Diamondback Energy (FANG) Update - July 17

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dan_s
Posts: 34778
Joined: Fri Apr 23, 2010 8:22 am

Diamondback Energy (FANG) Update - July 17

Post by dan_s »

FANG closed at $135.66 on July 14. The Company is in our High Yield Income Portfolio, but I'm likely to move it back into the Sweet 16 after I see all of the Q2 results. FANG is a classic Growth Company that pays a decent dividend.

Since I am valuing it a dividend company, I have lowered my valuation by $4 to $173 per share.

If you are investing for high dividend yields, sell FANG and move the money to VNOM.

TipRanks: "In the last 3 months, 15 ranked analysts set 12-month price targets for FANG. The average price target among the analysts is $168.94. The four most recent price target updates submitted to TipRanks are $164, $174, $154, and $184."

Diamondback is a Great America Success Story. It has a rock solid balance sheet, lots of running room and it is on track to generate close to $3 billion of free cash flow this year.
Dan Steffens
Energy Prospectus Group
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