DEC

Strong BuyUnloved QualityFLAG

Diversified Energy Company · Energy · United States · $960M · Avg Vol: $13M/d

Unloved Quality: Strong and cheap, but the market has not turned yet. Patience required.

87
StockRank
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Quality
58
Value
87
Momentum
39
P/E (TTM)
2.3x
peers 17.3x
ROE
53.7%
peers 9.4%
D/E
3.1x
peers 0.5x
Dividend %
8.4%
trailing yield
AI CONVICTION THESIS

Insufficient evidence for a screen-pass. Diversified Energy Company: fails the quant gate on momentum (Q58/V86/M45; every leg must be >= 50). Absence of evidence is neutral; nothing adverse is known.

The ranks quoted here are from the day it was written; today's Quality, Value and Momentum are the bars above.

ABOUT DIVERSIFIED ENERGY COMPANY

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Diversified Energy Company is an independent energy company focused on the acquisition and operation of mature, low-decline producing natural gas and oil wells. The company's competitive moat is its unique 'Stewardship' model, which maximizes cash flow from existing assets while minimizing capital expenditure and decommissioning liabilities. It operates as a highly cash-generative, low-risk operator in the Appalachian and Central US basins.

FINANCIAL SUMMARY (USD)

Year2022202320242025CAGRTTM2026E2027EFwd CAGR
Revenue1.9B868.3M794.8M1.6B-5.7%1.9B1.8B1.6B-1.0%
EPS-14.8215.87-2.174.67-45.8%6.092.623.81-9.7%
Shares41.4M47.6M50.6M77.0M+85.7%69.1M———
Debt1.5B1.3B1.7B3.0B27.3%3.0B———
Equity-152.7M585.8M400.1M984.1M29.6%————
Op CF387.8M291.4M220.7M464.6M6.2%557.0M———
Inv CF-386.5M-246.7M-266.8M-820.2M—————
Fin CF-6.5M-67.4M58.4M448.4M—————
Loading 1Y...
PRICE (1Y)-0.8%
13.7114.2114.7215.2215.7213 Aug3 Sep24 Sep
SMA 50SMA 200

Close
$14.05
RSI (14)
19.9
52-Week Range-22.7% from high
Low $11.37High $18.17

SCORE BREAKDOWN

Quality
58
ROIC
10.0%61.2
ROE
53.7%96.2
GP/Assets
18.0%55.4
Op. Margin
83.7%98.2
FCF/Assets
4.5%56.3
Piotroski
782.8
Int. Cover
2.4x35.3
D/E Ratio
3.08x3.5
Current Ratio
0.57x7.3
Value
87
P/E (TTM)
2.3x99.5
EV/EBITDA
3.9x83.9
P/FCF
3.4x90.8
P/B
1.0x73.3
P/S
0.5x83.3
Div Yield
8.4%90.5
Momentum
39
52W High %
77%38.4
RS 6M
-33%25.6
SMA 50/200
1.00x37.3
EPS Rev 4W
+6.2%82.1
EPS Rev 12W
+31.6%91.8
EPS Improve
-48%7.6
Q Growth
-17%19.6

FUNDAMENTALS

Market Cap
$960M
P/E (Forward)
4.3x
Gross Margin
57.1%

SECTOR PEERS

Closest peers in Energy, ranked by industry match, size, and score similarity. Cross-listings of DEC are excluded.

TickerCompanyMkt CapStockRankSignal
DECDiversified Energy Company(you)$960M87Strong Buy
NFGNational Fuel Gas Company$7.5B46Hold
SLNGStabilis Solutions, Inc.$97M35Hold
REPXRiley Exploration Permian, Inc.$891M95Strong Buy
FETForum Energy Technologies, Inc.$949M79Buy
SDSandRidge Energy, Inc.$520M87Strong Buy
KRPKimbell Royalty Partners, LP$1.9B86Strong Buy
SBRSabine Royalty Trust$1.1B74Buy
DMLPDorchester Minerals, L.P.$1.4B96Strong Buy
CAPLCrossAmerica Partners LP$837M73Buy

Peer medians: ROE 9.4% · P/E 17.3x · Gross margin 43.3%

Company Deep Dive

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Diversified Energy Company (DEC): Stock Score Summary

Diversified Energy Company (DEC) has a MoatMap StockRank of 87/100 based on Quality (58/100), Value (87/100), and Momentum (39/100) factor scores. The current signal is STRONG BUY. Insufficient evidence for a screen-pass. Diversified Energy Company: fails the quant gate on momentum (Q58/V86/M45; every leg must be >= 50). Absence of evidence is neutral; nothing adverse is known.

Diversified Energy Company is an independent energy company focused on the acquisition and operation of mature, low-decline producing natural gas and oil wells. The company's competitive moat is its unique 'Stewardship' model, which maximizes cash flow from existing assets while minimizing capital expenditure and decommissioning liabilities. It operates as a highly cash-generative, low-risk operator in the Appalachian and Central US basins.

Key Financial Metrics

Price$14.05
Market Cap$960M
P/E (TTM)2.25
P/E (Forward)4.30
Price/Book1.03
Return on Equity53.7%
Return on Invested Capital10.0%
Debt/Equity3.08x
Gross Margin57.1%
Operating Margin83.7%
Revenue Growth24.7%
Dividend Yield8.4%
Free Cash Flow$280M

Diversified Energy Company operates in the Oil & Gas Integrated industry, part of the Energy sector (United States).

Frequently Asked Questions

What is Diversified Energy Company’s (DEC) StockRank?
MoatMap’s StockRank for Diversified Energy Company (DEC) is 87/100, with a Strong Buy signal. It is a composite of Quality (58), Value (87), and Momentum (39) factor ranks across MoatMap’s universe of 25,000+ stocks.
Does Diversified Energy Company have an economic moat?
Diversified Energy Company (DEC) has a Quality factor score of 58/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage: the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Diversified Energy Company a buy, hold, or sell?
MoatMap’s current signal for Diversified Energy Company (DEC) is Strong Buy, based on a StockRank of 87/100. Signals are derived mechanically from the StockRank composite and should be one input among many; combine with your own thesis on management, competitive position, and valuation.
What sector is Diversified Energy Company in?
Diversified Energy Company (DEC) operates in the Energy sector, specifically the Oil & Gas Integrated industry (United States).