Yacktman Asset Management Reduces Stake in Diamondback Energy by 3.4%

Yacktman Asset Management LP has reduced its holdings in Diamondback Energy, Inc. (NASDAQ: FANG) by 3.4% during the third quarter of 2023. The institutional investor sold 36,149 shares, bringing its total ownership to 1,014,468 shares, which now accounts for 2.0% of its overall portfolio. As of the end of the latest reporting period, these holdings were valued at approximately $145.17 million.

Several other institutional investors have also adjusted their positions regarding Diamondback Energy. Smead Capital Management Inc. acquired a new stake valued at about $144.78 million during the second quarter. Meanwhile, Vanguard Group Inc. increased its holdings by 1.7%, now owning 23,325,287 shares worth around $3.20 billion after purchasing an additional 388,512 shares. Similarly, Bank of New York Mellon Corp. raised its position by 9.0%, now holding 4,642,218 shares valued at $637.84 million. American Century Companies Inc. expanded its stake by a significant 44.8%, owning 985,844 shares worth $135.46 million after acquiring 305,207 shares. Apollo Management Holdings L.P. also entered the market with a new position worth $31.94 million. Currently, approximately 90.01% of Diamondback Energy’s stock is held by hedge funds and other institutional investors.

Stock Performance and Analyst Ratings

Diamondback Energy shares opened at $163.95 on Monday, October 7, 2023. The company boasts a market capitalization of $46.95 billion and a price-to-earnings ratio of 11.39. Additional financial metrics include a debt-to-equity ratio of 0.35, a quick ratio of 0.60, and a current ratio of 0.62. The stock’s 50-day moving average stands at $152.15, while the 200-day moving average is $146.40. Over the past year, Diamondback Energy has seen a low of $114.00 and a high of $169.87.

Equities analysts have recently commented on the stock’s future. Mizuho reduced its target price from $195.00 to $194.00, maintaining an “outperform” rating. Piper Sandler also increased its price target from $215.00 to $218.00 and assigned an “overweight” rating. However, Barclays lowered its price target from $185.00 to $178.00 while maintaining an “overweight” rating as well. Jefferies Financial Group reaffirmed a “hold” rating with a price target of $173.00, and Sanford C. Bernstein adjusted its target from $199.00 to $190.00 while continuing to rate the stock as “outperform.” In total, one analyst has issued a Strong Buy rating, nineteen have issued Buy ratings, and two have given a Hold rating, resulting in a consensus rating of “Moderate Buy” with an average price target of $185.90, according to MarketBeat.com.

Insider Activity and Company Overview

In recent insider trading news, Director Charles Alvin Meloy sold 377,911 shares on December 4, 2023, at an average price of $138.61, which amounted to a total transaction value of approximately $52.38 million. Following this sale, Meloy retains ownership of 1,044,864 shares valued at about $144.83 million, marking a 26.56% decrease in his stake. Company insiders hold approximately 0.48% of Diamondback Energy’s stock.

Diamondback Energy, Inc., headquartered in Midland, Texas, is an independent company specializing in the development, exploration, and production of unconventional resources primarily in the Permian Basin. The firm focuses its operations in the Midland and Delaware sub-basins of West Texas and southeastern New Mexico, establishing contiguous acreage positions to support efficient drilling programs. The company’s activities encompass the entire upstream value chain, including leasehold acquisition, well planning, drilling, completion, and production optimization.

For more updates on Diamondback Energy and to see other hedge funds’ holdings, visit HoldingsChannel.com for the latest 13F filings and insider trades for Diamondback Energy, Inc. (NASDAQ: FANG).