Diamondback Energy drops on top holder's $1.9 bln stake sale

Evercore

11/03/2026 10:56

** Oil and natgas co Diamondback Energy FANG.O shares down 4% at $171.20 premarket after overnight secondary offering priced

** Midland, Texas-based FANG late Tues announced 11 mln shares offloaded by SGF FANG Holdings (SGF) for ~$1.9 bln gross proceeds

** With the sale, SGF stake goes from 34.4% to 30.5%, or ~85.7 mln shares; FANG has ~281.3 mln shares outstanding, per the prospectus

** SGF is beneficially owned by Lyndal Stephens Greth, daughter of the late Endeavor Energy Resources founder Autry Stephens. It acquired the stake following FANG's $26 bln acquisition of Endeavor in 2024

** Evercore, Citigroup, JP Morgan joint bookrunners for offering

** Through Tues, FANG stock up ~19% YTD vs 23% gain in S&P 500 Energy index .SPNY

** 31 of 32 analysts rate the stock "strong buy" or "buy", 1 "hold"; median PT $188, per LSEG data

(Lance Tupper is a Reuters market analyst. The views expressed are his own)

((lance.tupper@tr.com 1-646-279-6380))