Cowen downgrades SM Energy, sees better value elsewhere

Cowen analyst Gabe Daoud downgraded SM Energy to Market Perform from Outperform with a $35 price target. The stock’s setup looked uncertain into the Q4 report given a likely weak 2023 and Q1 guide, which mostly manifested as expected, the analyst tells investors in a research note. While expectations were low and the stock has underperformed, there are better risk/reward opportunities elsewhere in the sector, says the analyst.