Oppenheimer Lowers EPS Estimates on SM Energy

A report from Oppenheimer lowers its FY11/12 EPS estimates to $2.53 and $3.41 on SM Energy (NSYE: SM).

The report states, “We believe the selloff reflects investors that had become accustomed to production beats from the company and view the pullback as an attractive buying opportunity. SM maintained its impressive growth targets of 50% for 2011 and 35%-40% in 2012, well above its peer averages. Our adjusted earnings estimates primarily reflect the lower oil & gas price strip in 2011 and 2012."

SM closed yesterday at $78.92.