3 Reasons Why SandRidge Energy Inc is Still a Buy at $7 a Share

Photo credit: SandRidge Energy 

SandRidge Energy (NYSE: SD  ) has been on a tear this year. It's already up 18% to more than $7 per share, while the market as a whole is up just around 5%. Despite the surging share price I still think SandRidge Energy is worth buying today. It might not be as diversified as peers like Chesapeake Energy (NYSE: CHK  ) or Devon Energy (NYSE: DVN  ) , but it's just hitting its stride as investors are realizing how valuable the company can become in the future.

While I see a number of reasons to still be bullish on SandRidge Energy, three in particular stand out. First, the company has an actionable growth plan, second its land position is stacked with oily upside and finally, its asset base is still vastly undervalued. Add it all up, and there's still a lot to like about SandRidge Energy even at today's stock price.

To drill down even deeper into these three reasons I created the following slideshow. The presentation walks through each reason to remain bullish on SandRidge Energy as well as taking a brief look at the potential that even competitors like Chesapeake Energy and Devon Energy see in its core operating areas. 

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  • Report this Comment On June 20, 2014, at 10:05 AM, birge1 wrote:

    thanks for the analyst article/slides. key point for SD was firing pres/founder like Chesapeake. my stks already show 3-4 bnkrptcies in oil & gas. how is that possible ? only thru incompetent, criminal mgmt. if the mrkt would ever value these cos properly, we could make a nickel.

  • Report this Comment On December 15, 2014, at 11:09 AM, Ftnns wrote:

    Couldn't have been more wrong...could you?

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Matt DiLallo

Matthew is a Senior Energy and Materials Specialist with The Motley Fool. He graduated from the Liberty University with a degree in Biblical Studies and a Masters of Business Administration. You can follow him on Twitter for the latest news and analysis of the energy and materials industries:

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Related Tickers

8/28/2015 4:06 PM
SD $0.51 Up +0.01 +1.43%
SandRidge Energy CAPS Rating: **
CHK $7.39 Up +0.37 +5.27%
Chesapeake Energy CAPS Rating: ****
DVN $42.20 Up +1.42 +3.48%
Devon Energy CAPS Rating: ****