SM Energy Q3 EPS Forecast Lowered by Capital One Financial

Key Points

• Capital One Financial has reduced its Q3 2025 EPS estimate for SM Energy to $1.27, down from a previous estimate of $1.39.
• SM Energy's recent quarterly earnings exceeded estimates, reporting $1.50 EPS against a consensus of $1.23, with a net margin of 25.94%.
• The company announced a $0.20 quarterly dividend, representing a yield of 2.8% with an 11.30% payout ratio.

SM Energy Company (NYSE:SM - Free Report) - Research analysts at Capital One Financial dropped their Q3 2025 earnings estimates for SM Energy in a report issued on Wednesday, August 27th. Capital One Financial analyst B. Velie now expects that the energy company will post earnings per share of $1.27 for the quarter, down from their prior forecast of $1.39. The consensus estimate for SM Energy's current full-year earnings is $8.10 per share. Capital One Financial also issued estimates for SM Energy's Q4 2025 earnings at $1.28 EPS, Q1 2026 earnings at $1.00 EPS, Q2 2026 earnings at $0.88 EPS, Q3 2026 earnings at $0.95 EPS, Q4 2026 earnings at $1.01 EPS, FY2026 earnings at $3.84 EPS and FY2027 earnings at $4.43 EPS.

SM Energy (NYSE:SM - Get Free Report) last posted its earnings results on Thursday, July 31st. The energy company reported $1.50 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.23 by $0.27. SM Energy had a net margin of 25.94% and a return on equity of 18.06%. The company had revenue of $792.94 million during the quarter, compared to analysts' expectations of $792.58 million. During the same quarter in the previous year, the company posted $1.85 earnings per share. SM Energy's quarterly revenue was up 25.0% compared to the same quarter last year.

Other research analysts have also recently issued research reports about the stock. Mizuho boosted their price objective on shares of SM Energy from $42.00 to $44.00 and gave the stock an "outperform" rating in a research report on Friday, August 1st. Susquehanna boosted their price objective on shares of SM Energy from $24.00 to $27.00 and gave the stock a "neutral" rating in a research report on Wednesday, July 23rd. Wells Fargo & Company dropped their price objective on shares of SM Energy from $33.00 to $29.00 and set an "equal weight" rating for the company in a research report on Monday, June 16th. TD Cowen upgraded shares of SM Energy to a "strong-buy" rating in a research report on Monday, July 7th. Finally, Raymond James Financial cut shares of SM Energy from an "outperform" rating to an "underperform" rating in a research report on Tuesday, June 24th. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, SM Energy has an average rating of "Hold" and a consensus target price of $42.50.

SM Energy Price Performance

Shares of NYSE:SM traded down $0.84 during trading on Friday, reaching $28.14. The stock had a trading volume of 391,015 shares, compared to its average volume of 2,234,599. SM Energy has a 52 week low of $19.67 and a 52 week high of $46.42. The business's 50-day moving average price is $26.88 and its 200 day moving average price is $26.65. The company has a debt-to-equity ratio of 0.59, a current ratio of 0.69 and a quick ratio of 0.69. The stock has a market capitalization of $3.24 billion, a PE ratio of 3.97 and a beta of 2.46.

SM Energy Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, August 4th. Stockholders of record on Friday, July 18th were issued a $0.20 dividend. The ex-dividend date of this dividend was Friday, July 18th. This represents a $0.80 annualized dividend and a dividend yield of 2.8%. SM Energy's payout ratio is 11.30%.

Hedge Funds Weigh In On SM Energy

Institutional investors and hedge funds have recently made changes to their positions in the company. Northwestern Mutual Wealth Management Co. grew its holdings in shares of SM Energy by 69.5% in the 1st quarter. Northwestern Mutual Wealth Management Co. now owns 1,017 shares of the energy company's stock valued at $30,000 after buying an additional 417 shares during the period. Parallel Advisors LLC lifted its stake in SM Energy by 200.8% in the 1st quarter. Parallel Advisors LLC now owns 1,119 shares of the energy company's stock valued at $34,000 after purchasing an additional 747 shares during the last quarter. Brooklyn Investment Group raised its stake in shares of SM Energy by 1,097.9% during the first quarter. Brooklyn Investment Group now owns 1,138 shares of the energy company's stock valued at $34,000 after acquiring an additional 1,043 shares during the last quarter. Byrne Asset Management LLC raised its stake in shares of SM Energy by 172.8% during the first quarter. Byrne Asset Management LLC now owns 1,473 shares of the energy company's stock valued at $44,000 after acquiring an additional 933 shares during the last quarter. Finally, Flaharty Asset Management LLC bought a new position in shares of SM Energy during the first quarter valued at $45,000. Institutional investors and hedge funds own 94.56% of the company's stock.

SM Energy Company Profile

SM Energy Company, an independent energy company, engages in the acquisition, exploration, development, and production of oil, gas, and natural gas liquids in the state of Texas. It has working interests in oil and gas producing wells in the Midland Basin and South Texas. The company was formerly known as St.