SM ENERGY DECLARES QUARTERLY CASH DIVIDEND

Rhea-AI Summary

SM Energy Company (NYSE: SM) has approved an increased quarterly cash dividend of $0.18 per share of common stock outstanding, to be paid on February 5, 2024, to stockholders of record as of January 19, 2024.

Insights

Financial Analyst

The announcement by SM Energy Company to increase its quarterly cash dividend reflects a positive signal to the market regarding the company's financial health and future prospects. An increased dividend can often be interpreted as a company having a strong cash flow position and confidence in its ability to generate earnings. This could potentially attract income-focused investors and support the stock's price. However, it's crucial to analyze the payout ratio to ensure that the dividends are sustainable and not compromising the company's ability to reinvest in its operations for future growth.

Market Research Analyst

Dividend policy changes are a significant factor in investment decision-making. The increase in dividend by SM Energy may indicate a mature company with fewer high-yield investment opportunities, thus returning more capital to shareholders. This decision could also be a response to shareholder demands for greater returns in the current economic climate. It's essential to consider the overall energy sector's performance and how SM Energy's dividend yield compares to its peers to evaluate the full market implications of this dividend increase.

Energy Sector Analyst

Within the energy sector, dividends are a key component of shareholder returns, particularly for companies like SM Energy that operate in the oil and gas industry. The increased dividend announcement comes amidst the backdrop of fluctuating oil prices and the ongoing transition towards renewable energy. Investors should assess how SM Energy's operational strategies and cost-efficiency measures allow for such a financial decision. Additionally, it's important to consider the long-term sustainability of the company's business model in the context of evolving regulatory and environmental pressures.

DENVER, Dec. 28, 2023 /PRNewswire/ -- SM Energy Company (NYSE: SM) today announces that its Board of Directors approved the increased quarterly cash dividend of $0.18 per share of common stock outstanding. The dividend will be paid on February 5, 2024, to stockholders of record as of the close of business on January 19, 2024.

ABOUT THE COMPANY

SM Energy Company is an independent energy company engaged in the acquisition, exploration, development, and production of crude oil, natural gas, and NGLs in the state of Texas. SM Energy routinely posts important information about the Company on its website. For more information about SM Energy, please visit its website at www.sm-energy.com.

SM ENERGY INVESTOR CONTACTS

Jennifer Martin Samuels, jsamuels@sm-energy.com, 303-864-2507

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SOURCE SM Energy Company

FAQ

What is the latest announcement from SM Energy Company (NYSE: SM)?

SM Energy Company (NYSE: SM) has approved an increased quarterly cash dividend of $0.18 per share of common stock outstanding.

How much is the increased quarterly cash dividend approved by SM Energy Company (NYSE: SM)?

The increased quarterly cash dividend approved by SM Energy Company (NYSE: SM) is $0.18 per share of common stock outstanding.

When will the increased quarterly cash dividend be paid by SM Energy Company (NYSE: SM)?

The increased quarterly cash dividend approved by SM Energy Company (NYSE: SM) will be paid on February 5, 2024.

Who are eligible to receive the increased quarterly cash dividend approved by SM Energy Company (NYSE: SM)?

Stockholders of record as of the close of business on January 19, 2024, are eligible to receive the increased quarterly cash dividend approved by SM Energy Company (NYSE: SM).