SM Energy (NYSE:SM) Announces Earnings Results, Beats Estimates By $0.23 EPS

SM Energy (NYSE:SM) issued its quarterly earnings results on Wednesday. The energy company reported $2.19 EPS for the quarter, topping analysts’ consensus estimates of $1.96 by $0.23, FiscalAI reports. The company had revenue of $2.50 billion for the quarter, compared to analysts’ expectations of $2.02 billion. SM Energy had a return on equity of 13.93% and a net margin of 3.45%.SM Energy’s revenue was up 215.3% on a year-over-year basis. During the same quarter last year, the business earned $1.50 earnings per share.

SM Energy Trading Down 6.6%

Shares of SM stock opened at $29.01 on Thursday. SM Energy has a 1-year low of $17.45 and a 1-year high of $35.88. The company has a current ratio of 0.39, a quick ratio of 0.39 and a debt-to-equity ratio of 0.98. The stock has a market cap of $6.95 billion, a price-to-earnings ratio of 12.19 and a beta of 0.73. The stock has a 50-day moving average of $29.87 and a 200-day moving average of $27.63.

SM Energy Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, June 22nd. Shareholders of record on Monday, June 8th were given 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 was Monday, June 8th. SM Energy’s payout ratio is 36.97%.

Wall Street Analysts Forecast Growth

SM has been the topic of several recent analyst reports. UBS Group assumed coverage on shares of SM Energy in a report on Tuesday, July 14th. They issued a “buy” rating and a $36.00 target price on the stock. Raymond James Financial decreased their price objective on shares of SM Energy from $55.00 to $48.00 and set an “outperform” rating on the stock in a research note on Tuesday, July 21st. Mizuho raised SM Energy to a “strong-buy” rating in a report on Friday, July 31st. Siebert Williams Shank upgraded SM Energy from a “hold” rating to a “buy” rating and lifted their price target for the company from $30.00 to $41.00 in a research note on Thursday, May 14th. Finally, Weiss Ratings upgraded SM Energy from a “hold (c-)” rating to a “hold (c)” rating in a research report on Wednesday, May 20th. One research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $36.53.

More SM Energy News

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

• Positive Sentiment: Adjusted earnings were $2.19 per share, exceeding estimates of approximately $1.93–$1.96 and rising from $1.50 a year earlier. Revenue reached $2.50 billion, well above the $2.02 billion consensus, while year-over-year revenue growth was 215.3%. SM Energy Q2 earnings and revenues beat estimates
• Positive Sentiment: Operational performance was also strong: production totaled roughly 440 thousand barrels of oil equivalent per day, including about 230 thousand barrels of oil per day. SM Energy raised its second-half production outlook to 435–440 Mboe/d while maintaining full-year capital spending guidance of $2.65 billion–$2.85 billion. SM Energy reports second-quarter 2026 results
• Positive Sentiment: Record operating cash flow of approximately $1.1 billion, $137 million returned through dividends and repurchases, and progress toward merger-related synergies reinforce the company’s cash-generation profile. SM Energy also sold South Texas assets for $950 million and used proceeds to redeem $819 million of 2026 notes.
• Positive Sentiment: The company plans to redeem all remaining $417 million of 6.625% senior notes due 2027 on September 4 using cash on hand, which should reduce future interest expense and refinancing risk. SM Energy announces redemption of senior notes
• Neutral Sentiment: Despite the fundamental beats and raised production outlook, the shares decreased, indicating that investors may have been expecting particularly strong results or remain focused on commodity prices, capital spending, and integration execution. The supplied reports do not identify a specific negative surprise.
• Neutral Sentiment: A report about SM Energy’s Draco drilling plan was described as misinformation, so it does not appear to represent a change to the company’s operating plans.

Insider Buying and Selling

In other SM Energy news, Director Ramiro G. Peru sold 24,553 shares of the firm’s stock in a transaction that occurred on Thursday, May 21st. The shares were sold at an average price of $33.98, for a total transaction of $834,310.94. Following the completion of the transaction, the director owned 65,964 shares in the company, valued at approximately $2,241,456.72. This trade represents a 27.13% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 0.45% of the stock is owned by insiders.

Hedge Funds Weigh In On SM Energy

Hedge funds have recently bought and sold shares of the company. Summit Global Investments boosted its holdings in shares of SM Energy by 1.1% in the fourth quarter. Summit Global Investments now owns 46,417 shares of the energy company’s stock worth $868,000 after buying an additional 489 shares during the last quarter. State of Wyoming increased its holdings in SM Energy by 22.2% during the fourth quarter. State of Wyoming now owns 2,748 shares of the energy company’s stock valued at $51,000 after buying an additional 499 shares during the last quarter. Global Retirement Partners LLC increased its holdings in SM Energy by 62.9% during the fourth quarter. Global Retirement Partners LLC now owns 1,386 shares of the energy company’s stock valued at $26,000 after buying an additional 535 shares during the last quarter. Tidal Investments LLC raised its position in SM Energy by 1.8% in the second quarter. Tidal Investments LLC now owns 42,579 shares of the energy company’s stock worth $1,052,000 after acquiring an additional 750 shares during the period. Finally, CANADA LIFE ASSURANCE Co raised its position in SM Energy by 0.9% in the third quarter. CANADA LIFE ASSURANCE Co now owns 101,932 shares of the energy company’s stock worth $2,637,000 after acquiring an additional 880 shares during the period. Institutional investors own 94.56% of the company’s stock.

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.