This oil and gas company's strategic acquisition makes sense and can propel the stock even higher. Acquisition fever That combination of circumstances is giving oil industry executives an incentive to acquire or invest in new assets. Many are using the cash flow and their ability to raise debt to acquire companies and buy energy assets that are attractively priced. This logic works if the price of oil stays relatively high and the acquirer can get assets that will generate significant amounts of cash to pay ...

Everyone's definition of cash-cow stocks is different. I consider cash-cow stocks to be companies whose free cash flow (FCF) is considerably higher than the capital expenditures required to keep the business running efficiently. FCF generators with high FCF yields, defined as free cash flow divided by enterprise value, are even better. I look for those with FCF yields above 8%, although they're not that common given today's inflated share prices. Diamondback Energy (FANG) Although Diamondback Energy (NASDAQ ...

Investors will be eagerly watching for the performance of Diamondback Energy in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on August 5, 2024. The company is forecasted to report an EPS of $4.81, showcasing a 30.71% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $2.25 billion, showing a 17.09% escalation compared to the year-ago quarter. Our research shows that these estimate ...

Industry Overview - The energy sector continues to rely heavily on hydrocarbons due to their superior energy density compared to renewable sources like wind and solar [1][7] - Current geopolitical tensions, particularly related to Russia's invasion of Ukraine, are impacting the oil and gas market, leading to a disinflationary cycle [8][10] Company Performance: Matador Resources (MTDR) - Matador reported a net income of $876.67 million or $7.30 per share during the trailing twelve months (TTM), with revenue reaching $2.83 billion [2] - For fiscal 2024, analysts project earnings to increase by 15.4% to $7.81 per share, with revenue expected to grow by 24.4% to $3.49 billion [2] - The company has shown strong financial performance with an average EPS of $1.75 over the past four quarters, achieving an earnings surprise of 11.53% [6] Company Performance: Diamondback Energy (FANG) - Diamondback Energy posted a net income of $3.18 billion or $17.73 per share during the TTM, with revenue hitting $8.27 billion [5] - Analysts forecast a 6.1% increase in earnings to $19.11 per share for fiscal 2024, with sales expected to rise by 8.9% to $9.16 billion [5] - The company has maintained a strong average EPS of $4.60 over the past four quarters, with an average earnings surprise of 1.88% [4] Company Performance: Shell (SHEL) - Shell reported a net income of $18.01 billion or $5.46 per share during the TTM, with revenue reaching $302.14 billion [15] - For fiscal 2024, EPS is projected to rise by approximately 2.17% to $8.49, while revenue may increase by 1.8% to $322.19 billion [15] - The company has demonstrated strong financial performance, with an average EPS of nearly $1.98 and an average positive earnings surprise of 11.08% [14]

MIDLAND, Texas, June 24, 2024 (GLOBE NEWSWIRE) -- Viper Energy, Inc. (NASDAQ:VNOM) ("Viper"), a subsidiary of Diamondback Energy, Inc. (NASDAQ:FANG) ("Diamondback"), today announced that it plans to release second quarter 2024 financial results on August 5, 2024 after the market closes. In connection with the earnings release, Viper will host a conference call and webcast for investors and analysts to discuss its results for the second quarter of 2024 on Tuesday, August 6, 2024 at 10:00 a.m. CT. Access to t ...

About Diamondback Energy, Inc. In connection with the earnings release, Diamondback will host a conference call and webcast for investors and analysts to discuss its results for the second quarter of 2024 on Tuesday, August 6, 2024 at 8:00 a.m. CT. Access to the webcast, and replay which will be available following the call, may be found here. The live webcast of the earnings conference call will also be available via Diamondback's website at www.diamondbackenergy.com under the "Investor Relations" section ...

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better. Stock to Watch: Diamondback Energy (FANG) Founded in 2007, Midland, TX-headquartered Diamondback Energy, Inc. is an independent oil and gas exploration & production company with its primary focus on the Permian Basin, where it has more than 490,000 net acres. Its activities are concentrated in the Wolfcamp, Spraberry and Bone Spring formations. FANG is a #3 (Hold) on the Zacks Rank, with a VGM Score of A. It also boasts a V ...

From a valuation perspective, Diamondback Energy is currently exchanging hands at a Forward P/E ratio of 9.96. This valuation marks a premium compared to its industry's average Forward P/E of 9.28. The most recent trading session ended with Diamondback Energy (FANG) standing at $193.97, reflecting a +1.93% shift from the previouse trading day's closing. The stock exceeded the S&P 500, which registered a gain of 0.26% for the day. Elsewhere, the Dow gained 0.18%, while the tech-heavy Nasdaq added 0.35%. Shar ...

Core Viewpoint - Diamondback Energy's joint venture with Five Point Energy, Deep Blue Midland Basin, has acquired water infrastructure assets from Lagoon Operating Midland, emphasizing sustainable water management in the Midland Basin [1] Group 1: Acquisition Details - The acquisition includes a large-diameter pipeline of approximately 105 miles and a disposal capacity of 240,000 barrels per day (bpd), with an additional permitted capacity of 544,000 bpd, primarily located in Martin County, TX [2] - The financial details of the transaction have not been disclosed [1] Group 2: Strategic Importance - The acquired assets will enhance Deep Blue's water recycling capabilities and complement its existing infrastructure, driven by a strong portfolio of acreage dedications and minimum volume commitments from key producers [3] - The acquisition solidifies Deep Blue's position in water management and ensures steady demand from important producers in the Midland Basin [3] Group 3: Operational Expansion - Following the acquisition, the joint venture will have a permitted produced water disposal capacity of approximately 2.5 million barrels per day (MMbbl/d) and an extensive pipeline network of 1,000 miles with a redelivery capacity exceeding 600,000 bbl/d [5] - The joint venture has secured multiple third-party commercial contracts, representing nearly 60,000 dedicated acres and involving seven new counterparties [4] Group 4: Synergies and Growth - The acquisition unites complementary water infrastructure, expanding Deep Blue's footprint in the Midland Basin and driving synergies across the business [6] - The joint venture, formed in 2023, has made significant strides in expanding its commercial presence and asset base [4]

Core Insights - Deep Blue Midland Basin LLC has acquired Lagoon Operating – Midland, LLC, enhancing its position in sustainable water management within the Midland Basin [1][3] - The acquisition significantly expands Deep Blue's existing recycling capabilities and includes substantial pipeline and disposal capacity [2][3] Company Overview - Deep Blue is a joint venture between Diamondback Energy and Five Point Energy, focused on integrated midstream water infrastructure for exploration and production companies in the Midland Basin [5] - The company aims to minimize water disposal through recycling and advanced technologies such as desalination and enhanced evaporation [5] Acquisition Details - Lagoon's assets include approximately 105 miles of large diameter pipeline, 240,000 barrels per day (bpd) of disposal capacity, and an additional 544,000 bpd of permitted disposal capacity [2] - Following the acquisition, Deep Blue's total permitted produced water disposal capacity is approximately 2.5 million bpd, with over 1,000 miles of large-diameter pipeline [3] Strategic Impact - The acquisition is expected to unlock synergies across Deep Blue's operations, enhancing efficiency, reliability, and growth opportunities [3] - Deep Blue has secured multiple third-party commercial contracts, representing around 60,000 dedicated acres with seven new counterparties since its formation in September 2023 [3] Leadership Statements - Scott Mitchell, CEO of Deep Blue, emphasized the complementary nature of the acquisition, which reinforces the company's position as a leading sustainable water solutions provider [3] - David Capobianco, CEO of Five Point, highlighted the establishment of a premier sustainable water management platform in the Midland Basin [4]