New York, March 2, 2026, 08:52 ET — Premarket
- SM Energy was up about 9.5% in premarket trading, tracking a broad bid in U.S. oil and gas producers. 1
- Oil prices surged on fears Middle East fighting could disrupt supply and shipping routes. 2
- SM is set to pay a $0.22-per-share quarterly dividend on March 23 to holders of record on March 9, a recent filing showed. 3
SM Energy shares rose about 9.5% in premarket trading on Monday, one of the strongest moves among U.S. energy stocks as crude prices jumped. The stock ended Friday at $23.13, down 3.8%. 4
The timing matters because oil is doing the work again. The wider market was in a risk-off mood before the open, but higher crude tends to lift cash flow expectations for producers, and traders were pricing that in fast. 5
Brent and U.S. crude both leapt in early trade, with U.S. crude up about 8% on the day to around $72.6 a barrel and Brent near $78.2, according to Trading Economics. 6
For SM, the setup is straightforward: higher oil can mean more cash generated per barrel, all else equal, which can help fund debt paydown and shareholder returns. Free cash flow is the cash left after operating costs and capital spending.
The company, which recently laid out its 2026 plan, said it was adjusting activity levels to improve capital efficiency and generate higher free cash flow. “Our 2026 plan maximizes free cash flow to further strengthen our balance sheet and accelerate returns to stockholders,” CEO Beth McDonald said in a release. 7
SM is also coming off an agreement to sell $950 million of assets, a deal it said it expects to close in the second quarter of 2026, with proceeds aimed at debt reduction. 8
The move in SM was part of a broader pop across energy names tied to the oil spike. Exxon and Chevron rose sharply in premarket trading, while Occidental also gained. 9
But the trade can flip quickly. Citi said oil could trade in the $80-$90 range over the coming week, but also flagged a pullback toward $70 a barrel if tensions ease. 10
Traders will be watching oil prices through the U.S. open for signs the initial gap holds. For SM, the next fixed dates on the calendar are the March 9 holder-of-record deadline for its dividend and the March 23 payment, with the asset-sale timeline in the background.
