WallStSmart

Diamondback Energy Inc (FANG)vsPermRock Royalty Trust (PRT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Diamondback Energy Inc generates 257756% more annual revenue ($14.46B vs $5.61M). PRT leads profitability with a 84.1% profit margin vs 2.0%. PRT trades at a lower P/E of 7.3x. PRT earns a higher WallStSmart Score of 44/100 (D).

FANG

Hold

41

out of 100

Grade: D

Growth: 4.7Profit: 4.0Value: 4.7Quality: 4.5
Piotroski: 2/9Altman Z: 1.28

PRT

Hold

44

out of 100

Grade: D

Growth: 2.0Profit: 8.0Value: 6.7Quality: 6.0
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FANGUndervalued (+41.1%)

Margin of Safety

+41.1%

Fair Value

$286.80

Current Price

$192.62

$94.18 discount

UndervaluedFair: $286.80Overvalued

Intrinsic value data unavailable for PRT.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FANG2 strengths · Avg: 9.5/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Market CapQuality
$56.94B9/10

Large-cap with strong market position

PRT4 strengths · Avg: 10.0/10
P/E RatioValuation
7.3x10/10

Attractively priced relative to earnings

Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Profit MarginProfitability
84.1%10/10

Keeps 84 of every $100 in revenue as profit

Operating MarginProfitability
87.5%10/10

Strong operational efficiency at 87.5%

Areas to Watch

FANG4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
4.2%4/10

4.2% revenue growth

Return on EquityProfitability
1.1%3/10

ROE of 1.1% — below average capital efficiency

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PRT4 concerns · Avg: 2.5/10
Market CapQuality
$26.64M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Revenue GrowthGrowth
-27.3%2/10

Revenue declined 27.3%

EPS GrowthGrowth
-30.7%2/10

Earnings declined 30.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : FANG

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

Bull Case : PRT

The strongest argument for PRT centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 84.1% and operating margin at 87.5%.

Bear Case : FANG

The primary concerns for FANG are Revenue Growth, Return on Equity, Profit Margin. A P/E of 208.7x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.

Bear Case : PRT

The primary concerns for PRT are Market Cap, Piotroski F-Score, Revenue Growth.

Key Dynamics to Monitor

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

FANG carries more volatility with a beta of 0.44 — expect wider price swings.

FANG is growing revenue faster at 4.2% — sustainability is the question.

Monitor OIL & GAS E&P industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PRT scores higher overall (44/100 vs 41/100), backed by strong 84.1% margins. FANG offers better value entry with a 41.1% margin of safety. 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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