Diamondback Energy, Inc. is an independent oil and natural gas company that focuses on the acquisition, development, exploration, and exploitation of unconventional, onshore oil and natural gas reserves, primarily in the Permian Basin in West Texas . The company's main business activities revolve around the horizontal development of the Spraberry and Wolfcamp formations of the Midland Basin and the Wolfcamp and Bone Spring formations of the Delaware Basin . Diamondback Energy operates through its upstream segment, which is engaged in oil and natural gas production, and also has midstream operations that include gathering, compression, water handling, disposal, and treatment services .
- Oil Sales - Engages in the production and sale of oil, with significant contributions from both the Midland and Delaware Basins.
- Natural Gas Sales - Involves the production and sale of natural gas, contributing to the company's overall revenue.
- Natural Gas Liquids (NGL) Sales - Produces and sells natural gas liquids, adding to the company's diverse energy product offerings.
- Midstream Operations - Provides services such as gathering, compression, water handling, disposal, and treatment, supporting the company's upstream activities.
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| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Travis D. Stice ExecutiveBoard | CEO, Chairman of the Board | CEO and Director of Viper Energy Partners LP; Board Member of American Petroleum Institute, American Exploration and Production Council, Domestic Energy Producers Alliance, Permian Strategic Partnership, and others. | CEO since 2012, Chairman since 2022. Over 38 years of industry experience, led key mergers, and holds extensive expertise in M&A, sustainability, and risk management. | View Report → |
Daniel N. Wesson Executive | EVP, Chief Operating Officer | None. | Joined in 2012, progressed through operational leadership roles. Holds a degree in Mechanical Engineering and is a member of the Permian Basin Society of Petroleum Engineers. | |
M. Kaes Van’t Hof Executive | President and CFO | President and Director of Viper Energy Partners LP. | Joined in 2016, became President and CFO in 2022. Extensive background in strategy, corporate development, and finance, with prior roles in investment banking and private equity. | |
P. Matt Zmigrosky Executive | EVP, Chief Legal and Administrative Officer, Secretary | None. | Joined in 2019, became EVP in 2023. Former partner at Akin Gump Strauss Hauer & Feld LLP, with extensive legal and administrative expertise. | |
Teresa L. Dick Executive | EVP, Chief Accounting Officer, Assistant Secretary | Director at Bank7 Corp. | Joined in 2007, held various financial leadership roles. CPA with over 25 years of accounting experience, including public company expertise. | |
Charles Meloy Board | Director | None. | Director since 2024. Former EVP of U.S. Onshore Exploration and Production at Anadarko Petroleum. Extensive experience in exploration and production. | |
Darin G. Holderness Board | Director | Board Member at JMR Services LLC. | Director since 2025. Former CFO of Concho Resources and ProPetro Holding Corp. Extensive financial expertise in the energy sector. | |
David L. Houston Board | Director | Chairman of the Oklahoma State University Foundation. | Director since 2012. Extensive experience in wealth management and energy sector investments. Former director at Gulfport Energy and Bronco Drilling. | |
Frank D. Tsuru Board | Director | CEO of Momentum Midstream, Board Member of KU Endowment, Boy Scouts of America, and Yellowstone Academy. | Director since 2022. Extensive experience in midstream and upstream energy sectors, with leadership roles in multiple organizations. | |
Lance Robertson Board | Director | Board Member of Permian Basin Petroleum Association and Permian Strategic Partnership. | Director since 2024. Former CEO of Endeavor Energy Resources, with extensive operational expertise in the Permian Basin. | |
Mark L. Plaumann Board | Director | Managing Member of Greyhawke Capital Advisors LLC; serves on the University of Central Florida Foundation Board. | Director since 2012. Extensive experience in finance, accounting, and private equity energy investments. | |
Melanie M. Trent Board | Lead Independent Director | Director at Arcosa, Inc. and Hyliion Holdings Corp. | Director since 2018. Former EVP and General Counsel at Rowan Companies. Expertise in legal, administrative, and compliance functions. | |
Rebecca A. Klein Board | Director | Director at Avista Corporation, SJW Group, and other organizations; Principal of Klein Energy, LLC. | Joined in 2022. Brings expertise in government, legal, and regulatory matters, as well as sustainability and corporate governance. | |
Robert K. Reeves Board | Director | Member of LSU Foundation Board and MD Anderson Cancer Center Board of Visitors. | Director since 2024. Former EVP and Chief Administrative Officer at Anadarko Petroleum. Expertise in legal, HR, and administrative functions. | |
Stephanie K. Mains Board | Director | CEO of LSC Communications-MCL; Director at Gates Industrial Corporation and LCI Industries. | Director since 2020. Over 30 years of experience in energy, aviation, and transportation industries, with expertise in corporate governance and financial management. | |
Steven E. West Board | Director | Chairman of the Board of Viper Energy Partners LP. | Director since 2011. Former CEO of Diamondback Energy and partner at Wexford Capital. Extensive experience in finance and energy investments. | |
Vincent K. Brooks Board | Director | Director at Jacobs Engineering Group Inc. and Verisk Analytics, Vice Chair of Gary Sinise Foundation, and other roles. | Retired four-star general with over 42 years of military service. Brings expertise in leadership, crisis management, and strategic planning. |
- Given the accelerated synergy realization and cost savings achieved ahead of schedule, will you revise your 2025 CapEx guidance downward from the original $4.1 to $4.4 billion range, and how sustainable are these cost reductions?
