Analysts are weighing in on how SM Energy Co (NYSE:SM), might perform in the near term. Wall Street analysts have a much less favorable assessment of the stock, with a mean rating of 2.7. The stock is rated as buy by 5 analysts, with 2 outperform and 19 hold rating. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for strong sell.
For the current quarter, the 21.00 analysts offering adjusted EPS forecast have a consensus estimate of $-0.77 a share, which would compare with $0.49 in the same quarter last year. They have a high estimate of $-0.56 and a low estimate of $-0.99. Revenue for the period is expected to total nearly $327.08M from $516.15M the year-ago period.
For the full year, 21.00 Wall Street analysts forecast this company would deliver earnings of -3.24 per share, with a high estimate of $-1.69 and a low estimate of $-4.06. It had reported earnings per share of $-0.53 in the corresponding quarter of the previous year. Revenue for the period is expected to total nearly $1.24B versus 1.56B in the preceding year.
The analysts project the company to maintain annual growth of around 25.83% percent over the next five years as compared to an average growth rate of 8.52% percent expected for its competitors in the same industry.
Among the 20 analysts Data provided by Thomson/First Call tracks, the 12-month average price target for SM is $31.77 but some analysts are projecting the price to go as high as $58.00. If the optimistic analysts are correct, that represents a 92 percent upside potential from the recent closing price of $30.17. Some sell-side analysts, particularly the bearish ones, have called for $15.00 price targets on shares of SM Energy Co (NYSE:SM).
In the last reported results, the company reported earnings of $0.49 per share, while analysts were calling for share earnings of $-0.01. It was an earnings surprise of 5,000.00%percent. In the matter of earnings surprises, the term Cockroach Effect is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.
SM Energy Company, an independent energy company, engages in the acquisition, exploration, development, and production of crude oil and condensate, natural gas, and natural gas liquids in onshore North America. It primarily has operations in the South Texas and Gulf Coast region, which focuses primarily on Eagle Ford shale program; Rocky Mountain region comprising the Bakken and Three Forks formations in the North Dakota; and Permian region covering western Texas and southeastern New Mexico. As of December 31, 2015, the company had 471.3 million barrels of oil equivalent of estimated proved reserves; and working interests in 872 net productive oil wells and 653 net productive gas wells. The company was formerly known as St. Mary Land & Exploration Company and changed its name to SM Energy Company in May 2010. SM Energy Company was founded in 1908 and is headquartered in Denver, Colorado.