NYSE · Energy

SM Energy Company

SM · Oil & Gas E&P

$31.41

▲ 0.94 (3.09%)

Data cached · refreshes every 10 min

Mr. Market is currently offering SM Energy Company at $31.41.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

Overall Grade

Defensive

Enterprising

Profitability A

Gross Profit Margin 33.3%

Operating Margin 26.2%

Net Income Margin 20.7%

Fin. Health F

Years to Pay Off Debt 4.2 yrs

Working Capital vs Long-Term Debt -$2.7B

Working Capital -$358M

Valuation B

Margin of Safety 37.8%

Price-to-Book 1.57x

Cash Flow C

Free Cash Flow $539M

CapEx % of Net Income 227.2%

Owner Earnings $3.3B

4/7

Graham Score

Enterprising

Defensive — Graham's strict criteria (P/B, P/E, dividends, stability) · Enterprising — Profitability & cash flow focused, accepts higher valuations for quality

Market Data

Market Cap $7.5B

Enterprise Value $9.7B

P/E (TTM) 5.57

Dividend Yield 2.63%

Exchange NYSE

Key Margins

Gross Profit 33.3%

Operating Margin 26.2%

Net Margin 20.7%

Company Info

Sector Energy

Industry Oil & Gas E&P

Employees 1241

Country United States

Visit website

📖

Full Graham Analysis

Mr. Market is currently offering SM Energy Company at $31.41.

The business passes 4 of 7 of Graham's defensive criteria — adequate but not exceptional.

At $31.41, the stock trades below its Graham Number of $50.46 — suggesting a margin of safety exists.

The margin of safety of 37.8% exceeds Graham's recommended 33% threshold — a rare opportunity.

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign..

Conclusion: This stock is better suited for Graham's Enterprising investor — one willing to devote time and skill to security selection.

About SM Energy Company

SM Energy Company, an independent energy company, engages in the acquisition, exploration, development, and production of oil, gas, and natural gas liquids in the United States. The company holds working interests in oil and gas producing wells in the Midland Basin, South Texas, Uinta Basin, and DJ Basin. The company was formerly known as St. Mary Land & Exploration Company and changed its name to SM Energy Company in May 2010. SM Energy Company was founded in 1908 and is headquartered in Denver, Colorado.

Showing Key Metrics

Income Highlights

Metric	2025	2024	2023	2022	2021
Gross Profit %	33.3% ▼	45.9%	47.0%	63.4%	N/A
Operating Margin %	26.2% ▼	38.4%	38.9%	58.4%	N/A
Net Income %	20.7% ▼	28.8%	34.6%	33.2%	N/A
Diluted EPS	5.64 ▼	6.67	6.86	8.96	N/A

Balance Sheet Highlights

Metric	2025	2024	2023	2022	2021
Total Assets	$9.3B	$8.6B	$6.4B	$5.7B	N/A
Total Debt	$2.7B ↓	$2.8B	$1.6B	$1.6B	N/A
Working Capital	-$358M ▼	-$355M	$283M	$139M	N/A
Years to Pay Debt	4.19	3.61	1.93	1.41	N/A

Cash Flow Highlights

Metric	2025	2024	2023	2022	2021
Free Cash Flow	$539M ▲	-$1.6B	$475M	$806M	N/A
Owner Earnings	$3.3B	$5.0B	$2.6B	$2.6B	N/A
CapEx % of Net Income	227.2%	443.5%	134.4%	79.1%	N/A

