Raymond James has revised its price target for SM Energy (SM, Financial), decreasing it from $40 to $30, while maintaining an Outperform rating on the stock. This decision reflects the significant changes witnessed in the energy sector since Exploration & Production companies released their fourth-quarter results in late February.
Notably, oil prices have decreased by approximately $10 per barrel, impacting the financial landscape for these companies. The sudden transformation in the oil market dynamics, influenced by factors such as the tariff war and decisions by OPEC+, has created an environment where management teams are adopting a cautious, wait-and-see strategy.
Despite these challenges, Raymond James anticipates that the companies under its E&P coverage will report performance for the first quarter that aligns with expectations. The firm continues to monitor the evolving situation within the energy complex as it impacts predictive analysis and price evaluations for companies like SM Energy (SM, Financial).
Wall Street Analysts Forecast
Based on the one-year price targets offered by 14 analysts, the average target price for SM Energy Co (SM, Financial) is $42.43 with a high estimate of $58.00 and a low estimate of $33.00. The average target implies an upside of 84.23% from the current price of $23.03. More detailed estimate data can be found on the SM Energy Co (SM) Forecast page.
Based on the consensus recommendation from 15 brokerage firms, SM Energy Co's (SM, Financial) average brokerage recommendation is currently 2.2, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for SM Energy Co (SM, Financial) in one year is $54.10, suggesting a upside of 134.91% from the current price of $23.03. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the SM Energy Co (SM) Summary page.
