SM Energy (NYSE:SM) Announces Quarterly Earnings Results

SM Energy (NYSE:SM) announced its quarterly earnings results on Tuesday. The energy company reported $1.95 earnings per share for the quarter, missing analysts’ consensus estimates of $2.01 by ($0.06), FiscalAI reports. SM Energy had a return on equity of 21.49% and a net margin of 13.69%. The company had revenue of $2.16 billion during the quarter, compared to analyst estimates of $2.04 billion. During the same period in the prior year, the firm earned $1.33 EPS. SM Energy’s quarterly revenue was up 167.2% on a year-over-year basis.

SM Energy Stock Up 1.7%

Shares of NYSE SM opened at $31.57 on Thursday. SM Energy has a 52-week low of $17.45 and a 52-week high of $41.56. The company has a debt-to-equity ratio of 0.85, a quick ratio of 0.62 and a current ratio of 0.62. The business has a fifty day moving average of $37.06 and a two-hundred day moving average of $30.46. The stock has a market cap of $7.51 billion, a PE ratio of 7.63 and a beta of 0.80.

SM Energy Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, September 21st. Shareholders of record on Monday, September 7th were issued a dividend of $0.22 per share. The ex-dividend date of this dividend was Friday, September 4th. This represents a $0.88 dividend on an annualized basis and a dividend yield of 2.8%. SM Energy’s dividend payout ratio (DPR) is presently 21.36%.

Insider Activity

In other news, Director Ashwin Venkatraman sold 3,650 shares of SM Energy stock in a transaction that occurred on Thursday, September 10th. The shares were sold at an average price of $38.28, for a total value of $139,722.00. Following the completion of the transaction, the director owned 12,525 shares in the company, valued at approximately $479,457. The trade was a 22.57% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, EVP James Barker Lebeck sold 17,500 shares of the business’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $37.02, for a total value of $647,850.00. Following the completion of the transaction, the executive vice president directly owned 14,705 shares in the company, valued at $544,379.10. The trade was a 54.34% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Company insiders own 0.45% of the company’s stock.

SM Energy News Summary

Here are the key news stories impacting SM Energy this week:

• Positive Sentiment: Third-quarter revenue rose 167% year over year to $2.16 billion, beating estimates, while operating cash flow reached $1.1 billion. The company used cash to redeem $417 million of debt and return $133 million to shareholders; merger synergies also reached $400 million. SM Energy Reports Third Quarter 2026 Results
• Positive Sentiment: Management outlined fourth-quarter production expectations and is targeting low-1x leverage by year-end 2026, supporting the outlook for continued production and balance-sheet improvement. SM Energy outlines Q4 production and leverage target
• Negative Sentiment: Despite the revenue beat, adjusted earnings of $1.95 per share missed analyst expectations of about $2.01. The shortfall contributed to selling pressure, and shares crossed below their 50-day moving average, a potentially negative technical signal. SM Energy share price crosses below 50-day moving average following weak earnings
• Negative Sentiment: SM Energy may temporarily shift drilling away from the Uinta Basin in early 2027 because of regional constraints. A change in drilling location could create uncertainty around the near-term operating plan. SM Energy may shift drilling amid Uinta Basin constraints

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on the stock. Wall Street Zen upgraded shares of SM Energy from a “buy” rating to a “strong-buy” rating in a research note on Saturday, September 19th. Zacks Research raised SM Energy from a “hold” rating to a “strong-buy” rating in a report on Wednesday, October 7th. Scotiabank initiated coverage on SM Energy in a report on Wednesday, October 14th. They issued a “sector perform” rating and a $39.00 target price on the stock. Weiss Ratings upgraded SM Energy from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, October 16th. Finally, Wells Fargo & Company reduced their price objective on SM Energy from $47.00 to $46.00 and set an “overweight” rating for the company in a research report on Thursday. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and five have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $40.53.

SM Energy Company Profile

SM Energy Company is an independent energy company engaged in the exploration, development and production of crude oil, natural gas and natural gas liquids. Its activities include acquiring prospective acreage, drilling and completing wells, and managing producing properties in U.S. onshore oil and gas basins.

The company’s operations are primarily concentrated in Texas, including the Midland Basin in West Texas and the Eagle Ford shale region in South Texas. SM Energy focuses on development of unconventional resources and uses horizontal drilling and hydraulic fracturing technologies to produce hydrocarbons from shale and other tight-rock formations.

Founded in 1908 as St.