WallStSmart

Vaalco Energy Inc (EGY)vsDiamondback Energy Inc (FANG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Diamondback Energy Inc generates 4541% more annual revenue ($14.46B vs $311.54M). FANG leads profitability with a 2.0% profit margin vs -45.9%. EGY appears more attractively valued with a PEG of 3.98. FANG earns a higher WallStSmart Score of 41/100 (D).

EGY

Avoid

32

out of 100

Grade: F

Growth: 2.7Profit: 2.0Value: 5.7Quality: 3.5
Piotroski: 1/9Altman Z: 1.27

FANG

Hold

41

out of 100

Grade: D

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

EGYUndervalued (+42.5%)

Margin of Safety

+42.5%

Fair Value

$8.68

Current Price

$5.41

$3.27 discount

UndervaluedFair: $8.68Overvalued
FANGUndervalued (+41.1%)

Margin of Safety

+41.1%

Fair Value

$286.80

Current Price

$192.62

$94.18 discount

UndervaluedFair: $286.80Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

EGY1 strengths · Avg: 8.0/10
Price/BookValuation
1.6x8/10

Reasonable price relative to book value

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

Areas to Watch

EGY4 concerns · Avg: 2.5/10
Market CapQuality
$566.09M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.982/10

Expensive relative to growth rate

Return on EquityProfitability
-41.5%2/10

ROE of -41.5% — below average capital efficiency

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

Comparative Analysis Report

WallStSmart Research

Bull Case : EGY

The strongest argument for EGY centers on Price/Book.

Bull Case : FANG

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

Bear Case : EGY

The primary concerns for EGY are Market Cap, Piotroski F-Score, PEG Ratio.

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.

Key Dynamics to Monitor

EGY profiles as a turnaround stock while FANG is a value 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.

FANG generates stronger free cash flow (895M), providing more financial flexibility.

Bottom Line

FANG scores higher overall (41/100 vs 32/100). EGY offers better value entry with a 42.5% margin of safety. Both earn "Hold" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Vaalco Energy Inc

ENERGY · OIL & GAS E&P · USA

VAALCO Energy, Inc., an independent energy company, acquires, explores, develops and produces crude oil and natural gas. The company is headquartered in Houston, Texas.

Diamondback Energy Inc

ENERGY · OIL & GAS E&P · USA

Diamondback Energy is a company engaged in hydrocarbon exploration and headquartered in Midland, Texas.

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