Diamondback Receives a Buy from BMO Capital

By Jason Carr

BMO Capital analyst Dan McSpirit reiterated a Buy rating on Diamondback (NASDAQ: FANG) yesterday and set a price target of $105. The company’s shares closed yesterday at $93.96.

According to TipRanks.com, McSpirit is a 4-star analyst with an average return of 3.7% and a 59.6% success rate. McSpirit covers the Basic Materials sector, focusing on stocks such as Sanchez Energy Corporation, Rosetta Resources Inc., and Range Resources Corp.

Currently, the analyst consensus on Diamondback is Strong Buy and the average price target is $111.17, representing a 18.3% upside.

In a report released today, Nomura Holdings also reiterated a Buy rating on the stock with a $110 price target.

Based on Diamondback’s latest earnings report from June 30, the company posted quarterly revenue of $112.5M and quarterly net profit of -$155.5M. In comparison, last year the company earned revenue of $111.9M and had a net profit of -$156.8M.

Based on the recent corporate insider activity of 61 insiders, corporate insider sentiment is negative on the stock. Most recently, in September 2016, Elizabeth Moses, the VP Land of FANG sold 2,000 shares for a total of $177,300.

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.