SM ENERGY CO (SM) Stock Fundamental Analysis

NYSE:SM • US78454L1008

22.885 USD
+1.76 (+8.31%)
Last: Feb 27, 2026, 02:00 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

We assign a fundamental rating of 5 out of 10 to SM. SM was compared to 206 industry peers in the Oil, Gas & Consumable Fuels industry. While SM belongs to the best of the industry regarding profitability, there are concerns on its financial health. SM is valued correctly, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

  • In the past year SM was profitable.
  • In the past year SM had a positive cash flow from operations.
  • SM had positive earnings in 4 of the past 5 years.
  • Of the past 5 years SM 4 years had a positive operating cash flow.
SM Yearly Net Income VS EBIT VS OCF VS FCFSM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B -2B

1.2 Ratios

  • The Return On Assets of SM (8.00%) is better than 82.52% of its industry peers.
  • SM has a Return On Equity of 15.43%. This is amongst the best in the industry. SM outperforms 80.10% of its industry peers.
  • The Return On Invested Capital of SM (10.83%) is better than 86.89% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for SM is below the industry average of 21.99%.
  • The last Return On Invested Capital (10.83%) for SM is well below the 3 year average (19.03%), which needs to be investigated, but indicates that SM had better years and this may not be a problem.
Industry RankSector Rank
ROA 8%
ROE 15.43%
ROIC 10.83%
ROA(3y)13.75%
ROA(5y)5.32%
ROE(3y)25.61%
ROE(5y)8.13%
ROIC(3y)19.03%
ROIC(5y)N/A
SM Yearly ROA, ROE, ROICSM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20

1.3 Margins

  • SM has a Profit Margin of 22.03%. This is in the better half of the industry: SM outperforms 79.61% of its industry peers.
  • In the last couple of years the Profit Margin of SM has grown nicely.
  • Looking at the Operating Margin, with a value of 30.85%, SM is in the better half of the industry, outperforming 75.24% of the companies in the same industry.
  • SM's Operating Margin has improved in the last couple of years.
  • The Gross Margin of SM (72.96%) is better than 83.50% of its industry peers.
  • SM's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 30.85%
PM (TTM) 22.03%
GM 72.96%
OM growth 3Y-4.43%
OM growth 5Y58.54%
PM growth 3Y174.7%
PM growth 5YN/A
GM growth 3Y-1.85%
GM growth 5Y2.19%
SM Yearly Profit, Operating, Gross MarginsSM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 50 -50

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ROAROEROICOperating and Profit MarginShow most profitable peers

3

2. Health

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), SM is creating value.
  • There is no outstanding debt for SM. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
SM Yearly Shares OutstandingSM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M 100M
SM Yearly Total Debt VS Total AssetsSM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

2.2 Solvency

  • SM has an Altman-Z score of 1.85. This is not the best score and indicates that SM is in the grey zone with still only limited risk for bankruptcy at the moment.
  • SM has a Altman-Z score of 1.85. This is in the better half of the industry: SM outperforms 62.62% of its industry peers.
  • A Debt/Equity ratio of 0.49 indicates that SM is not too dependend on debt financing.
  • SM has a Debt to Equity ratio of 0.49. This is comparable to the rest of the industry: SM outperforms 48.06% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.49
Debt/FCF N/A
Altman-Z 1.85
ROIC/WACC1.53
WACC7.1%
SM Yearly LT Debt VS Equity VS FCFSM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B -2B 4B

2.3 Liquidity

  • A Current Ratio of 0.56 indicates that SM may have some problems paying its short term obligations.
  • SM has a Current ratio of 0.56. This is amonst the worse of the industry: SM underperforms 81.07% of its industry peers.
  • SM has a Quick Ratio of 0.56. This is a bad value and indicates that SM is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 0.56, SM is doing worse than 74.76% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.56
Quick Ratio 0.56
SM Yearly Current Assets VS Current LiabilitesSM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 200M 400M 600M 800M

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

1

3. Growth

3.1 Past

  • SM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -20.18%.
  • The Earnings Per Share has been decreasing by -9.37% on average over the past years.
EPS 1Y (TTM)-20.18%
EPS 3Y-9.37%
EPS 5YN/A
EPS Q2Q%-56.54%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-17.27%

