Diamondback Energy Inc (FANG)vsAltria Group (MO)
FANG
Diamondback Energy Inc
$188.70
-0.92%
ENERGY · Cap: $53.58B
MO
Altria Group
$68.12
-1.33%
CONSUMER DEFENSIVE · Cap: $115.29B
Smart Verdict
WallStSmart Research — data-driven comparison
Altria Group generates 41% more annual revenue ($20.38B vs $14.47B). MO leads profitability with a 39.5% profit margin vs 2.0%. MO appears more attractively valued with a PEG of 1.86. MO earns a higher WallStSmart Score of 61/100 (C+).
FANG
Hold41
out of 100
Grade: D
MO
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+44.7%
Fair Value
$305.77
Current Price
$188.70
$117.07 discount
Margin of Safety
-37.3%
Fair Value
$48.02
Current Price
$68.12
$20.10 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Large-cap with strong market position
Keeps 40 of every $100 in revenue as profit
Strong operational efficiency at 62.3%
Earnings expanding 106.3% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
Areas to Watch
ROE of 0.5% — below average capital efficiency
2.0% margin — thin
Weak financial health signals
Expensive relative to growth rate
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : FANG
The strongest argument for FANG centers on Price/Book, Market Cap.
Bull Case : MO
The strongest argument for MO centers on Profit Margin, Operating Margin, EPS Growth. Profitability is solid with margins at 39.5% and operating margin at 62.3%.
Bear Case : FANG
The primary concerns for FANG are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 196.3x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.
Bear Case : MO
The primary concerns for MO are PEG Ratio, Return on Equity.
Key Dynamics to Monitor
FANG profiles as a value stock while MO is a mature play — different risk/reward profiles.
MO carries more volatility with a beta of 0.52 — expect wider price swings.
FANG is growing revenue faster at 9.1% — sustainability is the question.
MO generates stronger free cash flow (2.2B), providing more financial flexibility.
Bottom Line
MO scores higher overall (61/100 vs 41/100), backed by strong 39.5% margins. FANG offers better value entry with a 44.7% margin of safety. 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.
Altria Group
CONSUMER DEFENSIVE · TOBACCO · USA
Altria Group, Inc. (previously known as Philip Morris Companies, Inc.) is an American corporation and one of the world's largest producers and marketers of tobacco, cigarettes and related products. It operates worldwide and is headquartered in unincorporated Henrico County, Virginia, just outside the city of Richmond.
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