Diamondback Energy Inc (FANG)vsMesa Royalty Trust (MTR)
FANG
Diamondback Energy Inc
$192.62
-5.09%
ENERGY · Cap: $53.44B
MTR
Mesa Royalty Trust
$3.81
-0.39%
ENERGY · Cap: $7.17M
Smart Verdict
WallStSmart Research — data-driven comparison
Diamondback Energy Inc generates 2117690% more annual revenue ($14.46B vs $682,740). MTR leads profitability with a 74.8% profit margin vs 2.0%. MTR trades at a lower P/E of 16.7x. MTR earns a higher WallStSmart Score of 64/100 (C+).
FANG
Hold41
out of 100
Grade: D
MTR
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+41.1%
Fair Value
$286.80
Current Price
$192.62
$94.18 discount
Margin of Safety
-76.8%
Fair Value
$2.71
Current Price
$3.81
$1.10 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Large-cap with strong market position
Keeps 75 of every $100 in revenue as profit
Strong operational efficiency at 90.4%
Revenue surging 58.8% year-over-year
Earnings expanding 132.9% YoY
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
4.2% revenue growth
ROE of 1.1% — below average capital efficiency
2.0% margin — thin
Weak financial health signals
Smaller company, higher risk/reward
Comparative Analysis Report
WallStSmart ResearchBull Case : FANG
The strongest argument for FANG centers on Price/Book, Market Cap.
Bull Case : MTR
The strongest argument for MTR centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 74.8% and operating margin at 90.4%. Revenue growth of 58.8% demonstrates continued momentum.
Bear Case : FANG
The primary concerns for FANG are Revenue Growth, Return on Equity, Profit Margin. A P/E of 191.9x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.
Bear Case : MTR
The primary concerns for MTR are Market Cap.
Key Dynamics to Monitor
FANG profiles as a value stock while MTR is a growth play — different risk/reward profiles.
MTR carries more volatility with a beta of 0.49 — expect wider price swings.
MTR is growing revenue faster at 58.8% — sustainability is the question.
Monitor OIL & GAS E&P industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MTR scores higher overall (64/100 vs 41/100), backed by strong 74.8% margins and 58.8% revenue growth. FANG offers better value entry with a 41.1% 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.
Mesa Royalty Trust
ENERGY · OIL & GAS E&P · USA
Mesa Royalty Trust owns net royalty interests in various oil and gas producing properties in the United States. The company is headquartered in Houston, Texas.
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