WallStSmart

Diamondback Energy Inc (FANG)vsGranite Ridge Resources Inc (GRNT)

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Smart Verdict

WallStSmart Research — data-driven comparison

Diamondback Energy Inc generates 3241% more annual revenue ($14.29B vs $427.91M). FANG leads profitability with a 11.6% profit margin vs 5.7%. GRNT trades at a lower P/E of 30.5x. GRNT earns a higher WallStSmart Score of 56/100 (C).

FANG

Hold

45

out of 100

Grade: D+

Growth: 5.3Profit: 4.0Value: 4.7Quality: 3.3
Piotroski: 1/9Altman Z: 1.24

GRNT

Buy

56

out of 100

Grade: C

Growth: 5.3Profit: 5.5Value: 8.3Quality: 6.5
Piotroski: 4/9Altman Z: 1.74
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FANGSignificantly Overvalued (-29.4%)

Margin of Safety

-29.4%

Fair Value

$130.64

Current Price

$196.02

$65.38 premium

UndervaluedFair: $130.64Overvalued
GRNTUndervalued (+39.2%)

Margin of Safety

+39.2%

Fair Value

$8.42

Current Price

$5.61

$2.81 discount

UndervaluedFair: $8.42Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FANG3 strengths · Avg: 8.3/10
Market CapQuality
$55.59B9/10

Large-cap with strong market position

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$1.40B8/10

Generating 1.4B in free cash flow

GRNT3 strengths · Avg: 9.3/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

EPS GrowthGrowth
59.2%10/10

Earnings expanding 59.2% YoY

Operating MarginProfitability
20.9%8/10

Strong operational efficiency at 20.9%

Areas to Watch

FANG4 concerns · Avg: 3.0/10
P/E RatioValuation
34.4x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
3.7%3/10

ROE of 3.7% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
103.602/10

Expensive relative to growth rate

GRNT4 concerns · Avg: 3.8/10
P/E RatioValuation
30.5x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
0.1%4/10

0.1% revenue growth

Altman Z-ScoreHealth
1.744/10

Distress zone — elevated risk

Market CapQuality
$721.74M3/10

Smaller company, higher risk/reward

Comparative Analysis Report

WallStSmart Research

Bull Case : FANG

The strongest argument for FANG centers on Market Cap, Price/Book, Free Cash Flow.

Bull Case : GRNT

The strongest argument for GRNT centers on Price/Book, EPS Growth, Operating Margin.

Bear Case : FANG

The primary concerns for FANG are P/E Ratio, Return on Equity, Piotroski F-Score.

Bear Case : GRNT

The primary concerns for GRNT are P/E Ratio, Revenue Growth, Altman Z-Score.

Key Dynamics to Monitor

FANG profiles as a declining stock while GRNT is a value play — different risk/reward profiles.

FANG carries more volatility with a beta of 0.57 — expect wider price swings.

GRNT is growing revenue faster at 0.1% — sustainability is the question.

FANG generates stronger free cash flow (1.4B), providing more financial flexibility.

Bottom Line

GRNT scores higher overall (56/100 vs 45/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Diamondback Energy Inc

ENERGY · OIL & GAS E&P · USA

Diamondback Energy is a company engaged in hydrocarbon exploration and headquartered in Midland, Texas.

Granite Ridge Resources Inc

ENERGY · OIL & GAS E&P · USA

Granite Ridge Resources, Inc. manages private funds with interests in the Midland, Delaware, Bakken, Eagle Ford, DJ and Haynesville areas. The company is headquartered in Boston, Massachusetts.

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