Diamondback Energy Inc (FANG)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 3,143,000 | 4,386,000 | 2,182,000 | -4,517,000 | 240,000 |
| Total stockholders’ equity | US$ in thousands | 16,625,000 | 15,009,000 | 12,088,000 | 8,794,000 | 13,249,000 |
| ROE | 18.91% | 29.22% | 18.05% | -51.36% | 1.81% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $3,143,000K ÷ $16,625,000K
= 18.91%
Diamondback Energy Inc's return on equity (ROE) has fluctuated over the past five years. In 2019, the company had a ROE of 1.81%, indicating a relatively low return on equity. However, the ROE improved significantly in 2020 to -51.36%, which suggests the company experienced a significant loss in equity that year.
Subsequently, Diamondback Energy Inc's ROE rebounded in 2021 to 18.05%, showing a recovery in profitability and efficiency in utilizing shareholder equity. The trend continued in 2022 with a ROE of 29.22%, indicating strong growth and performance.
In the most recent year, as of Dec 31, 2023, the ROE stood at 18.77%. Although slightly lower compared to the previous year, it still reflects a solid return on equity for the company.
Overall, Diamondback Energy Inc's ROE performance has shown variability over the years, with significant improvements seen in recent years. This suggests that the company has been working towards enhancing its profitability and effectiveness in generating returns for its shareholders.
Peer comparison
Dec 31, 2023