Giant Oil & Gas Merger Sends Stock Higher

FANG is trading at its highest levels since October

Diamondback Energy Inc (NASDAQ:FANG) stock is shooting higher today, after reports that the oil and gas name is acquiring Endeavor Energy for $26 billion. The cash-and-stock deal will include debt, and “represents one of the more attractive” deals in the past several years according to a note from Truist Securities. 

At last glance, FANG was up 9.9% at $166.77, pushing back toward its Oct. 18 record high of $171.39 and on track for its best day since April 2021. The equity’s recent pullbacks have seen support at the 180-day moving average. Over the last 12 months, FANG is up 11.7%. 

Over in the options pits, Diamondback Energy stock has already seen eight times its average daily options volume. So far, 8,979 calls and 2,282 puts have been exchanged, with the 165 call standing as the most popular contract, and new positions opening at the February 162.50 call. 

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