Diamondback Energy Inc (FANG)vsPermRock Royalty Trust (PRT)
FANG
Diamondback Energy Inc
$196.02
-0.53%
ENERGY · Cap: $55.59B
PRT
PermRock Royalty Trust
$3.30
-1.79%
ENERGY · Cap: $40.51M
Smart Verdict
WallStSmart Research — data-driven comparison
Diamondback Energy Inc generates 237785% more annual revenue ($14.29B vs $6.01M). PRT leads profitability with a 85.3% profit margin vs 11.6%. PRT trades at a lower P/E of 7.9x. FANG earns a higher WallStSmart Score of 45/100 (D+).
FANG
Hold45
out of 100
Grade: D+
PRT
Hold44
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-29.4%
Fair Value
$130.64
Current Price
$196.02
$65.38 premium
Margin of Safety
-26.2%
Fair Value
$2.86
Current Price
$3.30
$0.44 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Large-cap with strong market position
Reasonable price relative to book value
Generating 1.4B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Keeps 85 of every $100 in revenue as profit
Strong operational efficiency at 88.3%
Areas to Watch
Premium valuation, high expectations priced in
ROE of 3.7% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Smaller company, higher risk/reward
ROE of 7.1% — below average capital efficiency
Revenue declined 19.5%
Earnings declined 17.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : FANG
The strongest argument for FANG centers on Market Cap, Price/Book, Free Cash Flow.
Bull Case : PRT
The strongest argument for PRT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 85.3% and operating margin at 88.3%.
Bear Case : FANG
The primary concerns for FANG are P/E Ratio, Return on Equity, Piotroski F-Score.
Bear Case : PRT
The primary concerns for PRT are Market Cap, Return on Equity, Revenue Growth.
Key Dynamics to Monitor
PRT carries more volatility with a beta of 0.66 — expect wider price swings.
FANG is growing revenue faster at -9.4% — sustainability is the question.
Monitor OIL & GAS E&P industry trends, competitive dynamics, and regulatory changes.
Bottom Line
FANG scores higher overall (45/100 vs 44/100). Both earn "Hold" 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.
PermRock Royalty Trust
ENERGY · OIL & GAS E&P · USA
The PermRock Royalty Trust owns 80 net earnings interests in the oil and natural gas producing properties acquired by Boaz Energy II, LLC in Permian Basin, Texas. The company is headquartered in Fort Worth, Texas.
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