SM Energy Anticipates 53.4% Drop in Quarterly EPS to $0.89
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 03 2026
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Source: NASDAQ.COM
- Stock Movement: SM Energy closed at $19.13, up 2.3% from the previous session, outperforming the S&P 500's 0.19% gain, indicating a potential short-term market rebound.
- Earnings Outlook: The company is expected to report a quarterly EPS of $0.89, reflecting a significant 53.4% decline compared to the same quarter last year, which may raise investor concerns about profitability.
- Revenue Forecast: The latest consensus estimates predict revenue of $792.61 million, representing a 6.99% decrease year-over-year, highlighting challenges faced by the company in a competitive oil and gas market.
- Valuation Analysis: SM Energy's current Forward P/E ratio of 5.73 is below the industry average of 10.57, suggesting that the stock may be undervalued within its sector, potentially attracting value-focused investors.
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Analyst Views on SM
Wall Street analysts forecast SM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SM is 30.00 USD with a low forecast of 23.00 USD and a high forecast of 42.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
8 Analyst Rating
4 Buy
4 Hold
0 Sell
Moderate Buy
Current: 19.180
Low
23.00
Averages
30.00
High
42.00
Current: 19.180
Low
23.00
Averages
30.00
High
42.00
About SM
SM Energy Company is an independent energy company. The Company is engaged in the acquisition, exploration, development, and production of crude oil, natural gas, and natural gas liquids (NGLs) in the states of Texas and Utah. Its asset portfolio comprises assets in the Midland Basin of West Texas, the Maverick Basin of South Texas, and the Uinta Basin of northeastern Utah. Its Midland Basin assets are located in the Permian Basin in West Texas, are comprised of over 110,000 net acres, and include its RockStar assets in Howard and Martin counties, Sweetie Peck assets in Upton and Midland counties, and Klondike assets in Dawson and northern Martin counties. Its South Texas assets are comprised of over 155,000 net acres located in Dimmit and Webb counties, Texas. Its overlapping acreage position in South Texas covers a portion of the western Eagle Ford shale and Austin Chalk formations. Its Uinta Basin assets comprise over 63,300 net acres located in northeastern Utah.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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