SD - Why SandRidge Energy Stock Dipped 13% in Early Trading Today
Shares of U.S. exploration and production company SandRidge Energy (NYSE: SD) dropped as much as 13% in the first 90 minutes of trading on Nov. 10. As of roughly 11 a.m. EST, the stock was still lower by 10% or so. The likely catalyst for the move was the company's third-quarter earnings update, which hit the market after the close on Nov. 9.
On the surface, the results in the third quarter of 2021 were nothing short of spectacular. Revenue came in at $46.6 million, up from $27.7 million in Q3 2020. Expenses were lower by more than 70%, though that was largely because the third quarter of 2020 was saddled with a number of one-time charges. And adjusted earnings per share, which pulls out one-time charges, increased to $0.80 from $0.15 in the prior year. The company also took a number of steps to improve the strength of its balance sheet and now has no term debt or revolving debt obligations. The biggest story here, however, was the notable increase in the price of energy, which is what really buoyed SandRidge's results.
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Why SandRidge Energy Stock Dipped 13% in Early Trading Today