Unveiling Diamondback (FANG) Q4 Outlook: Wall Street Estimates for Key Metrics

Core Viewpoint - Analysts forecast that Diamondback Energy (FANG) will report quarterly earnings of $3.26 per share, reflecting a year-over-year decline of 31.2%, while revenues are expected to reach $3.4 billion, indicating a 52.7% increase compared to the previous year [1]. Earnings Estimates - The consensus EPS estimate for the quarter has been revised 8.9% higher over the last 30 days, indicating a collective reevaluation by analysts [2]. - Changes in earnings estimates are crucial for predicting investor reactions, with empirical studies showing a strong relationship between earnings estimate revisions and short-term stock performance [3]. Revenue Projections - Analysts project 'Revenues- Oil, natural gas and natural gas liquid' to reach $3.36 billion, a year-over-year increase of 55.1% [5]. - 'Revenues- Oil sales' are expected to be $2.98 billion, reflecting a 55.3% year-over-year change [5]. - 'Revenues- Natural gas liquid sales' are estimated at $293.64 million, indicating a 63.1% increase from the previous year [5]. - 'Revenues- Other operating income' is forecasted to be $7.07 million, suggesting a year-over-year decline of 35.7% [6]. Production Metrics - Average daily production is expected to reach 848,160.30 BOE/D, up from 462,565 BOE/D in the same quarter last year [6]. - Total Production Volume (Combined volumes) is projected at 77,974.23 MBOE, compared to 42,556 MBOE in the same quarter of the previous year [7]. - Total Production Volume - Oil is expected to be 43,564.94 MBBL, up from 25,124 MBBL in the same quarter last year [7]. Price Estimates - Average Prices - Oil -hedged are projected at $69.28 per barrel, down from $75.59 per barrel in the same quarter last year [8]. - Average Prices - Natural gas liquids are expected to be $18.42 per barrel, compared to $19.96 per barrel a year ago [9]. - Average Prices - Oil are estimated at $67.78 per barrel, down from $76.42 per barrel in the previous year [9]. - Average Prices - Natural gas liquids, hedged, are projected at $19.40 per barrel, compared to $19.96 per barrel last year [10]. Stock Performance - Over the past month, shares of Diamondback have returned -12.9%, contrasting with the Zacks S&P 500 composite's +4.7% change [10]. - Currently, FANG holds a Zacks Rank 3 (Hold), suggesting its performance may align with the overall market in the near future [11].