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Diamondback Energy (WBO:FANG) E10 : €3.98 (As of Dec. 2024)


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What is Diamondback Energy E10?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Diamondback Energy's adjusted earnings per share data for the three months ended in Dec. 2024 was €3.505. Add all the adjusted EPS for the past 10 years together and divide 10 will get our e10, which is €3.98 for the trailing ten years ended in Dec. 2024.

During the past 12 months, Diamondback Energy's average E10 Growth Rate was 39.00% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the E10 growth rate using E10 data.

As of today (2025-03-25), Diamondback Energy's current stock price is €148.38. Diamondback Energy's E10 for the quarter that ended in Dec. 2024 was €3.98. Diamondback Energy's Shiller PE Ratio of today is 37.28.

During the past 13 years, the highest Shiller PE Ratio of Diamondback Energy was 3375.50. The lowest was 32.74. And the median was 62.14.


Diamondback Energy E10 Historical Data

The historical data trend for Diamondback Energy's E10 can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Diamondback Energy E10 Chart

Diamondback Energy Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
E10
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - 2.79 3.98

Diamondback Energy Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
E10 Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.79 3.22 3.66 3.69 3.98

Competitive Comparison of Diamondback Energy's E10

For the Oil & Gas E&P subindustry, Diamondback Energy's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Diamondback Energy's Shiller PE Ratio Distribution in the Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Diamondback Energy's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Diamondback Energy's Shiller PE Ratio falls into.



Diamondback Energy E10 Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller P/E calculation. When we calculate the today's Shiller P/E ratio of a stock, we use today's price divided by E10.

What is E10? How do we calculate E10?

E10 is the average of the inflation adjusted earnings of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the E10 of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the earnings from 2001 through 2010.

We adjusted the earnings of 2001 earnings data with the total inflation from 2001 through 2010 to the equivalent earnings in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart earned $1 a share in 2001, then the 2001's equivalent earnings in 2010 is $1.4 a share. If Wal-Mart earns $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 earnings in 2010 is $1.35. So on and so forth, you get the equivalent earnings of past 10 years. Then you add them together and divided the sum by 10 to get E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, Diamondback Energy's adjusted earnings per share data for the three months ended in Dec. 2024 was:

Adj_EPS= Earnings per Share (Diluted) /CPI of Dec. 2024 (Change)*Current CPI (Dec. 2024)
=3.505/133.1571*133.1571
=3.505

Current CPI (Dec. 2024) = 133.1571.

Diamondback Energy Quarterly Data

per share eps CPI Adj_EPS
201503 0.092 99.621 0.123
201506 -3.074 100.684 -4.065
201509 -2.138 100.392 -2.836
201512 -2.570 99.792 -3.429
201603 -0.413 100.470 -0.547
201606 -1.931 101.688 -2.529
201609 -0.027 101.861 -0.035
201612 0.303 101.863 0.396
201703 1.365 102.862 1.767
201706 1.433 103.349 1.846
201709 0.621 104.136 0.794
201712 0.980 104.011 1.255
201803 1.338 105.290 1.692
201806 1.900 106.317 2.380
201809 1.363 106.507 1.704
201812 2.197 105.998 2.760
201903 0.053 107.251 0.066
201906 1.867 108.070 2.300
201909 2.052 108.329 2.522
201912 -2.736 108.420 -3.360
202003 -1.557 108.902 -1.904
202006 -13.462 108.767 -16.481
202009 -5.985 109.815 -7.257
202012 -3.847 109.897 -4.661
202103 1.117 111.754 1.331
202106 1.411 114.631 1.639
202109 3.018 115.734 3.472
202112 4.903 117.630 5.550
202203 3.950 121.301 4.336
202206 7.502 125.017 7.990
202209 6.787 125.227 7.217
202212 5.305 125.222 5.641
202303 3.624 127.348 3.789
202306 2.815 128.729 2.912
202309 4.751 129.860 4.872
202312 4.897 129.419 5.038
202403 3.938 131.776 3.979
202406 4.329 132.554 4.349
202409 2.874 133.029 2.877
202412 3.505 133.157 3.505

Add all the adjusted EPS together and divide 10 will get our e10.


Diamondback Energy  (WBO:FANG) E10 Explanation

If a company grows much fast than inflation, E10 may underestimate the company's earnings power. Shiller PE Ratio can seem to be too high even the actual P/E is low.

For the Shiller P/E, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller P/E is also called PE10.

The Shiller P/E was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Diamondback Energy's Shiller P/E Ratio of today is calculated as

Shiller PE Ratio=Share Price/E10
=148.38/3.98
=37.28

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 13 years, the highest Shiller P/E Ratio of Diamondback Energy was 3375.50. The lowest was 32.74. And the median was 62.14.


Be Aware

Shiller PE Ratio works better for cyclical companies. It gives you a better idea on the company's real earnings power.


Diamondback Energy E10 Related Terms

Thank you for viewing the detailed overview of Diamondback Energy's E10 provided by GuruFocus.com. Please click on the following links to see related term pages.


Diamondback Energy Business Description

Address
500 West Texas Avenue, Suite 1200, Midland, TX, USA, 79701
Diamondback Energy is an independent oil and gas producer in the United States. The company operates exclusively in the Permian Basin. At the end of 2024, the company reported net proven reserves of 3.6 billion barrels of oil equivalent. Net production averaged about 598,000 barrels per day in 2024, at a ratio of 56% oil, 23% natural gas liquids, and 21% natural gas.