3 Stocks to Own If Gas Prices Keep Rising Diamondback Energy (NASDAQ:FANG) said its second-quarter operational performance and view of global oil inventories support a potential path toward low-single-digit organic production growth in 2027, while management emphasized it…
tends to retain flexibility amid commodity-market volatility. Chief Executive Officer Kaes Van’t Hof said the company increased its production outlook by roughly 3% to 4% versus its original 2026 plan after responding to oil-price signals in March
Production is now approximately 4% above its level at the start of the year, he said. – Insider Selling: CRWV, DELL & FANG See +$100M in 2026 Sales Looking ahead, Van’t Hof said Diamondback is weighing whether to maintain production at elevated third-quarter levels or grow from that base. At present, the company’s model supports low-single-digit organic growth while maintaining capital efficiency and operating five frac crews consistently through the year. “Our bet is that these global inventories, including SPRs, are going to need to be refilled,” Van’t Hof said, referring to strategic petroleum reserves. He said oil and product inventories have been drawing down and that, absent permanent demand destruction, the market will need additional supply to meet global demand and replenish inventories.
Operations and Well Productivity – Diamondback Sees Resilient Demand Despite Cautious Guidance Management highlighted continued operational improvements across well construction, targeting and completions. Van’t Hof described the company’s progress as a “stacked innovation” effort, citing incremental advances that have improved drilling and completion performance over time. Chief Engineer Al Barkmann said Diamondback has used larger tubulars that allow more aggressive flowback, while changes in stimulation design, stage architecture, perforating and well targeting have contributed to recent well outperformance.