3.2 Future

  • The Earnings Per Share is expected to decrease by -2.62% on average over the next years.
  • SM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.31% yearly.
EPS Next Y-31.06%
EPS Next 2Y-4.31%
EPS Next 3Y-2.62%
EPS Next 5YN/A
Revenue Next Year93%
Revenue Next 2Y54.4%
Revenue Next 3Y0.31%
Revenue Next 5YN/A

3.3 Evolution

  • When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
SM Yearly Revenue VS EstimatesSM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2B 4B 6B 8B
SM Yearly EPS VS EstimatesSM Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 0 2 -2 4 6

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Find the best growth stocksShow best growing peers

6

4. Valuation

4.1 Price/Earnings Ratio

  • Based on the Price/Earnings ratio of 4.22, the valuation of SM can be described as very cheap.
  • Based on the Price/Earnings ratio, SM is valued cheaply inside the industry as 97.57% of the companies are valued more expensively.
  • SM's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.11.
  • Based on the Price/Forward Earnings ratio of 6.12, the valuation of SM can be described as very cheap.
  • Based on the Price/Forward Earnings ratio, SM is valued cheaper than 96.60% of the companies in the same industry.
  • SM is valuated cheaply when we compare the Price/Forward Earnings ratio to 28.13, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 4.22
Fwd PE 6.12
SM Price Earnings VS Forward Price EarningsSM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, SM is valued cheaper than 90.78% of the companies in the same industry.
Industry RankSector Rank
P/FCF N/A
EV/EBITDA 3.5
SM Per share dataSM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 5 -5 10 15

4.3 Compensation for Growth

  • The excellent profitability rating of SM may justify a higher PE ratio.
  • SM's earnings are expected to decrease with -2.62% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.31%
EPS Next 3Y-2.62%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. Dividend

5.1 Amount

  • With a Yearly Dividend Yield of 3.63%, SM has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 3.51, SM pays a bit more dividend than its industry peers.
  • SM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.80.
Industry RankSector Rank
Dividend Yield 3.63%

5.2 History

  • On average, the dividend of SM grows each year by 49.05%, which is quite nice.
  • SM has been paying a dividend for at least 10 years, so it has a reliable track record.
  • SM has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)49.05%
Div Incr Years3
Div Non Decr Years4
SM Yearly Dividends per shareSM Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0.2 0.4 0.6 0.8

5.3 Sustainability

  • 12.60% of the earnings are spent on dividend by SM. This is a low number and sustainable payout ratio.
DP12.6%
EPS Next 2Y-4.31%
EPS Next 3Y-2.62%
SM Yearly Income VS Free CF VS DividendSM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B -2B
SM Dividend Payout.SM Dividend Payout, showing the Payout Ratio.SM Dividend Payout.PayoutRetained Earnings

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Find the best dividend stocksShow peers with best dividend

SM ENERGY CO

NYSE:SM (2/27/2026, 2:00:08 PM)

22.885

+1.76 (+8.31%)

Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryOil, Gas & Consumable Fuels
Earnings (Last)02-25
Earnings (Next)04-29
Inst Owners104.61%
Inst Owner Change-2.1%
Ins Owners1.48%
Ins Owner Change-1.8%
Market Cap5.45B
Revenue(TTM)N/A
Net Income(TTM)727.30M
Analysts77.14
Price Target30.77 (34.45%)
Short Float %6.44%
Short Ratio3.07
Dividend
Industry RankSector Rank
Dividend Yield 3.63%
Yearly Dividend0.74
Dividend Growth(5Y)49.05%
DP12.6%
Div Incr Years3
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.28%
Min EPS beat(2)0.33%
Max EPS beat(2)20.23%
EPS beat(4)3
Avg EPS beat(4)5.95%
Min EPS beat(4)-2.75%
Max EPS beat(4)20.23%
EPS beat(8)7
Avg EPS beat(8)7.84%
EPS beat(12)10
Avg EPS beat(12)6.82%
EPS beat(16)13
Avg EPS beat(16)8.65%
Revenue beat(2)0
Avg Revenue beat(2)-4.32%
Min Revenue beat(2)-6.86%
Max Revenue beat(2)-1.79%
Revenue beat(4)0
Avg Revenue beat(4)-3.29%
Min Revenue beat(4)-6.86%
Max Revenue beat(4)-1.06%
Revenue beat(8)1
Avg Revenue beat(8)-2.84%
Revenue beat(12)3
Avg Revenue beat(12)-1.96%
Revenue beat(16)7
Avg Revenue beat(16)4.31%
PT rev (1m)-7.16%
PT rev (3m)-18.04%
EPS NQ rev (1m)-2.17%
EPS NQ rev (3m)-16.45%
EPS NY rev (1m)0.47%
EPS NY rev (3m)-1.97%
Revenue NQ rev (1m)-0.57%
Revenue NQ rev (3m)-2.91%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-1.63%
Valuation
Industry RankSector Rank
PE 4.22
Fwd PE 6.12
P/S 1.65
P/FCF N/A
P/OCF 2.55
P/B 1.16
P/tB 1.16
EV/EBITDA 3.5
EPS(TTM)5.42
EY23.68%
EPS(NY)3.74
Fwd EY16.33%
FCF(TTM)-6.56
FCFYN/A
OCF(TTM)8.97
OCFY39.19%
SpS13.86
BVpS19.78
TBVpS19.78
PEG (NY)N/A
PEG (5Y)N/A
Graham Number49.11
Profitability
Industry RankSector Rank
ROA 8%
ROE 15.43%
ROCE 12.8%
ROIC 10.83%
ROICexc 11.06%
ROICexgc 11.06%
OM 30.85%
PM (TTM) 22.03%
GM 72.96%
FCFM N/A
ROA(3y)13.75%
ROA(5y)5.32%
ROE(3y)25.61%
ROE(5y)8.13%
ROIC(3y)19.03%
ROIC(5y)N/A
ROICexc(3y)20.6%
ROICexc(5y)N/A
ROICexgc(3y)20.6%
ROICexgc(5y)N/A
ROCE(3y)22.49%
ROCE(5y)N/A
ROICexgc growth 3Y-22.74%
ROICexgc growth 5Y66.18%
ROICexc growth 3Y-22.74%
ROICexc growth 5Y66.18%
OM growth 3Y-4.43%
OM growth 5Y58.54%
PM growth 3Y174.7%
PM growth 5YN/A
GM growth 3Y-1.85%
GM growth 5Y2.19%
F-Score6
Asset Turnover0.36
Health
Industry RankSector Rank
Debt/Equity 0.49
Debt/FCF N/A
Debt/EBITDA 1.06
Cap/Depr 322.04%
Cap/Sales 112.06%
Interest Coverage 6
Cash Conversion 98.61%
Profit Quality N/A
Current Ratio 0.56
Quick Ratio 0.56
Altman-Z 1.85
F-Score6
WACC7.1%
ROIC/WACC1.53
Cap/Depr(3y)242.28%
Cap/Depr(5y)177.04%
Cap/Sales(3y)66.47%
Cap/Sales(5y)54.92%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-20.18%
EPS 3Y-9.37%
EPS 5YN/A
EPS Q2Q%-56.54%
EPS Next Y-31.06%
EPS Next 2Y-4.31%
EPS Next 3Y-2.62%
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%-17.27%
Revenue Next Year93%
Revenue Next 2Y54.4%
Revenue Next 3Y0.31%
Revenue Next 5YN/A
EBIT growth 1Y7.44%
EBIT growth 3Y-3.62%
EBIT growth 5Y76.14%
EBIT Next Year107.16%
EBIT Next 3Y63.13%
EBIT Next 5Y19%
FCF growth 1Y-803.56%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y54.15%
OCF growth 3Y15.4%
OCF growth 5Y16.7%

SM ENERGY CO / SM FAQ

Can you provide the ChartMill fundamental rating for SM ENERGY CO?

ChartMill assigns a fundamental rating of 5 / 10 to SM.


What is the valuation status for SM stock?

ChartMill assigns a valuation rating of 6 / 10 to SM ENERGY CO (SM). This can be considered as Fairly Valued.


How profitable is SM ENERGY CO (SM) stock?

SM ENERGY CO (SM) has a profitability rating of 8 / 10.


How financially healthy is SM ENERGY CO?

The financial health rating of SM ENERGY CO (SM) is 3 / 10.


How sustainable is the dividend of SM ENERGY CO (SM) stock?

The dividend rating of SM ENERGY CO (SM) is 6 / 10 and the dividend payout ratio is 12.6%.