11:27 AM EDT, 08/13/2024 (MT Newswires) -- Diamondback Energy ( FANG ) appears well-positioned operationally and financially to close its pending merger with Endeavor Energy Resources and reach or surpass synergy targets, RBC Capital Markets said in a note Monday.

"[Diamondback Energy ( FANG )] has demonstrated an operational aptitude that has delivered reliable performance over the past few years," RBC said. "Operations have gone well enough that [the company] can reduce rigs/frac crews in H2 and still remain at the high-end of its original targets."

The firm said the process with the Federal Trade Commission appears to be progressing with a target close for the Endeavor deal possibly happening in late Q3. Diamondback Energy ( FANG ) and Endeavor announced their proposed merger in February.

RBC maintained Diamondback Energy's ( FANG ) outperform rating and $220 price target.

Shares of Diamondback declined 2.8% in recent trading activity Tuesday.

Price: 195.73, Change: -5.57, Percent Change: -2.76