supported by its operational metrics. The company reported an average production of 475.9 thousand barrels of oil per day and generated $2.3 billion in net cash from operating activities. With cash capital expenditures of $933 million, FANG achieved a free cash flow of $1.3 billion, reflecting efficient capital management.
In terms of shareholder value, FANG increased its annual base dividend by 11% to $4.00 per share, with a fourth-quarter dividend of $1.00 per share payable on March 13, 2025. Additionally, the company repurchased over 2.3 million shares for $402 million, demonstrating a commitment to returning value to shareholders.
