Is SM Energy Stock a Good Investment?

SM Energy Investment Advice

To provide specific investment advice or recommendations on SM Energy Co stock, we recommend investors consider the following general factors when evaluating SM Energy Co. This will help you to make an informed decision on whether to include SM Energy in one of your diversified portfolios:

Examine SM Energy's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research SM Energy's leadership team and their track record. Good management can help SM Energy navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Oil & Gas Exploration & Production space and any emerging trends that could impact SM Energy's business and its evolving consumer preferences.
Compare SM Energy's performance and market position to its competitors. Analyze how SM Energy is positioned in terms of product offerings, innovation, and market share.
Check if SM Energy pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about SM Energy's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in SM Energy Co stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if SM Energy Co is a good investment.

Sell

Buy

Strong Buy

SM Energy trade advice module can be used to check and cross-verify current advice provided by analysts examining the firm's potential to grow using all of fundamental, technical, data market data available at this moment. To make sure SM Energy is not overpriced, please validate all SM Energy Co fundamentals, including its total debt, total asset, and the relationship between the revenue and earnings per share . Given that SM Energy has a price to earning of 6.17 X, we advise you to double-check SM Energy market performance and probability of bankruptcy to ensure the company can sustain itself this quarter and beyond given your latest risk tolerance and investing horizon.

Market Performance	Very Weak	Details
Volatility	Very steady	Details
Hype Condition	Low key	Details
Current Valuation	Undervalued	Details
Odds Of Distress	Very Low	Details
Economic Sensitivity	Slowly supersedes the market	Details
Investor Sentiment	Impartial	Details
Analyst Consensus	Strong Buy	Details
Financial Strenth (F Score)	Strong	Details
Financial Leverage	Not Rated	Details
Reporting Quality (M-Score)	Unlikely Manipulator	Details

Examine SM Energy Stock

Researching SM Energy's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 98.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.09. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. SM Energy has Price/Earnings To Growth (PEG) ratio of 0.57. The entity recorded earning per share (EPS) of 7.14. The firm last dividend was issued on the 24th of January 2025. SM Energy had 2:1 split on the 1st of April 2005.

To determine if SM Energy is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding SM Energy's research are outlined below:

	SM Energy generated a negative expected return over the last 90 days
	SM Energy Co reports 1.58 B of total liabilities with total debt to equity ratio (D/E) of 0.64, which is normal for its line of buisiness. SM Energy has a current ratio of 0.61, implying that it has not enough working capital to pay out debt commitments in time. Note however, debt could still be an excellent tool for SM Energy to invest in growth at high rates of return.
	SM Energy has a strong financial position based on the latest SEC filings
	Over 98.0% of SM Energy shares are owned by institutional investors
	On 3rd of February 2025 SM Energy paid $ 0.2 per share dividend to its current shareholders
	Latest headline from zacks.com: Petrobras Eyes African Oil to Boost Reserves as Output Decline Looms

SM Energy Quarterly Accounts Payable

560.84 Million

SM Energy uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in SM Energy Co. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to SM Energy's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	28th of February 2024 Upcoming Quarterly Report	View
	25th of April 2024 Next Financial Report	View
	31st of December 2023 Next Fiscal Quarter End	View
	28th of February 2024 Next Fiscal Year End	View
	30th of September 2023 Last Quarter Report	View
	31st of December 2022 Last Financial Announcement	View

Earnings surprises can significantly impact SM Energy's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises SM Energy's investors have experienced.

Reported	Fiscal Date	Estimated EPS	Reported EPS	Surprise
2002-05-08	2002-03-31	0.03	0.04	0.01	33
2002-02-20	2001-12-31	0.01	0.02	0.01	100
2001-11-07	2001-09-30	0.08	0.09	0.01	12
1999-11-15	1999-09-30	0.05	0.06	0.01	20
1998-05-08	1998-03-31	0.05	0.04	-0.01	20
1997-11-05	1997-09-30	0.08	0.09	0.01	12
1996-11-07	1996-09-30	0.08	0.09	0.01	12
1996-08-06	1996-06-30	0.06	0.07	0.01	16

SM Energy Target Price Consensus

SM Energy target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. SM Energy's target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.

15	Strong Buy

Most SM Energy analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand SM Energy stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of SM Energy, talking to its executives and customers, or listening to those companies' conference calls.

Macroaxis Advice Exposure Valuation

SM Energy Target Price Projection

SM Energy's current and average target prices are 38.52 and 53.13, respectively. The current price of SM Energy is the price at which SM Energy Co is currently trading. On the other hand, SM Energy's target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.

