Key Takeaways From SM Energy Analyst Ratings
Portfolio Pulse from Benzinga Insights
SM Energy (NYSE:SM) has received mixed analyst ratings over the last three months, with a total of 8 analysts offering diverse outlooks. The 12-month price targets suggest an average target of $48.88, marking a 2.2% increase from the previous average of $47.83. Analyst actions include both upgrades and downgrades, reflecting varying perceptions of the company's performance and market conditions. Despite facing revenue challenges with a -9.32% decline over 3 months, SM Energy boasts a strong net margin of 40.72% and an impressive ROA of 3.97%, indicating effective cost management and asset utilization. However, its ROE of 7.04% is below industry standards, suggesting difficulties in utilizing equity capital efficiently.
April 05, 2024 | 7:01 pm
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POSITIVE IMPACT
SM Energy has received mixed reviews from analysts, with an updated average 12-month price target of $48.88. Despite a revenue decline, the company's strong net margin and ROA indicate solid financial health.
The mixed analyst ratings with a slight increase in the 12-month price target suggest a cautiously optimistic outlook for SM Energy. The company's strong net margin and ROA are positive indicators of its financial health, which could support a positive short-term impact on its stock price. However, the revenue decline and below-average ROE present challenges that might temper investor enthusiasm.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100