Diamondback Energy stock posts strong Q3 and raises dividend

Published on 11/03/2026 at 13:58 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Diamondback Energy stock enters the next quarter with stronger cash generation and an expanded return of capital. Management also lifted its outlook.

Cash flow and outlook improve

Third-quarter revenue and attributable net income rose sharply from the prior-year period.
Diamondback lifted its full-year oil and total production outlook while increasing its capital budget.
The board raised the quarterly base dividend and the company continued share repurchases.

Diamondback Energy, US25278X1090, Illustration mit AI erstellt.

Diamondback Energy announced stronger third-quarter results on Monday, November 2, 2026, and raised its base dividend. The results for the period ended September 30 also prompted the oil and gas producer to lift its full-year production outlook and increase planned capital spending. The company disclosed the figures in its third-quarter press release.

Diamondback generated revenue of 5.431 billion US dollars, up from 3.924 billion US dollars a year earlier. Net income attributable to Diamondback Energy rose to 1.603 billion US dollars from 1.018 billion US dollars, while diluted earnings per share increased to 5.69 US dollars from 3.51 US dollars. Adjusted net income attributable to the company was 1.649 billion US dollars, or 5.86 US dollars per diluted share.

Production supports higher cash flow

Average oil production reached 524,946 barrels per day, compared with 503,750 barrels per day in the third quarter of 2025. Total production averaged 1.034 million barrels of oil equivalent per day, versus 942,946 barrels of oil equivalent per day a year earlier. The company drilled 105 gross wells and completed 135 gross wells during the quarter.

Net cash provided by operating activities was 2.599 billion US dollars. Free cash flow, a non-GAAP measure, came to 2.148 billion US dollars, while adjusted free cash flow was 2.150 billion US dollars. Cash capital expenditures totaled 1.026 billion US dollars, compared with 774 million US dollars in the prior-year quarter.

Operating conditions were mixed. Diamondback realized 87.30 US dollars per barrel of oil, down from 96.82 US dollars in the second quarter but above 64.60 US dollars a year earlier. Total cash operating costs were 10.91 US dollars per barrel of oil equivalent, compared with 10.96 US dollars in the prior quarter and 10.05 US dollars a year earlier.

Guidance and shareholder returns

Diamondback raised its 2026 oil production guidance to approximately 524,000 barrels per day from more than 522,000 barrels per day. Total production guidance increased to approximately 1.015 million barrels of oil equivalent per day from more than 1 million. Full-year cash capital expenditure guidance moved to 3.95 billion to 4 billion US dollars from approximately 3.9 billion US dollars.

For the fourth quarter, management expects oil production of 518,000 to 528,000 barrels per day and capital expenditures of 1 billion to 1.05 billion US dollars. The company also reported that it redeemed 698 million US dollars of 2026 senior notes at par on October 1.

The board approved a 7.3 percent increase in the quarterly base dividend to 1.18 US dollars per share. The payment is scheduled for November 19 to shareholders of record at the close of business on November 12. The company repurchased 1,348,209 shares for approximately 251 million US dollars during the quarter, taking total third-quarter capital returned to shareholders to 582 million US dollars.

What investors should watch next

The higher production outlook and strong free cash flow improve the companys capacity to fund drilling, debt reduction and shareholder returns. At the same time, the lower realized oil price from the previous quarter highlights the sensitivity of results to commodity markets. Investors will next assess fourth-quarter execution, spending discipline and the pace of further repurchases.

Diamondback Energy stock traded at 182.18 euros on Lang & Schwarz at 13:47 CET on Tuesday, November 3, 2026. Investors can follow the real-time quote of Diamondback Energy stock.