Vantage Investment Partners LLC has boosted its stake in Diamondback Energy, Inc. (NASDAQ:FANG) by 9.8% during the third quarter of 2023, according to a report from HoldingsChannel.com. The institutional investor now holds 91,349 shares of the oil and natural gas company, valued at approximately $13.07 million following the acquisition of an additional 8,165 shares during the period.
Other institutional investors have also adjusted their holdings in Diamondback Energy. Notably, Woodmont Investment Counsel LLC increased its stake by an impressive 1,123.0% in the second quarter, acquiring 39,957 shares to bring its total to 43,515 shares worth $5.98 million. Similarly, NorthRock Partners LLC expanded its position by 181.6%, owning 3,551 shares valued at approximately $488,000 after purchasing an additional 2,290 shares.
During the same quarter, WoodTrust Financial Corp entered a new position in Diamondback Energy, valued at $1.62 million. Massachusetts Financial Services Co. MA also raised its stake by 9.7% and now owns 1,385,428 shares worth about $198.26 million, having acquired an additional 122,921 shares. Shell Asset Management Co. increased its holdings by 22.9% during the second quarter, owning 12,998 shares valued at approximately $1.79 million.
Institutional investors now control about 90.01% of Diamondback Energy’s stock, indicating strong institutional confidence in the company.
Analysts Adjust Price Targets for Diamondback Energy
Several research firms have recently provided updated analyses on Diamondback Energy. Mizuho reduced its price target from $195.00 to $194.00, maintaining an “outperform” rating. Royal Bank of Canada reiterated its “outperform” rating with a price target of $173.00. UBS Group increased its target from $174.00 to $194.00, rating the stock as a “buy.”
Analyst sentiments vary, with one equities research analyst assigning a “Strong Buy” rating, while nineteen others have given a “Buy” rating. Two analysts have issued a “Hold” rating, resulting in an average rating of “Moderate Buy” and an average target price of $186.24.
Diamondback Energy’s Financial Performance and Dividend Announcement
As of the latest trading session on November 3, 2023, Diamondback Energy reported earnings of $3.08 per share, surpassing analysts’ estimates of $2.94 by $0.14. The company achieved revenues of $3.92 billion, significantly exceeding estimates of $3.48 billion, representing a year-over-year revenue increase of 48.4%. Analysts anticipate that Diamondback will post earnings of $15.49 per share for the current year.
On November 20, 2023, the company declared a quarterly dividend of $1.00 per share, translating to an annualized dividend of $4.00 and a yield of 2.6%. This dividend reflects a payout ratio of 27.80% and is indicative of the company’s continued commitment to returning value to shareholders.
In a notable insider transaction, Director Charles Alvin Meloy sold 377,911 shares on December 4, 2023, at an average price of $138.61, resulting in a total transaction value of approximately $52.38 million. Following this sale, Meloy retains 1,044,864 shares in the company, valued at around $144.83 million.
Diamondback Energy, headquartered in Midland, Texas, operates primarily in the Permian Basin, focusing on the development, exploration, and production of unconventional resources. The company’s strong financial performance and strategic institutional investments position it well in the competitive oil and natural gas sector.
