WallStSmart

Diamondback Energy Inc (FANG)vsNorth European Oil Royalty Trust (NRT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Diamondback Energy Inc generates 156823% more annual revenue ($16.25B vs $10.35M). NRT leads profitability with a 90.7% profit margin vs 9.0%. NRT trades at a lower P/E of 8.5x. FANG earns a higher WallStSmart Score of 69/100 (B-).

FANG

Strong Buy

69

out of 100

Grade: B-

Growth: 9.3Profit: 6.0Value: 5.3Quality: 4.5
Piotroski: 2/9Altman Z: 1.28

NRT

Hold

41

out of 100

Grade: D

Growth: 2.0Profit: 10.0Value: 6.3Quality: 5.0
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FANGUndervalued (+47.1%)

Margin of Safety

+47.1%

Fair Value

$319.39

Current Price

$200.52

$118.87 discount

UndervaluedFair: $319.39Overvalued
NRTFair Value (-3.7%)

Margin of Safety

-3.7%

Fair Value

$8.89

Current Price

$8.61

$0.28 premium

UndervaluedFair: $8.89Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FANG6 strengths · Avg: 9.5/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Operating MarginProfitability
48.5%10/10

Strong operational efficiency at 48.5%

Revenue GrowthGrowth
52.5%10/10

Revenue surging 52.5% year-over-year

EPS GrowthGrowth
179.5%10/10

Earnings expanding 179.5% YoY

Market CapQuality
$57.77B9/10

Large-cap with strong market position

Free Cash FlowQuality
$2.59B8/10

Generating 2.6B in free cash flow

NRT4 strengths · Avg: 10.0/10
P/E RatioValuation
8.5x10/10

Attractively priced relative to earnings

Return on EquityProfitability
59.6%10/10

Every $100 of equity generates 60 in profit

Profit MarginProfitability
90.7%10/10

Keeps 91 of every $100 in revenue as profit

Operating MarginProfitability
85.6%10/10

Strong operational efficiency at 85.6%

Areas to Watch

FANG4 concerns · Avg: 3.0/10
P/E RatioValuation
38.6x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
4.2%3/10

ROE of 4.2% — below average capital efficiency

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

PEG RatioValuation
21.432/10

Expensive relative to growth rate

NRT4 concerns · Avg: 2.5/10
Market CapQuality
$79.31M3/10

Smaller company, higher risk/reward

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Price/BookValuation
41.0x2/10

Trading at 41.0x book value

Revenue GrowthGrowth
-3.7%2/10

Revenue declined 3.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : FANG

The strongest argument for FANG centers on Price/Book, Operating Margin, Revenue Growth. Revenue growth of 52.5% demonstrates continued momentum.

Bull Case : NRT

The strongest argument for NRT centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 90.7% and operating margin at 85.6%.

Bear Case : FANG

The primary concerns for FANG are P/E Ratio, Return on Equity, Piotroski F-Score.

Bear Case : NRT

The primary concerns for NRT are Market Cap, Piotroski F-Score, Price/Book.

Key Dynamics to Monitor

FANG profiles as a hypergrowth stock while NRT is a declining play — different risk/reward profiles.

FANG carries more volatility with a beta of 0.42 — expect wider price swings.

FANG is growing revenue faster at 52.5% — sustainability is the question.

FANG generates stronger free cash flow (2.6B), providing more financial flexibility.

Bottom Line

FANG scores higher overall (69/100 vs 41/100) and 52.5% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Diamondback Energy Inc

ENERGY · OIL & GAS E&P · USA

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

North European Oil Royalty Trust

ENERGY · OIL & GAS E&P · USA

The North European Oil Royalty Trust, a grantor trust, holds primary royalty rights covering oil and gas production in various concessions or leases in the Federal Republic of Germany. The company is headquartered in Keene, New Hampshire.

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