Demystifying SM Energy: Insights From 4 Analyst Reviews

Throughout the last three months, 4 analysts have evaluated SM Energy (NYSE:SM), offering a diverse set of opinions from bullish to bearish.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $33.0, a high estimate of $42.00, and a low estimate of $27.00. A negative shift in sentiment is evident as analysts have decreased the average price target by 0.75%.

Investigating Analyst Ratings: An Elaborate Study

The perception of SM Energy by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to SM Energy. This insight gives a snapshot of analysts' perspectives on the current state of the company.
• Rating: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of SM Energy compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of SM Energy's stock. This analysis reveals shifts in analysts' expectations over time.

Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of SM Energy's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.

Stay up to date on SM Energy analyst ratings.

About SM Energy

SM Energy Co is an independent energy company engaged in the acquisition, exploration, development, and production of oil, gas, and NGLs in Texas and Utah. Its portfolio is comprised of assets in the Midland Basin of West Texas, the Maverick Basin of South Texas, and the Uinta Basin of northeastern Utah.

Unraveling the Financial Story of SM Energy

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Revenue Growth: SM Energy's revenue growth over a period of 3M has been noteworthy. As of 31 March, 2025, the company achieved a revenue growth rate of approximately 50.04%. This indicates a substantial increase in the company's top-line earnings. When compared to others in the Energy sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: SM Energy's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 21.71%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): SM Energy's ROE stands out, surpassing industry averages. With an impressive ROE of 4.22%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): SM Energy's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.1% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: SM Energy's debt-to-equity ratio stands notably higher than the industry average, reaching 0.62. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

Analyst Ratings: What Are They?

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.