- SM Energy (NYSE:SM +17.2%) is sizzling after Stifel upgrades shares to Buy from Hold, noting SM's strong Q4 production results largely weres driven by stronger than expected performance from the Eagle Ford.
- The firm projects 2015 capex of $1.7B, down 17% Y/Y, and sees SM releasing at least five rigs this year; areas with flexibility include the Powder River Basin, where only two of the four currently active rigs are required to hold the company's acreage position, and the Permian Basin, where contracts on the two operated rigs expire in H1 2015.
- SM said late yesterday that year-end 2014 proved reserves grew by 119M barrels to 547M boe, as well extensions and additions provided almost 144M barrels of extra reserve.
- SM also is named a top E&P pick at Global Hunter and enjoys price target increases from UBS and Howard Weil.