Steven E. West, a director at Diamondback (NASDAQ:FANG) Energy, Inc. (NASDAQ:FANG), recently acquired a significant amount of the company's common stock. According to a Form 4 filing with the Securities and Exchange Commission, West purchased 6,000 shares on December 16 at a price of $162.66 per share. This transaction amounts to a total investment of approximately $975,960. The stock currently trades near $160, slightly below West's purchase price, with InvestingPro analysis indicating the company is currently undervalued.
Following this purchase, West now holds 12,135 shares directly. The acquisition underscores West's ongoing investment in the Midland, Texas-based energy company, which is a key player in the crude petroleum and natural gas sector. With a market capitalization of nearly $47 billion, Diamondback offers a notable 5.2% dividend yield and has maintained dividend payments for seven consecutive years. Analysts remain bullish on the stock, with price targets ranging from $171 to $255. For deeper insights into Diamondback Energy's valuation and growth prospects, including additional ProTips and comprehensive analysis, visit InvestingPro.
In other recent news, Diamondback Energy has seen a flurry of analyst activity. Roth/MKM reiterated its Buy rating on the company, emphasizing its status as a low-cost producer with efficient capital and operating costs. Similarly, Piper Sandler praised the company's operational efficiency and financial strategy, maintaining an Overweight rating. Goldman Sachs resumed coverage with a Buy rating, highlighting the company's strategic capital allocation and the recent merger with Endeavor Energy. TD Cowen also maintained a Buy rating, citing ongoing efficiency gains and a plan for reducing medium-term debt.
The company has been making strategic moves to enhance cost efficiency and shareholder value. These include lowering its corporate breakeven price to $37 per barrel and reducing its drilling program to 18 rigs by 2025. Diamondback Energy is also exploring additional revenue through natural gas and surface acreage. The company's capital expenditure for 2025 is projected to be between $4.1 and $4.4 billion.
In a recent development, Diamondback Energy's CEO, Travis Stice, filed to sell 3,000 shares of the company's stock. This transaction, likely an automated sale associated with restricted share units, totaled approximately $517,500. Despite this, analysts maintain a positive outlook on the company, based on its strong financial health and profitability metrics.
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