Discounted Cash Flow

Diamondback Energy, Inc.

FANG · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $-40.7m $-165.0m $332.1m 405.6% $-2.20
2017 $-40.6m (0.3%) $482.3m (392.2%) $888.6m (167.6%) -1189.2% (-393.2%) $4.95 (325.0%)
2018 $2.2b (5466.3%) $845.7m (75.4%) $1.6b (76.1%) 38.9% (103.3%) $8.09 (63.4%)
2019 $4.0b (82.1%) $240.0m (-71.6%) $240.0m (-84.7%) 6.1% (-84.4%) $1.47 (-81.8%)
2020 $2.8b (-29.0%) $-4.5b (-1982.1%) $2.1b (782.5%) -160.6% (-2752.2%) $-28.59 (-2044.9%)
2021 $6.8b (141.6%) $2.2b (148.3%) $3.9b (86.2%) 32.1% (120.0%) $12.35 (143.2%)
2022 $9.6b (41.9%) $4.4b (101.0%) $2.7b (-31.2%) 45.5% (41.7%) $24.61 (99.3%)
2023 $8.4b (-12.8%) $3.1b (-28.3%) $1.2b (-55.5%) 37.4% (-17.9%) $17.34 (-29.5%)
2024 $11.1b (31.6%) $3.3b (6.2%) $-5.4b (-545.6%) 30.2% (-19.3%) $15.53 (-10.4%)
2025 $15.0b (35.8%) $1.7b (-50.1%) $-703.0m (86.9%) 11.1% (-63.3%) $5.73 (-63.1%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Values abbreviated: b = billions, m = millions, k = thousands.

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model