SM Energy (NYSE:SM) Shares Gap Up – Should You Buy?

SM Energy Company (NYSE:SM) gapped up prior to trading on Monday . The stock had previously closed at $27.81, but opened at $28.83. SM Energy shares last traded at $29.1740, with a volume of 372,573 shares changing hands.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on SM shares. Wall Street Zen upgraded shares of SM Energy from a “hold” rating to a “buy” rating in a research report on Saturday, May 9th. Wells Fargo & Company increased their price target on SM Energy from $29.00 to $32.00 and gave the company an “equal weight” rating in a report on Monday, May 18th. Stephens dropped their target price on SM Energy from $61.00 to $52.00 and set an “overweight” rating for the company in a report on Tuesday, July 7th. National Bank Financial set a $30.00 price target on shares of SM Energy in a research report on Tuesday, March 17th. Finally, JPMorgan Chase & Co. raised shares of SM Energy from a “neutral” rating to an “overweight” rating and set a $40.00 price target for the company in a research note on Friday, March 20th. Nine equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat.com, SM Energy currently has a consensus rating of “Moderate Buy” and an average price target of $37.00.

SM Energy Trading Up 5.4%

The firm has a market cap of $7.03 billion, a price-to-earnings ratio of 12.32 and a beta of 0.73. The company has a debt-to-equity ratio of 0.98, a quick ratio of 0.39 and a current ratio of 0.39. The company has a 50 day moving average price of $30.06 and a 200 day moving average price of $26.01.

SM Energy (NYSE:SM) last issued its quarterly earnings data on Wednesday, May 6th. The energy company reported $1.55 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.13 by $0.42. SM Energy had a return on equity of 13.93% and a net margin of 3.45%.The firm had revenue of $1.48 billion during the quarter, compared to the consensus estimate of $1.42 billion. During the same period last year, the company earned $1.76 EPS. The company’s quarterly revenue was up 75.0% on a year-over-year basis. On average, research analysts expect that SM Energy Company will post 7.1 earnings per share for the current year.

SM Energy Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, June 22nd. Stockholders of record on Monday, June 8th were paid a $0.22 dividend. This represents a $0.88 dividend on an annualized basis and a dividend yield of 3.0%. The ex-dividend date of this dividend was Monday, June 8th. SM Energy’s payout ratio is 36.97%.

Insider Buying and Selling at SM Energy

In related news, Director Ramiro G. Peru sold 24,553 shares of the business’s stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $33.98, for a total value of $834,310.94. Following the sale, the director owned 65,964 shares in the company, valued at approximately $2,241,456.72. The trade was a 27.13% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 0.45% of the company’s stock.

Institutional Trading of SM Energy

Several hedge funds have recently modified their holdings of SM. GAMMA Investing LLC increased its holdings in SM Energy by 3.8% during the 2nd quarter. GAMMA Investing LLC now owns 10,108 shares of the energy company’s stock worth $264,000 after purchasing an additional 371 shares during the period. Quad Cities Investment Group LLC boosted its stake in shares of SM Energy by 2.8% in the 2nd quarter. Quad Cities Investment Group LLC now owns 13,777 shares of the energy company’s stock valued at $360,000 after buying an additional 375 shares during the period. Summit Global Investments boosted its stake in shares of SM Energy by 1.1% in the 4th quarter. Summit Global Investments now owns 46,417 shares of the energy company’s stock valued at $868,000 after buying an additional 489 shares during the period. State of Wyoming grew its position in shares of SM Energy by 22.2% during the fourth quarter. State of Wyoming now owns 2,748 shares of the energy company’s stock worth $51,000 after buying an additional 499 shares in the last quarter. Finally, Global Retirement Partners LLC grew its position in shares of SM Energy by 62.9% during the fourth quarter. Global Retirement Partners LLC now owns 1,386 shares of the energy company’s stock worth $26,000 after buying an additional 535 shares in the last quarter. 94.56% of the stock is currently owned by institutional investors and hedge funds.

About SM Energy

SM Energy Company (NYSE: SM) is an independent energy firm engaged in the exploration, development, and production of crude oil, natural gas, and natural gas liquids in the United States. The company focuses on identifying and exploiting unconventional onshore basins, leveraging advanced drilling and completion techniques to optimize resource recovery. SM Energy’s operations are supported by an integrated approach to reservoir management and strategic midstream partnerships, enabling efficient transportation and marketing of hydrocarbons.

The company’s core asset areas include prolific basins such as the Permian, Eagle Ford, and the Rocky Mountain region.