- With the plan to reduce operational rigs from 22-24 to 18 while maintaining the same lateral footage, do you foresee any risks to production levels or well performance due to the significant decrease in operational capacity?
- Can you elaborate on the strategic rationale behind your investments in the EPIC pipeline, Deep Blue, and data center projects, and how these non-core investments align with your main business and contribute to shareholder value?
- Regarding the integration of the Endeavor assets, are there any one-time or ongoing costs required to bring these assets up to your operational standards, and how might these impact your CapEx and efficiency targets in 2025 and beyond?
- As the family shareholders reduce their ownership from 35% to 25% to align voting rights with their stake, what implications does this have for corporate governance, and how might it affect your strategic decision-making and relationship with public shareholders?
Research analysts who have asked questions during Diamondback Energy earnings calls.
Arun Jayaram
JPMorgan Chase & Co.
4 questions for FANG
David Deckelbaum
TD Cowen
4 questions for FANG
John Freeman
Raymond James Financial
4 questions for FANG
Kalei Akamine
Bank of America
4 questions for FANG
Kevin MacCurdy
Pickering Energy Partners
4 questions for FANG
Leo Mariani
ROTH MKM
4 questions for FANG
Neil Mehta
Goldman Sachs
4 questions for FANG
Paul Cheng
Scotiabank
4 questions for FANG
Charles Meade
Johnson Rice & Company L.L.C.
3 questions for FANG
Scott Gruber
Citigroup
3 questions for FANG
Bob Brackett
Bernstein Research
2 questions for FANG
Derrick Whitfield
Texas Capital
2 questions for FANG
Neal Dingmann
Truist Securities
2 questions for FANG
Phillip Jungwirth
BMO Capital Markets
2 questions for FANG
Scott Hanold
RBC Capital Markets
2 questions for FANG
Betty Jiang
Barclays
1 question for FANG
Carlos de Alba
Morgan Stanley
1 question for FANG
Derek Whitfield
Texas Capital
1 question for FANG
Douglas Leggate
Wolfe Research
1 question for FANG
Doug Leggate
Wolfe Research
1 question for FANG
Geoff Jay
Daniel Energy Partners
1 question for FANG
Roger Read
Wells Fargo & Company
1 question for FANG
Wei Jiang
Barclays
1 question for FANG
| Customer | Relationship | Segment | Details |
|---|---|---|---|
Vitol Inc. | Purchaser of crude oil & natural gas | All | 2024: 17% of revenue 2023: 22% of revenue 2022: 23% of revenue |
Enterprise Crude Oil LLC | Purchaser of crude oil & natural gas | All | 2024: 15% of revenue 2023: 13% of revenue |
Shell Trading (USA) Company | Purchaser of crude oil & natural gas | All | 2024: 13% of revenue 2023: 14% of revenue 2022: 20% of revenue |
DK Trading & Supply LLC | Purchaser of crude oil & natural gas | All | 2024: 11% of revenue 2023: 18% of revenue |
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Double Eagle IV Midco, LLC | 2025 | Planned acquisition involving approximately 6.9 million shares of Diamondback common stock and $3 billion in cash for about 40,000 net acres in the Midland Basin, expected to boost 2026 pro forma free cash flow per share by 5% and support debt reduction plans including a target net debt of $10 billion; scheduled to close on April 1, 2025. |
Endeavor Parent, LLC | 2024 | Completed acquisition where Diamondback acquired 100% of Endeavor Parent, LLC for a total consideration of $27.42 billion (including $7.1 billion in cash, $238 million for debt repayment, and approximately 117.27 million shares), adding about 500,849 gross acres in the Permian Basin to its portfolio and providing industry-leading asset depth with associated governance rights. |
Lario Permian, LLC | 2023 | Completed acquisition valued at approximately $1.447 billion, using $814 million in cash and 4.33 million shares of Diamondback common stock, to acquire approximately 25,000 gross acres (16,000 net acres) in the Midland Basin, enhancing the company’s operational footprint and funded through cash on hand, credit facility borrowings, and proceeds from a senior notes offering. |
Rattler Midstream LP | 2022 | Completed all-stock transaction in which each public unitholder received 0.113 shares of Diamondback common stock per Rattler unit, representing a premium (17.3% on closing prices) that simplified the corporate structure and enhanced the scale of the combined entity; the deal closed on August 24, 2022 and led to the delisting of Rattler’s public units. |
Recent press releases and 8-K filings for FANG.
