The latest trading session saw SM Energy (SM) ending at $22.99, denoting a +0.48% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 1.67%. At the same time, the Dow added 1.07%, and the tech-heavy Nasdaq gained 2.5%.
The the stock of independent oil and gas company has fallen by 25.06% in the past month, lagging the Oils-Energy sector's loss of 10.69% and the S&P 500's loss of 6.57%.
Analysts and investors alike will be keeping a close eye on the performance of SM Energy in its upcoming earnings disclosure. The company's earnings report is set to go public on May 1, 2025. On that day, SM Energy is projected to report earnings of $1.57 per share, which would represent year-over-year growth of 11.35%. At the same time, our most recent consensus estimate is projecting a revenue of $822.88 million, reflecting a 46.98% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $6.07 per share and revenue of $3.37 billion, indicating changes of -10.74% and +25.29%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for SM Energy. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 14.63% decrease. Right now, SM Energy possesses a Zacks Rank of #5 (Strong Sell).
In the context of valuation, SM Energy is at present trading with a Forward P/E ratio of 3.77. This expresses a discount compared to the average Forward P/E of 7.67 of its industry.
The Oil and Gas - Exploration and Production - United States industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 192, this industry ranks in the bottom 23% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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SM Energy Company (SM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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