Current Price

SM Energy Market Quote on 16th of February 2025

Low Price	38.13	Odds
High Price	39.99	Odds

38.52 Target Price

Analyst Consensus On SM Energy Target Price

Low Estimate	48.35	Odds
High Estimate	58.98	Odds

53.1333

Historical

Lowest Forecast 48.35

Target Price 53.13

Highest Forecast 58.98

Note that most analysts generally publish their price targets in research reports on specific companies, along with recommendations for the company's stock.Although price targets are often quoted in the financial news media, there could be a delay between the publication of the latest analyst outlook on SM Energy Co and the information provided on this page.

SM Energy Analyst Ratings

SM Energy's analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about SM Energy stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of SM Energy's financials, market performance, and future outlook by experienced professionals. SM Energy's historical ratings below, therefore, can serve as a valuable tool for investors.

Know SM Energy's Top Institutional Investors

Have you ever been surprised when a price of an equity instrument such as SM Energy is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading SM Energy Co backward and forwards among themselves. SM Energy's institutional investor refers to the entity that pools money to purchase SM Energy's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.

		Shares
River Road Asset Management, Llc	2024-12-31	1.8 M
Goldman Sachs Group Inc	2024-09-30	1.4 M
Voloridge Investment Management, Llc	2024-09-30	1.4 M
Morgan Stanley - Brokerage Accounts	2024-09-30	1.4 M
Northern Trust Corp	2024-09-30	1.3 M
Charles Schwab Investment Management Inc	2024-12-31	1.3 M
Bank Of New York Mellon Corp	2024-12-31	1.2 M
Frontier Capital Management Co Inc	2024-09-30	1.2 M
Channing Capital Management, Llc	2024-12-31	1.2 M
Blackrock Inc	2024-09-30	17.9 M
Vanguard Group Inc	2024-09-30	15.2 M

Note, although SM Energy's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

SM Energy's market capitalization trends

The company currently falls under 'Mid-Cap' category with a market capitalization of 4.41 B.

Market Cap

1.25 Billion

SM Energy's profitablity analysis

	Last Reported	Projected for Next Year
Return On Tangible Assets	0.13	0.15
Return On Capital Employed	0.20	0.12
Return On Assets	0.13	0.15
Return On Equity	0.26	0.27

The company has Net Profit Margin (PM) of 0.35 %, which suggests that even a small decline in it sales will erase profits and may result in a net loss, or a negative profit margin. This is way below average. Likewise, it shows Net Operating Margin (NOM) of 0.54 %, which signifies that for every $100 of sales, it has a net operating income of $0.54.

Determining SM Energy's profitability involves analyzing its financial statements and using various financial metrics to determine if SM Energy is a good buy. For example, gross profit margin measures SM Energy's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of SM Energy's profitability and make more informed investment decisions.

Evaluate SM Energy's management efficiency

SM Energy has Return on Asset (ROA) of 0.0973 % which means that for every $100 of assets, it generated a profit of $0.0973. This is way below average. Likewise, it shows a return on total equity (ROE) of 0.2221 %, which means that it produced $0.2221 on every 100 dollars invested by current stockholders. SM Energy's management efficiency ratios could be used to measure how well SM Energy manages its routine affairs as well as how well it operates its assets and liabilities. At this time, SM Energy's Return On Tangible Assets are very stable compared to the past year. As of the 16th of February 2025, Return On Assets is likely to grow to 0.15, while Return On Capital Employed is likely to drop 0.12. At this time, SM Energy's Fixed Asset Turnover is very stable compared to the past year. As of the 16th of February 2025, Return On Assets is likely to grow to 0.15, while Net Tangible Assets are likely to drop about 2.3 B.

	Last Reported	Projected for Next Year
Book Value Per Share	27.42	28.79
Tangible Book Value Per Share	27.42	28.79
Enterprise Value Over EBITDA	2.95	3.90
Price Book Value Ratio	1.46	1.17
Enterprise Value Multiple	2.95	3.90
Price Fair Value	1.46	1.17
Enterprise Value	3.8 B	4 B

SM Energy has shown resilience through effective management strategies. Our analysis examines how these strategies influence financial outcomes and investor returns which helps in understanding the stock's long-term potential.

Dividend Yield

0.0208

Forward Dividend Yield

0.0208

Forward Dividend Rate

0.8

Beta

4.111

Basic technical analysis of SM Energy Stock

As of the 16th of February 2025, SM Energy owns the Mean Deviation of 1.64, risk adjusted performance of (0.04), and Standard Deviation of 2.1. In connection with fundamental indicators, the technical analysis model makes it possible for you to check timely technical drivers of SM Energy, as well as the relationship between them. Please validate SM Energy risk adjusted performance, information ratio, as well as the relationship between the Information Ratio and kurtosis to decide if SM Energy Co is priced adequately, providing market reflects its prevailing price of 38.52 per share. Given that SM Energy has information ratio of (0.08), we advise you to double-check SM Energy's latest market performance to make sure the company can sustain itself sooner or later.