- Merger synergy: Pro forma average PB per well expected to improve ~20%, with 2026 well performance projected to mirror 2024–25 results.
- Divestitures: Sold $1.5 billion of non-core assets at premium multiples, strengthening the balance sheet and reducing debt leverage.
- Capital strategy: Maintenance CapEx guidance of $925 million/quarter supports ~510 k bopd with a reinvestment ratio below 37%, while continuous-pumping rollout aims to boost lateral footage by ~20% per day to enhance cycle times.
- Shareholder returns: Targets 1% of public float in quarterly share buybacks, maintains a growing dividend, and prioritizes further debt reduction.
- Diamondback achieved a 36% year-to-date reinvestment rate at mid-$60s oil, emphasizing free cash flow per share growth amid cautious macro conditions.
- Q4 CapEx is guided to ~$925 million per quarter to maintain ~510,000 boe/d (down to 505,000 boe/d in Q1 post-Viper sale), setting a 2026 spending baseline.
- The Endeavor merger is driving a ~20% improvement in pro forma PV-10 per well, and 2026 well performance is expected to mirror 2024–25 results.
- Efficiency initiatives like continuous pumping boost lateral footage per day by ~20%, enhancing cycle times and capital efficiency.
- Free cash flow priorities include the base dividend, share buybacks of ≥1% float per quarter, debt reduction, and selective bolt-on M&A.
- Q4 CapEx guidance of ~$925 million targets maintaining a 505,000 bbl/d run rate, implying a $875–975 million quarterly maintenance range for 2026.
- Pro-forma section returns improved ~20% following the Endeavor merger; 2025 well performance aligns with 2024 and is expected to carry into 2026.
- Cautious “yellow light” macro view, having generated 15% more free cash/share despite a 14% drop in oil prices, and executing at $63 oil with a 36–37% reinvestment ratio.
- Completed $1.5 billion of non-core asset sales at premiums to Diamondback’s trading multiples, strengthening the balance sheet ahead of potential supply-side headwinds.
- Free cash deployment priorities: maintain the base dividend, repurchase ≥1% of float per quarter, then pursue debt reduction and selective bolt-on M&A.
- Q4 2025 maintenance CapEx of $925 million, targeting flat production at ~505 kbd in Q1 2026 and a 36% reinvestment rate at mid-$60 oil YTD.
- Maintains a “yellow light” macro stance, prioritizing free cash flow per share, dividend sustainability, ~1% quarterly share buybacks, and debt reduction.
- Executed $1 billion of non-core asset sales at premiums to trading multiples, including Viper non-core divestitures, and holds a 30% stake in water JV Deep Blue to drive value.
- Endeavor co-development synergies delivering ~20% PV-10 per well uplift, more wells per section and higher returns per DSU; 2026 well performance expected to mirror 2024–25 levels.
- Advancing gas monetization, committing 50 MMcf/d to a 1.3 GW Basin Ranch power plant (2029), reducing Waha exposure from >70% to ~40% by YE 2026 and securing pipeline capacity on Whistler, Matterhorn, Blackcomb, and Hugh Rinson.
