Wellington Management Group LLP Sells 2,124,526 Shares of SM Energy Company $SM

Key Points

• Wellington Management cut its SM Energy stake by 77.3%, selling 2.12 million shares and retaining 625,424 shares valued at approximately $16.3 million. Institutional investors collectively own 94.56% of the company.
• SM Energy reported strong quarterly results, with EPS of $2.19 exceeding estimates of $1.96 and revenue of $2.50 billion surpassing the $2.02 billion consensus; revenue rose 215.3% year over year.
• The company declared a quarterly dividend of $0.22 per share, equivalent to an annualized $0.88 payout and a 2.4% yield. Analysts maintain a “Moderate Buy” consensus with an average price target of $37.93.

Wellington Management Group LLP lowered its position in SM Energy Company (NYSE:SM - Free Report) by 77.3% in the 2nd quarter, according to its most recent 13F filing with the SEC. The institutional investor owned 625,424 shares of the energy company's stock after selling 2,124,526 shares during the period. Wellington Management Group LLP owned 0.26% of SM Energy worth $16,324,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently made changes to their positions in SM. BlackRock Inc. purchased a new stake in SM Energy in the second quarter worth $1,025,229,000. Canada Pension Plan Investment Board purchased a new position in SM Energy during the second quarter valued at $378,288,000. Donald Smith & CO. Inc. purchased a new position in SM Energy during the second quarter valued at $199,602,000. Dimensional Fund Advisors LP boosted its holdings in shares of SM Energy by 79.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 9,995,353 shares of the energy company's stock valued at $311,678,000 after buying an additional 4,426,751 shares in the last quarter. Finally, Webs Creek Capital Management LP bought a new stake in shares of SM Energy during the 2nd quarter valued at $53,257,807. Hedge funds and other institutional investors own 94.56% of the company's stock.

Insider Buying and Selling at SM Energy

In related news, EVP James Barker Lebeck sold 17,500 shares of the company's stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $37.02, for a total value of $647,850.00. Following the transaction, the executive vice president directly owned 14,705 shares of the company's stock, valued at approximately $544,379.10. This represents a 54.34% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 0.45% of the stock is owned by company insiders.

SM Energy Stock Performance

Shares of SM Energy stock opened at $36.51 on Monday. The stock has a market cap of $8.68 billion, a price-to-earnings ratio of 7.19 and a beta of 0.75. The firm's 50-day moving average is $32.09 and its 200 day moving average is $30.00. SM Energy Company has a 1 year low of $17.45 and a 1 year high of $38.94. The company has a debt-to-equity ratio of 0.85, a current ratio of 0.62 and a quick ratio of 0.62.

SM Energy (NYSE:SM - Get Free Report) last released its quarterly earnings data on Wednesday, August 5th. The energy company reported $2.19 earnings per share for the quarter, beating analysts' consensus estimates of $1.96 by $0.23. The business had revenue of $2.50 billion during the quarter, compared to analyst estimates of $2.02 billion. SM Energy had a net margin of 18.20% and a return on equity of 17.93%. SM Energy's revenue was up 215.3% compared to the same quarter last year. During the same period last year, the business earned $1.50 EPS. Sell-side analysts anticipate that SM Energy Company will post 7.48 EPS for the current fiscal year.

SM Energy Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, September 21st. Stockholders of record on Monday, September 7th will be issued a dividend of $0.22 per share. The ex-dividend date is Friday, September 4th. This represents a $0.88 dividend on an annualized basis and a dividend yield of 2.4%. SM Energy's dividend payout ratio is presently 17.32%.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on the stock. Wall Street Zen lowered shares of SM Energy from a "strong-buy" rating to a "buy" rating in a research note on Sunday, August 30th. Wells Fargo & Company raised shares of SM Energy from an "equal weight" rating to an "overweight" rating and boosted their price objective for the stock from $32.00 to $47.00 in a research note on Thursday, August 13th. Roth Capital raised shares of SM Energy from a "neutral" rating to a "buy" rating and raised their target price for the company from $30.00 to $32.00 in a research note on Monday, June 22nd. Stephens lowered their target price on shares of SM Energy from $61.00 to $52.00 and set an "overweight" rating for the company in a report on Tuesday, July 7th. Finally, UBS Group began coverage on SM Energy in a research report on Tuesday, July 14th. They issued a "buy" rating and a $36.00 price target on the stock. One investment analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and five have issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $37.93.

SM Energy Company Profile

SM Energy Company NYSE: SM is an independent energy firm engaged in the exploration, development, and production of crude oil, natural gas, and natural gas liquids in the United States. The company focuses on identifying and exploiting unconventional onshore basins, leveraging advanced drilling and completion techniques to optimize resource recovery. SM Energy's operations are supported by an integrated approach to reservoir management and strategic midstream partnerships, enabling efficient transportation and marketing of hydrocarbons.

The company's core asset areas include prolific basins such as the Permian, Eagle Ford, and the Rocky Mountain region.

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