SandRidge Energy Inc. [NYSE: SD] surged by $0.3 during the normal trading session on Monday and reaching a high of $1.88 during the day while it closed the day at $1.60. The company report on July 1, 2020 that SandRidge Energy, Inc. Adopts Tax Benefits Preservation Plan to Protect its NOL Assets and Shareholder Value.
SandRidge Energy, Inc. (the “Company” or “SandRidge”) (NYSE: SD) today announced that its Board of Directors (the “Board”) adopted a tax benefits preservation plan (the “Section 382 Rights Plan”) designed to protect the availability of SandRidge’s net operating loss carryforwards (“NOLs”) under the Internal Revenue Code (the “Code”).
As of December 31, 2019, SandRidge had approximately $1.4 billion of usable U.S. federal NOLs that could be available to offset its future federal taxable income. SandRidge’s ability to use these NOLs would be substantially limited if it experienced an “ownership change” within the meaning of Section 382 of the Code. In general, a company would undergo an ownership change if its “5-percent shareholders” (determined under Section 382) increased their ownership of such company’s stock by more than 50 percentage points over a rolling three-year period. The Section 382 Rights Plan is intended to reduce the likelihood of such an ownership change at SandRidge by deterring any person or group from acquiring beneficial ownership of 4.9% or more of SandRidge’s outstanding common stock.
SandRidge Energy Inc. stock has also gained 21.21% of its value over the past 7 days. However, SD stock has declined by -23.08% in the 3 months of the year. Over the past six months meanwhile, it has lost -38.22% and lost -62.26% year-on date.
The market cap for SD stock reached $55.50 million, with 35.55 million shares outstanding and 35.32 million shares in the current float. Compared to the average trading volume of 535.19K shares, SD reached a trading volume of 2128420 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here’s what leading stock market gurus have to say about SandRidge Energy Inc. [SD]:
Seaport Global Securities have made an estimate for SandRidge Energy Inc. shares, keeping their opinion on the stock as Neutral, with their previous recommendation back on June 21, 2017.
The Average True Range (ATR) for SandRidge Energy Inc. is set at 0.13, with the Price to Sales ratio for SD stock in the period of the last 12 months amounting to 0.24. The Price to Book ratio for the last quarter was 0.15, with the Price to Cash per share for the same quarter was set at 0.18.
SD stock trade performance evaluation
SandRidge Energy Inc. [SD] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 21.21. With this latest performance, SD shares gained by 23.08% in over the last four-week period, additionally sinking by -38.22% over the last 6 months – not to mention a drop of -75.08% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for SD stock in for the last two-week period is set at 63.30, with the RSI for the last a single of trading hit 71.79, and the three-weeks RSI is set at 58.19 for SandRidge Energy Inc. [SD]. The present Moving Average for the last 50 days of trading for this stock 1.4362, while it was recorded at 1.3480 for the last single week of trading, and 2.4152 for the last 200 days.
SandRidge Energy Inc. [SD]: An insightful look at the core fundamentals
Operating Margin for any stock indicates how profitable investing would be, and SandRidge Energy Inc. [SD] shares currently have an operating margin of -12.55 and a Gross Margin at -0.77. SandRidge Energy Inc.’s Net Margin is presently recorded at -168.38.
Return on Total Capital for SD is now -5.12, given the latest momentum, and Return on Invested Capital for the company is -68.72. Return on Equity for this stock declined to -71.88, with Return on Assets sitting at -55.06. When it comes to the capital structure of this company, SandRidge Energy Inc. [SD] has a Total Debt to Total Equity ratio set at 14.29. Additionally, SD Total Debt to Total Capital is recorded at 12.50, with Total Debt to Total Assets ending up at 9.46. Long-Term Debt to Equity for the company is recorded at 14.29, with the Long-Term Debt to Total Capital now at 12.50.
Reflecting on the efficiency of the workforce at the company, SandRidge Energy Inc. [SD] managed to generate an average of -$1,664,093 per employee. Receivables Turnover for the company is 7.20 with a Total Asset Turnover recorded at a value of 0.33.SandRidge Energy Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.50 and a Current Ratio set at 0.50.
Earnings per share (EPS) analysis for SandRidge Energy Inc. [SD] stock
With the latest financial reports released by the company, SandRidge Energy Inc. posted 0.31/share EPS, while the average EPS was predicted by analysts to be reported at 0.09/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 244.40%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for SD. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for SandRidge Energy Inc. go to 5.00%.
SandRidge Energy Inc. [SD]: Insider Ownership positions
There are presently around $42 million, or 74.60% of SD stock, in the hands of institutional investors. The top three institutional holders of SD stocks are: ICAHN CARL C with ownership of 4,818,832, which is approximately 0% of the company’s market cap and around 0.90% of the total institutional ownership; CANNELL CAPITAL LLC, holding 2,699,868 shares of the stock with an approximate value of $4.32 million in SD stocks shares; and BLACKROCK INC., currently with $3.66 million in SD stock with ownership of nearly 0.139% of the company’s market capitalization.
Positions in SandRidge Energy Inc. stocks held by institutional investors increased at the end of May and at the time of the May reporting period, where 32 institutional holders increased their position in SandRidge Energy Inc. [NYSE:SD] by around 2,148,330 shares. Additionally, 44 investors decreased positions by around 2,905,864 shares, while 21 investors held positions by with 21,262,527 shares. The mentioned changes placed institutional holdings at 26,316,721 shares, according to the latest SEC report filing. SD stock had 11 new institutional investments in for a total of 133,724 shares, while 20 institutional investors sold positions of 1,010,748 shares during the same period.