Income Statement

	2025	2024	2023	2022	2021
Tax Effect Of Unusual Items	39,160	10,150	7,140	-89,648
Tax Rate For Calcs	0	0	0	0
Normalized EBITDA	2,032,000	1,866,000	1,628,000	2,561,513
Total Unusual Items	178,000	50,000	68,000	-441,617
Total Unusual Items Excluding Goodwill	178,000	50,000	68,000	-441,617
Net Income From Continuing Operation Net Minority Interest	648,000	770,000	818,000	1,111,952
Reconciled Depreciation	1,207,000	809,000	690,000	603,780
Reconciled Cost Of Revenue	2,092,000	1,446,000	1,254,000	1,224,692
EBITDA	2,210,000	1,916,000	1,696,000	2,119,896
EBIT	1,003,000	1,107,000	1,006,000	1,516,116
Net Interest Income	-170,000	-109,000	-72,000	-114,572
Interest Expense	173,000	141,000	92,000	120,346
Interest Income	3,000	32,000	20,000	5,774
Normalized Income	509,160	730,150	757,140	1,463,921
Net Income From Continuing And Discontinued Operation	648,000	770,000	818,000	1,111,952
Total Expenses	2,316,000	1,645,000	1,445,000	1,392,413
Total Operating Income As Reported	1,000,000	1,076,000	987,000	1,579,481
Diluted Average Shares	115,000	115,533	119,240	124,084
Basic Average Shares	115,000	114,757	118,678	122,351
Diluted EPS	0	0	0	0
Basic EPS	0	0	0	0
Diluted NI Availto Com Stockholders	648,000	770,000	818,000	1,111,952
Net Income Common Stockholders	648,000	770,000	818,000	1,111,952
Net Income	648,000	770,000	818,000	1,111,952
Net Income Including Noncontrolling Interests	648,000	770,000	818,000	1,111,952
Net Income Continuous Operations	648,000	770,000	818,000	1,111,952
Tax Provision	182,000	196,000	96,000	283,818
Pretax Income	830,000	966,000	914,000	1,395,770
Other Income Expense	178,000	49,000	67,000	-443,151
Other Non Operating Income Expenses		-1,000	-1,000	-1,534	-2,180
Special Income Charges		-483	0	-67,605	-37,139
Other Special Charges		483		67,605	2,139
Write Off			0	7,468	35,000
Impairment Of Capital Assets				7,468	35,000
Gain On Sale Of Security	178,000	50,000	68,000	-374,012
Net Non Operating Interest Income Expense	-170,000	-109,000	-72,000	-114,572
Interest Expense Non Operating	173,000	141,000	92,000	120,346
Interest Income Non Operating	3,000	32,000	20,000	5,774
Operating Income	822,000	1,026,000	919,000	1,953,493
Operating Expense	224,000	199,000	191,000	167,721
Other Operating Expenses	63,000	61,000	70,000	53,163
Selling General And Administration	161,000	138,000	121,000	114,558
General And Administrative Expense	161,000	138,000	121,000	114,558
Other Gand A	161,000	138,000	121,000	114,558
Gross Profit	1,046,000	1,225,000	1,110,000	2,121,214
Cost Of Revenue	2,092,000	1,446,000	1,254,000	1,224,692
Total Revenue	3,138,000	2,671,000	2,364,000	3,345,906
Operating Revenue	3,138,000	2,671,000	2,364,000	3,345,906

Balance Sheet

	2025	2024	2023	2022	2021
Ordinary Shares Number	114,631	114,462	115,745	121,932
Share Issued	114,631	114,462	115,745	121,932
Net Debt	2,347,000	2,777,000	959,170	1,127,212
Total Debt	2,715,000	2,777,000	1,575,334	1,572,210
Tangible Book Value	4,810,000	4,237,000	3,615,850	3,085,458
Invested Capital	7,525,000	7,014,000	5,191,184	4,657,668
Working Capital	-358,000	-355,000	282,627	138,619
Net Tangible Assets	4,810,000	4,237,000	3,615,850	3,085,458
Common Stock Equity	4,810,000	4,237,000	3,615,850	3,085,458
Total Capitalization	7,106,000	7,014,000	5,191,184	4,657,668
Total Equity Gross Minority Interest	4,810,000	4,237,000	3,615,850	3,085,458
Stockholders Equity	4,810,000	4,237,000	3,615,850	3,085,458
Gains Losses Not Affecting Retained Earnings	1,000	-1,000	-2,607	-4,022
Other Equity Adjustments	1,000	-1,000	-2,607	-4,022
Retained Earnings	3,291,000	2,735,000	2,052,279	1,308,558
Additional Paid In Capital	1,517,000	1,502,000	1,565,021	1,779,703
Capital Stock	1,000	1,000	1,157	1,219
Common Stock	1,000	1,000	1,157	1,219
Total Liabilities Net Minority Interest	4,443,000	4,340,000	2,764,135	2,630,581
Total Non Current Liabilities Net Minority Interest	3,274,000	3,550,000	2,130,323	2,031,997
Other Non Current Liabilities	102,000	76,000	65,039	69,601
Derivative Product Liabilities	2,000	7,000	1,273	1,142
Non Current Deferred Liabilities	724,000	545,000	369,903	280,811
Non Current Deferred Taxes Liabilities	724,000	545,000	369,903	280,811
Long Term Debt And Capital Lease Obligation	2,296,000	2,777,000	1,575,334	1,572,210
Long Term Debt	2,296,000	2,777,000	1,575,334	1,572,210
Long Term Provisions	150,000	145,000	118,774	108,233
Current Liabilities	1,169,000	790,000	633,812	598,584
Other Current Liabilities	60,000	29,000	22,214	89,040
Current Debt And Capital Lease Obligation	419,000
Current Debt	419,000
Other Current Borrowings	419,000
Pensionand Other Post Retirement Benefit Plans Current	49,000	46,000	54,819	35,799
Payables And Accrued Expenses	641,000	715,000	556,779	473,745
Current Accrued Expenses	245,000	280,000	182,357	161,562
Interest Payable	78,000	80,000	35,976	35,992
Payables	396,000	435,000	374,422	312,183
Other Payable	27,000	42,000	17,878	24,185
Dividends Payable	23,000	23,000	20,834	18,290
Total Tax Payable	269,000	287,000	228,395	225,810
Accounts Payable	77,000	83,000	107,315	43,898
Total Assets	9,253,000	8,577,000	6,379,985	5,716,039
Total Non Current Assets	8,442,000	8,143,000	5,463,546	4,978,836
Other Non Current Assets	234,000	145,000	78,454	71,592
Financial Assets	6,000	4,000	8,672	24,465
Net PPE	8,202,000	7,994,000	5,376,420	4,882,779
Accumulated Depreciation	-8,868,000	-7,698,000	-6,889,922	-6,244,659
Gross PPE	17,070,000	15,692,000	12,266,342	11,127,438
Construction In Progress	458,000	482,000	358,080	287,267
Other Properties	128,000	110,000	95,284	94,611
Current Assets	811,000	435,000	916,439	737,203
Other Current Assets	29,000	26,000	12,668	10,231
Hedging Assets Current	83,000	49,000	56,442	48,677
Prepaid Assets					9,175
Receivables	331,000	360,000	231,165	233,297
Other Receivables	212,000	262,000	184,876	187,300
Duefrom Related Parties Current	119,000	98,000	46,289	45,997
Taxes Receivable					1,416
Cash Cash Equivalents And Short Term Investments	368,000	0	616,164	444,998
Cash And Cash Equivalents	368,000	0	616,164	444,998

