A new report dated April 10 from Stifel rates SM a BUY with a target price of $95.
Stifel earnings per share forecasts (slightly higher than mine).
2014 = $5.76
2015 = $5.79
Note that at these EPS levels, SM will generate cash flow per share from operations at more than $22/share each year.
SM is trading at less than 4X CFPS, which IMO is ridiculously low for a company of this quality.
Stifel reports that better results in the Eagle Ford from Anadarko Petroleum (APC) wells near SM's acreage could increase the NAV of SM's Eagle Ford.
SM has completed six Wolfcamp B wells in the Permian Basin with initial production above their type curve. If these wells hold up, it should increase the value of their acreage.
SM will have some important East Texas wells to report when they release Q1 results.