SM

SM Energy Company

Energy · $7.9B market cap

Verdict

Share price

$35.24

close of Oct 3, 2026

Fair value

$21.68

Sticker Price

Payback Price

$8.67

buy price

Overpriced

SM is Overpriced: at $35.24 it trades 63% above its fair value of $21.68. Its buy price (Payback Price) is $8.67, 75% below today's price. Business quality is mixed: 2 of 5 key numbers clear the 10% bar.

How we valued it

Free Cash Flow. Sales grew -2% a year over the last 3 years, below the 15% we look for in a fast grower, so we value it on its free cash flow instead of an earnings forecast.

Business quality

2 of 5 clear the 10% bar. What are the Big Five?

Earnings per share growth9.8% a year✗
Equity per share growth4.5% a year✗
Sales growth6.3% a year✗
Free cash flow growth16.4% a year✓
Return on invested capital16.9%✓

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Insider activity

Since Sep 10, 2026: no open-market purchases and 1 sale worth $140K. Why purchases matter

Sales

About SM Energy Company

SM Energy Company is an independent firm dedicated to the exploration, development, acquisition, and production of oil, natural gas, and natural gas liquids. Its operations are exclusively concentrated within the state of Texas. As of February 24, 2022, the company reported an impressive 492.0 million barrels of oil equivalent in estimated proved reserves. Furthermore, it holds working stakes in 825 active oil wells…

Oil & Gas Exploration & Production

Fair value and Payback Price are estimates from the company's reported financials, not investment advice. Prices as of the close of Oct 3, 2026. How the Payback Price works

SM stock (SM Energy Company): fair value $21.68, Overpriced — PaybackPrice