Midland, Texas-based Diamondback Energy, Inc. (FANG) operates as an independent oil and gas exploration & production company, with its primary focus on the Permian Basin. Valued at $42.2 billion by market cap, the upstream operator focuses on growth through a combination of acquisitions and active drilling activities.

The energy giant is expected to announce its second-quarter results after the market closes on Monday, Aug. 4. Ahead of the event, analysts expect FANG to report a profit of $2.57 per share, down 43.1% from $4.52 per share reported in the year-ago quarter. While the company has missed the Street’s bottom-line estimates in one of the past four quarters, it has surpassed the projections on three other occasions.

For the full fiscal 2025, FANG is expected to report an EPS of $12.96, down 21.8% from $16.57 reported in fiscal 2024. In fiscal 2026, its earnings are expected to drop further by 13% year-over-year to $11.28 per share.

FANG stock has plummeted 30.5% over the past 52 weeks, significantly underperforming the S&P 500 Index’s ($SPX) 11.6% gains and the Energy Select Sector SPDR Fund’s (XLE) 2.6% dip during the same time frame.

Despite reporting better-than-expected financials, Diamondback Energy’s stock prices observed a marginal drop in the trading session after the release of its Q1 results on May 5. The company’s topline for the quarter soared 81.8% year-over-year to $4.05 billion, exceeding the consensus estimates by a staggering 13.1%. Meanwhile, its adjusted EPS came in at $4.54, 11% ahead of the Street expectations.

However, the company reduced its full-year production and capital expenditure guidance, which likely didn’t impress investors.

Nevertheless, FANG maintains a consensus “Strong Buy” rating overall. Of the 28 analysts covering the stock, opinions include 23 “Strong Buys,” three “Moderate Buys,” and two “Holds.” Its mean price target of $181.89 suggests a 28.1% upside potential from current price levels.