- Generated $1.8 billion of Free Cash Flow and $1.8 billion of Adjusted Free Cash Flow (~$6.20/share) in Q3 2025; expects ~$5.8 billion of Adjusted FCF in 2025 at current commodity prices
- Returned ~50% of Adjusted FCF in Q3 2025, distributing $892 million via a $1.00/share dividend and share repurchases; $3.0 billion remaining in buyback authorization
- Achieved 503.8 Mbo/d oil production (942.9 Mboe/d) in Q3 2025; full-year 2025 oil production guidance raised to 495–498 Mbo/d with CAPEX of $3.45–3.55 billion
- Maintained an investment-grade balance sheet with ~$15.9 billion net debt and ~$2.4 billion standalone liquidity
- Diamondback Energy delivered Q3 2025 average oil production of 503.8 MBO/d (942.9 MBOE/d), net cash from operations of $2.4 billion, and free cash flow of $1.8 billion while investing $774 million in capex.
- The Board declared a $1.00 per share base dividend for Q3 and repurchased 4.29 million shares for $603 million, returning $892 million to shareholders (50% of adjusted FCF).
- M&A activity included the acquisition of Sitio Royalties by Viper Energy on August 19, and the divestitures of Environmental Disposal Systems (upfront $694 million) and EPIC Crude (upfront $504 million) with potential contingent proceeds.
- Updated full-year 2025 guidance was raised to 495–498 MBO/d in oil production (910–920 MBOE/d), narrowed capex to $3.45–3.55 billion, and Q4 oil production guidance of 505–515 MBO/d with $875–975 million in capex.
- Diamondback averaged 503.8 MBO/d of oil (942.9 MBOE/d) in Q3 2025 and generated $2.4 billion of net cash from operating activities and $2.5 billion of operating cash flow before working capital changes.
- The company incurred $774 million of cash capital expenditures in the quarter, resulting in $1.8 billion of both free cash flow and adjusted free cash flow.
- The Board declared a $1.00 per share base dividend for Q3 2025 (2.8% annualized yield) and repurchased 4.29 million shares for $603 million, representing 50% of adjusted free cash flow returned via buybacks and dividends.
- In recent highlights, Diamondback closed divestitures of Environmental Disposal Systems for $694 million and its 27.5% interest in EPIC Crude for $504 million, with up to $296 million of contingent consideration possible.
- Diamondback remains in the “yellow” macro zone, maintaining flat oil volumes until clearer price signals and focusing on lowering breakevens and reinvestment rates to maximize free cash flow.
- 2025 guidance revised: capex reduced by $500 million; Q4 capex set at $875–975 million; annual oil production guidance raised to 495–498 MBO/d and BOE guidance to 910–920 MBOE/d.
- In Q3, oil production averaged 504 MBO/d, capex was $774 million, cash operating costs were $10.05/BOE, net operating cash flow was $2.4 billion, and free cash flow was $1.8 billion.
- Returned approximately $892 million to shareholders in Q3 (≈50% of adjusted FCF), including repurchasing 4.3 million shares for $603 million at an average $140.70 per share; YTD repurchases total 10.9 million shares for $1.6 billion.
- Exceeded $1.5 billion target in non-core asset sales with $694 million from Environmental Disposal and $504 million from EPIC; ended Q3 with $16.4 billion gross debt and $15.9 billion net debt.
- Q3 2025 average production of 56,087 bo/d (108,859 boe/d).
- Q3 consolidated net loss of $197 million; net loss attributable to Viper of $77 million, or $0.52 per Class A share; adjusted net income of $156 million, or $1.04 per share.
- Declared base cash dividend of $0.33 and variable cash dividend of $0.25 per Class A share for Q3 2025.
- Entered a definitive agreement to sell non-Permian assets for $670 million, expected to close Q1 2026.
- Repurchased 2.4 million shares of Class A common stock for approximately $90 million (avg. $38.42/share).
- Diamondback generated $1,242 million of Free Cash Flow in Q2 2025 ($4.25/share) and $1,334 million of Adjusted FCF ($4.57/share), returning ~52% of Adjusted FCF to shareholders via a $1.00 per share dividend and $398 million of share repurchases.
- Updated full-year 2025 guidance: oil production of 485–492 Mbo/d, cash CAPEX of $3.4–$3.6 billion, and expected > $5.8 billion of Adjusted FCF at current commodity prices.
- Committed to returning at least 50% of quarterly FCF with a $1.00 per share quarterly base dividend (annualized $4.00), protected down to ~$37/Bbl WTI, and $3.5 billion remaining under an $8 billion share buyback authorization.
- Enhanced capital efficiency with 2025 oil production per $MM CAPEX of 50.9 Mbo/$MM, up 14% versus original guidance and 18% versus 2024.