Cash Flow

	2025	2024	2023	2022	2021
Free Cash Flow	539,000	-1,632,000	475,000	806,465
Repurchase Of Capital Stock	-13,000	-86,000	-228,000	-57,207
Repayment Of Debt	-1,638,000	-1,299,000	0	-584,946
Issuance Of Debt	1,570,000	2,496,000	0	0
Issuance Of Capital Stock	3,000	3,000	3,000	3,039
Capital Expenditure	-1,472,000	-3,415,000	-1,099,000	-879,941
Interest Paid Supplemental Data	166,000	88,000	87,000	134,240
Income Tax Paid Supplemental Data		26,904	8,975	10,576	864
End Cash Position	368,000	0	616,000	444,998
Beginning Cash Position	0	616,000	445,000	332,716
Changes In Cash	368,000	-616,000	171,000	112,282
Financing Cash Flow	-175,000	1,008,000	-305,000	-693,861
Cash Flow From Continuing Financing Activities	-175,000	1,009,000	-305,000	-693,861
Net Other Financing Charges	-5,000	-21,000	-8,000	-9,981
Proceeds From Stock Option Exercised		-6,837	-7,882	-25,129
Cash Dividends Paid	-92,000	-85,000	-72,000	-19,637
Common Stock Dividend Paid				-19,637	-2,393
Net Common Stock Issuance	-10,000	-83,000	-225,000	-54,168
Common Stock Payments	-13,000	-86,000	-228,000	-57,207
Common Stock Issuance	3,000	3,000	3,000	3,039
Net Issuance Payments Of Debt	-68,000	1,197,000	0	-584,946
Net Short Term Debt Issuance					-93,000
Short Term Debt Payments					-1,925,500
Short Term Debt Issuance					1,832,500
Net Long Term Debt Issuance	-68,000	1,197,000	0	-584,946
Long Term Debt Payments	-1,638,000	-1,299,000	0	-584,946
Long Term Debt Issuance	1,570,000	2,496,000	0	0
Investing Cash Flow	-1,468,000	-3,407,000	-1,099,000	-880,263
Cash Flow From Continuing Investing Activities	-1,468,000	-3,408,000	-1,098,000	-880,263
Net Other Investing Changes	4,000	8,000	657	-322
Net PPE Purchase And Sale	-34,000	-2,104,000	-110,000	-7
Sale Of PPE					10,927
Purchase Of PPE	-34,000	-2,104,000	-110,000	-7
Capital Expenditure Reported	-1,438,000	-1,311,000	-989,000	-879,934
Operating Cash Flow	2,011,000	1,783,000	1,574,000	1,686,406
Cash Flow From Continuing Operating Activities	2,011,000	1,780,000	1,574,000	1,686,406
Change In Working Capital	14,000	10,000	-4,000	-72,063
Change In Payables And Accrued Expense	-17,000	109,000	8,000	-109,562
Change In Prepaid Assets	1,000	-13,000	-2,000	-1,055
Change In Receivables	30,000	-86,000	-10,000	38,554
Changes In Account Receivables	30,000	-86,000	-10,000	38,554
Other Non Cash Items	113,000	44,000	30,000	-686,709
Stock Based Compensation	29,000	25,000	20,000	18,772
Asset Impairment Charge			0	7,468	35,000
Deferred Tax	178,000	175,000	88,000	269,057
Deferred Income Tax	178,000	175,000	88,000	269,057
Depreciation Amortization Depletion	1,207,000	809,000	690,000	603,780
Depletion				603,780	774,386
Operating Gains Losses	-178,000	-50,000	-68,000	441,617
Gain Loss On Investment Securities	-178,000	-50,000	-68,000	374,012
Net Income From Continuing Operations	648,000	770,000	818,000	1,111,952

