SM

SM Energy Company

Fundamental data last updated:October 24, 2026

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company profile

SECTOR

Energy

industry

Oil & Gas Exploration & Production

Exchange

NYSE

County of HQ

US

Next Earnings Date

Pending Announcement

Business Summary

SM Energy Company, an independent energy company, engages in the acquisition, exploration, development, and production of oil, natural gas, and natural gas liquids in the state of Texas. As of February 24, 2022, it had 492.0 million barrels of oil equivalent of estimated proved reserves. It also has working interests in 825 gross productive oil wells and 483 gross productive gas wells in the Midland Basin and South Texas. The company was formerly known as St. Mary Land & Exploration Company and changed its name to SM Energy Company in May 2010. SM Energy Company was founded in 1908 and is headquartered in Denver, Colorado.

 


Analyze SM on TradingView

VALUATION

P/E

27.41

Market Cap ($M USD)

$7.47B

Forward P/E

3.59

PEG

0.01

PRICE TO SALES

1.97

PRICE TO BOOK

0.52

EV / EBITDA

6.69

5-Year Average P/E

Free Cash Flow Yield

-3.02%

DCF Value

$24.36

Graham Number

$39.08

Price to FCF

-33.11

EV to FCF

-61.01

Earnings Yield

3.65%

FCF Yield

-3.02%

DIVIDEND

Yield

2.63%

Annual Payout

$0.82

Payout Ratio

115.59%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$1.14

Next Year EPS Growth Estimate

$8.67

Next Year Revenue Growth Estimate

$7.25B

Return on Equity (ROE)

2.49%

FREE CASH FLOW

Operating Margin

6.53%

Debt-to-Equity

0.48

Piotroski F-Score

5

Altman Z-Score

0.73

Return on Invested Capital (ROIC)

1.67%

Current Ratio

0.39

Quick Ratio

0.39

Net Debt to EBITDA

3.06

Interest Coverage

0.49

Gross Profit margin

45.11%

FCF PER SHARE

$-1.96

REVENUE PER SHARE

$32.99

Analyze SM on TradingView

Gainseekers Quantitative Analysis

Summary

SM Energy Company appears to be a perplexing case of market mispricing. Despite a snapshot price that traded above its DCF value, the stock’s Forward P/E ratio suggests significant undervaluation relative to future earnings potential. The Earnings Yield is modest, yet the Altman Z-score signals distress, indicating potential financial instability. With a Graham Number higher than the current price, the market may be overlooking intrinsic value. However, the company’s low ROIC and poor interest coverage raise red flags about its operational efficiency and financial health.

AI Exposure / Tech Reliance

In the Oil & Gas Exploration & Production industry, SM Energy's exposure to AI and modern tech shifts is minimal. The sector's focus remains on traditional energy extraction rather than tech innovation. However, any advancements in AI-driven exploration techniques could offer marginal efficiency gains.

The Bull Case

For value or GARP investors, SM Energy presents an intriguing opportunity. The Forward PEG ratio is exceptionally low, suggesting growth at a bargain. While the Piotroski F-Score is moderate, the company's operating margin and gross profit margin indicate some pricing power. Despite a negative FCF Yield, the low Debt/Equity ratio provides a cushion, hinting at potential capital efficiency improvements.

The Bear Case

The bear case for SM Energy is compelling. The company's Altman Z-score and interest coverage ratio highlight significant financial distress. Its Price/Book and Price/Sales ratios, while low, are overshadowed by a negative FCF Yield and a high Price to FCF, indicating poor cash flow management. Trading near its 52-week high, the stock appears technically overextended, raising concerns about sustainability.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$34.55

Institutional Ownership %

1-Year Beta

0.74

Insider Buying % (6 Mo)

Distance to 52-Week High

15.15%

Distance to 52-Week Low

44.00%

EARNINGS SURPRISE %

37.17%

50-DAY SMA

$30.26

200-DAY SMA

$24.20

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.