SM Energy (SM) Earnings Expected to Grow: Should You Buy?

Core Viewpoint - SM Energy (SM) is anticipated to report a year-over-year increase in earnings driven by higher revenues, with a consensus EPS estimate of $1.93 per share, reflecting a +23.7$868.32 million, up 42.6% from the previous year [1][3]. Earnings Expectations - The upcoming earnings report is scheduled for February 19, and the stock may rise if the reported numbers exceed expectations, while a miss could lead to a decline [2]. - The consensus EPS estimate has been revised 7.54% higher in the last 30 days, indicating a positive reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model shows a positive Earnings ESP of +0.36% for SM Energy, suggesting a likelihood of beating the consensus EPS estimate [10][11]. - A strong predictor of an earnings beat is a positive Earnings ESP combined with a Zacks Rank of 1 (Strong Buy), which SM Energy currently holds [8][11]. Historical Performance - SM Energy has a history of exceeding consensus EPS estimates, having beaten expectations in the last four quarters, including a +6.58% surprise in the most recent quarter [12][13]. Industry Comparison - In the same industry, EQT Corporation is expected to report earnings of $0.50 per share, reflecting a +4.2$1.73 billion, up 12% [17]. - EQT's consensus EPS estimate has been revised 11.2% lower recently, but a higher Most Accurate Estimate results in a positive Earnings ESP of 7.44%, indicating a potential earnings beat [18].