JPMorgan analyst Michael Glick says his analysis suggests Diamondback Energy "paces the group on nearly every important measure," including capital efficiency, margins and free cash flow. However, the stock still trades at a discount to peers and the group on multiple metrics, which is unjustified, Glick tells investors in a research note. He believes Diamondback should trade at a premium relative to the group and the Permian as a whole. The analyst boosted his price target for the shares to $152 from $149 and keeps an Overweight rating on the name.

Stifel raised the firm's price target on Diamondback Energy to $229 from $224 and keeps a Buy rating on the shares. The firm is updating its commodity estimates ahead of Q1 earnings to reflect strip prices through 2026 and revising its production and capital forecasts to reflect discussions with management, the analyst tells investors. Despite elevated valuations, oil and gas macro tailwinds continue to support sector outperformance, the firm adds.