SM Energy's insider trading activities

Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific SM Energy insiders, such as employees or executives, is commonly permitted as long as it does not rely on SM Energy's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases SM Energy insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.

		A Pursell over three weeks ago Disposition of 4120 shares by A Pursell of SM Energy at 43.23 subject to Rule 16b-3
		A Pursell over a month ago Disposition of 1000 shares by A Pursell of SM Energy subject to Rule 16b-3
		Venkatraman Ashwin over two months ago Acquisition by Venkatraman Ashwin of 2027 shares of SM Energy subject to Rule 16b-3
		Venkatraman Ashwin over two months ago Insider Trading
		Kenneth Knott over three months ago Disposition of 16000 shares by Kenneth Knott of SM Energy at 50.28 subject to Rule 16b-3
		Brookman Barton R Jr over six months ago Disposition of tradable shares by Brookman Barton R Jr of SM Energy subject to Rule 16b-3
		Brookman Barton R Jr over six months ago Acquisition by Brookman Barton R Jr of 18 shares of SM Energy subject to Rule 16b-3
		A Pursell over six months ago Disposition of 5000 shares by A Pursell of SM Energy subject to Rule 16b-3
		Zubieta Dennis A over a year ago Exercise or conversion by Zubieta Dennis A of 1356 shares of SM Energy subject to Rule 16b-3
		Zubieta Dennis A over a year ago Payment of 2335 shares by Zubieta Dennis A of SM Energy subject to Rule 16b-3
		Zubieta Dennis A over a year ago Acquisition by Zubieta Dennis A of 832 shares of SM Energy subject to Rule 16b-3

SM Energy's Outstanding Corporate Bonds

SM Energy issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. SM Energy uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most SM Energy bonds can be classified according to their maturity, which is the date when SM Energy Co has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

	US78454LAW00 Corp Bond US78454LAW00	View
	SM ENERGY 6625 Corp Bond US78454LAP58	View
	SM ENERGY 675 Corp Bond US78454LAN01	View
	MPLX LP 4125 Corp Bond US55336VAK61	View
	MPLX LP 4875 Corp Bond US55336VAJ98	View
	MPLX LP 52 Corp Bond US55336VAL45	View
	Valero Energy Partners Corp Bond US91914JAA07	View

View All SM Energy Corporate Bonds

Understand SM Energy's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing SM Energy's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	(0.04)
	Market Risk Adjusted Performance	(0.52)
	Mean Deviation	1.64
	Coefficient Of Variation	(1,395)
	Standard Deviation	2.1
	Variance	4.4
	Information Ratio	(0.08)
	Jensen Alpha	(0.16)
	Total Risk Alpha	(0.16)
	Treynor Ratio	(0.53)
	Maximum Drawdown	9.62
	Value At Risk	(4.17)
	Potential Upside	3.04
	Skewness	(0.11)
	Kurtosis	0.552

	Risk Adjusted Performance	(0.04)
	Market Risk Adjusted Performance	(0.52)
	Mean Deviation	1.64
	Coefficient Of Variation	(1,395)
	Standard Deviation	2.1
	Variance	4.4
	Information Ratio	(0.08)
	Jensen Alpha	(0.16)
	Total Risk Alpha	(0.16)
	Treynor Ratio	(0.53)
	Maximum Drawdown	9.62
	Value At Risk	(4.17)
	Potential Upside	3.04
	Skewness	(0.11)
	Kurtosis	0.552

Consider SM Energy's intraday indicators

SM Energy intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of SM Energy stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	0.0465
	Daily Balance Of Power	(0.24)
	Rate Of Daily Change	0.99
	Day Median Price	39.06
	Day Typical Price	38.88
	Market Facilitation Index	1.86
	Price Action Indicator	(0.76)
	Period Momentum Indicator	(0.45)
	Relative Strength Index	50.61

SM Energy Corporate Filings

F4	13th of December 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities	View Verify
8K	12th of December 2024 An amendment to a previously filed Form 8-K	View Verify
F3	6th of December 2024 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock	View Verify
8K	2nd of December 2024 Report filed with the SEC to announce major events that shareholders should know about	View Verify

SM Energy time-series forecasting models is one of many SM Energy's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary SM Energy's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

SM Energy Stock media impact

Far too much social signal, news, headlines, and media speculation about SM Energy that are available to investors today. That information is available publicly through SM Energy media outlets and privately through word of mouth or via SM Energy internal channels. However, regardless of the origin, that massive amount of SM Energy data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.

A primary focus of SM Energy news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of SM Energy relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to SM Energy's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive SM Energy alpha.

SM Energy Sentiment by Major News Outlets

Investor sentiment, mood or attitude towards SM Energy can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.

Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.

SM Energy Maximum Pain Price Across May 16th 2025 Option Contracts

SM Energy's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of SM Energy close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of SM Energy's options.