Deutsche Bank Starts Diamondback Energy (FANG) at Buy

Deutsche Bank initiated coverage on Diamondback Energy (NASDAQ: FANG) with a Buy rating and a price target of $94. Analyst Josh Silverstein sees the company as a premier player in the Premier Basin.

"We view FANG as one of the best positioned producers in the Permian basin, complete with top-tier margins, growth, inventory, and liquidity. With little in the way of near-term bottlenecks, it’s all systems go for FANG’s returns focused development program to continue generating peer-leading results across an ~85k net acre position that benefits from a rare returns-enhancing royalty asset (VNOM). We like what FANG has done to date in terms of consolidating acreage across the basin while maintaining low financial leverage, and with numerous catalysts ahead we see FANG offering a unique combination of resource expansion and growth without balance sheet risk in the current oil price environment," said the analyst.

For an analyst ratings summary and ratings history on Diamondback Energy click here. For more ratings news on Diamondback Energy click here.

Shares of Diamondback Energy closed at $78.20 yesterday.

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