These metrics estimate what SM Energy Company is worth based on its fundamentals — independent of what the market currently prices it at. Graham's Fair Value and NCAV are conservative floors rooted in 1930s–60s principles. EPV assumes zero growth. None are price targets — they are reference points for judging whether the current price offers a margin of safety.

Graham's Fair Value

$50.46

Margin of Safety

37.8%

Market Cap ÷ Company Value

1.48

P/B Ratio

1.57

Warren's Owner Earnings

$3.3B

Latest fiscal year

Graham's 7 Criteria

Defensive Investor Checklist

4/7 — Enterprising Investor

✅ Adequate Size

$3.1B

vs > $1.5B revenue

❌ Strong Financial Condition

0.69x

vs Current Ratio > 2.0x

✅ Earnings Stability

No loss years (4 yrs data)

vs No negative EPS years

✅ Dividend Record

2.63%

vs Uninterrupted dividends

❌ Earnings Growth

-37.1% EPS growth

vs > 33% EPS growth

✅ Moderate P/E Ratio

5.6x

vs P/E ≤ 15.0x

❌ Moderate Price-to-Book

1.57x P/B (P/E×P/B: 8.7)

vs P/B ≤ 1.5x | P/E × P/B ≤ 22.5

Net Current Asset Value

$-15.15

Negative NCAV — liabilities exceed current assets. Common in capital-return businesses (buybacks, debt-funded dividends) and capital-intensive industries. Not automatically a warning sign.

"Buy at two-thirds of net current assets." — Graham

Earnings Power Value

$38.10

Per share, no-growth floor. Compare to current price.

Cash Flow Analysis

Metric	2025	2024	2023	2022	2021
Capital Expenditure % of Net Income	227.2%	443.5%	134.4%	79.1%	N/A
Repurchase of Capital Stock	-$13M	-$86M	-$228M	-$57M	N/A
Free Cash Flow	$539M ▲	-$1.6B ▼	$475M ▼	$806M •	N/A •
Warren's Owner Earnings	$3.3B	$5.0B	$2.6B	$2.6B	N/A

Peers & Industry

No auto-detected peers for Oil & Gas E&P. You can manually compare SM against any stock using the Compare tool.

"The management of a business is its most important single factor — more important than market position, patents, or financial structure."

— Benjamin Graham

Capital Allocation & Alignment

Insider Ownership

0.94%

Low — management has little skin in the game

Return on Equity (ROE)

13.5%

Adequate — returns are moderate

Return on Assets (ROA)

7.0%

Strong — management uses assets efficiently

Share Buybacks (Latest Year)

$13M

Management is returning capital to shareholders via buybacks

Debt Trend YoY

-2.2% YoY

Debt is declining — management is deleveraging

Leadership Team

Elizabeth Anne McDonald

President, CEO & Director

Age 46

Pay: $2,175,177

0.336% of net income

Wade Pursell

Executive VP & CFO

Age 60

Pay: $1,144,177

0.177% of net income

Blake Mckenna

Executive VP & COO

Julie Gray

Vice President of Marketing

Age 62

Jason Sands

Vice President of Human Resources

Top Institutional Holders

Institution	% Owned	Shares
Blackrock Inc.	8.73%	20,930,881
Vanguard Group Inc	5.64%	13,520,158
State Street Corporation	2.61%	6,257,360
Dimensional Fund Advisors LP	2.32%	5,568,602
American Century Companies Inc	1.98%	4,737,327
JPMORGAN CHASE & CO	1.28%	3,063,740
Nomura Asset Management International Inc	1.21%	2,897,927
Millennium Management Llc	1.18%	2,835,718

⚠️ Current ratio below 1 — liquidity risk

Risk Analysis

Beta (Market Risk)

0.74

Low volatility — more stable than the market

Short Interest

6.4% of float

Moderate short interest

Debt-to-Equity

0.59x

Conservative balance sheet — low financial risk

Current Ratio