FANG stock: buy or sell
Updated on:
Apr 16th, 2021
2
FANG stock brief
- Diamondback Energy stock fell -1.57% to close at $79.08 on the stock market on Thursday.
- KeyCorp and Scotiabank published neutral ratings for Diamondback Energy on Thursday, with an average forecast of $92.00
- Price is drawing a scaled uptrend since October 2020 with higher tops and higher bottoms. Up to date, the uptrend made a 240.57% profit since the beginning of this rally
Should I buy Diamondback Energy stock?
Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $FANG stock a buy?
Currently, Diamondback Energy stock matches one trading strategy:
Uptrend buy setup
Diamondback Energy stock continues to trend higher since in October 2020 and has marked an amazing 240.57% gain. Price marked a pull back in this uptrend at $69.53 in late March, and since then it bounced up a 13.74%. Now, it's just 12.23% away from breaking out over its last top and resume the uptrend. The new entry point is therefore at $88.75. If you decide to enter this trade, the suggested stop loss is at $79.88
| Buy setup | Buy point | Stop loss | Risk |
| Uptrend buy setup | $88.75 | $79.88 | 10.00% |
Should I sell Diamondback Energy stock?
"To sell or not to sell", if you are holding Diamondback Energy shares?. Trading strategies prevent us from making impulsive decisions based on our sentiments or the noise surrounding the market. We like very simple setups to guide us on when is a good moment to sell a stock. Be aware that these setups are not intended for selling short Diamondback Energy stock
As a rule of thumb, you must never keep a trade that yields greater losses than those expected upon purchase. The timing to sell shares must always be ruled by the stop-loss (automatic or manual)
Is it time to sell Diamondback Energy stock?
In the current situation of Diamondback Energy there is not any eligible sell setup, so Diamondback Energy stock holders with operations in green can keep their positions
Diamondback Energy ratings
In the last month, 12 brokerage ratings were published for Diamondback Energy. General sentiment is bullish, with 8 out of 12 publishing optimistic outlooks
| Brokerage firm | Rating |
|---|---|
| Mar 17th, 2021 | |
| KeyCorp | Buy |
| Morgan Stanley | Buy |
| Mar 23rd, 2021 | |
| Citigroup | Neutral |
| Apr 7th, 2021 | |
| Evercore ISI | Buy |
| Apr 8th, 2021 | |
| Truist | Neutral |
| Apr 9th, 2021 | |
| KeyCorp | Buy |
| Apr 13th, 2021 | |
| BMO Capital Markets | Neutral → Neutral |
| Raymond James | |
| Siebert Williams Shank | |
| TD Securities | |
| Apr 15th, 2021 | |
| KeyCorp | Buy |
| Scotiabank | |
Diamondback Energy stock analysis
Since in October 2020, Diamondback Energy has been printing an uptrend that so far marked a gorgeous 240.57%. During this uptrend, the price provided some entry points on the breakouts. Latest pullback was in late March, when price bounced at $69.53. Now, it trades in a consolidation between its last top ($88.75) and its last bottom ($69.53)
SMAs overview
Supports and resistances
The current resistance levels are:
The current supports are:
Bollinger bands
Since the price surpassed the upper band on Wednesday, the price sliced by 2.87%. The price is trading very close to the upper Bollinger band, signaling some level of overbought in recent sessions. This is not a sell signal, as price can trade in these levels for many days and weeks
Relative strength index
The RSI dropped below the overbought level of 70 in early March after just crossing to the overbough zone for just one day (weak signal). The RSI value on Thursday was 56. Since then, Diamondback Energy stock tanked a 6.05%
Diamondback Energy stock price history
Diamondback Energy started trading priced at an adjusted price1 of $16.93 on Oct 2012. Since then, FANG stock surged by 367.10%, with an average of 45.89% per year. If you had invested $1,000USD in Diamondback Energy stock at that time, it would worth $4,671.00 today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Diamondback Energy stock
How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations issue their analysis forecasting how a stock will performance in the future.
Along with buy or sell recommendations, brokerage institutions release their price forecasts based on the stock price action and the company fundamental data. Most of these estimates follow the publication of new fundamental information by the company, and usually. If you are a small investor you shouldn't invest based on these predictions.
Averaging all price targets exposed below, the forecasted price for Diamondback Energy stock is $96.89. That is a 22.52% than the last price ($79.08).
| Brokerage firm | Price target |
|---|---|
| Mar 17th, 2021 | |
| KeyCorp | $80.00 → $85.00 |
| Morgan Stanley | $71.00 → $103.00 |
| Mar 23rd, 2021 | |
| Citigroup | $82.00 → $100.00 |
| Apr 7th, 2021 | |
| Evercore ISI | Not available |
| Apr 8th, 2021 | |
| Truist | $105.00 → $115.00 |
| Apr 9th, 2021 | |
| KeyCorp | $85.00 → $98.00 |
| Apr 13th, 2021 | |
| BMO Capital Markets | Not available |
| Raymond James | Not available |
| Siebert Williams Shank | $89.00 |
| TD Securities | $100.00 → $98.00 |
| Apr 15th, 2021 | |
| KeyCorp | $85.00 → $98.00 |
| Scotiabank | $84.00 → $86.00 |
Earnings and financials
Last February, Diamondback Energy ($FANG) hosted the quarterly investors event and released the report. FANG reported earnings of $0.82 per share on sales of $769.0 million. The Wall St estimate was $0.81 per share on revenue of $769.7 million.
Same quarter one year ago, reported EPS was $1.93, so recently reported EPS means a decrease of -57.51%. Looking at turnover, figures collapsed a -30.57% compared to $10.5B same quarter a year ago.FANG ($FANG) is presenting financial report early next May. Market analysts analysts estimate of $1.54, that is a 87.80% higher than Q4.
Diamondback Energy performance
| Company | 1m | 3m | 6m |
|---|---|---|---|
| Diamondback Energy ($FANG) | -2.50% | 27.30% | 162.20% |
Disclaimer:
The viewpoints published in this article are personal and not recommendations for you to buy or sell shares. The author of this paper does not have any knowledge of the specific positions of the reader, his or her own financial statements or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Comments are expressed for education purposes onlyFANG summary
| Thursday, April 15th, 2021 | |
|---|---|
| Open | $79.16 |
| Close | $79.08 |
| Day range | $77.93 - $79.96 |
| Previous close | $80.34 |
| Session gain | -1.57% |
| Average true range | $4.10 |
| 50d mov avg | $74.01 |
| 100d mov avg | $62.29 |
| 200d mov avg | $48.36 |
| Earnings date | May 3rd, 2021 |