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1. Company Snapshot

1.a. Company Description

SandRidge Energy, Inc.engages in the acquisition, development, and production of oil and natural gas primarily in the United States Mid-Continent.As of December 31, 2021, it had an interest in 817.0 net producing wells; and operated approximately 368,000 net leasehold acres in Oklahoma and Kansas, as well as total estimated proved reserves of 71.3 million barrels of oil equivalent.


The company was incorporated in 2006 and is headquartered in Oklahoma City, Oklahoma.

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1.b. Last Insights on SD

Recent highlights for SandRidge Energy include the declaration of a $0.11 per share cash dividend, acquisition of certain producing oil and natural gas properties in the Cherokee play of the Western Anadarko Basin, and completion of four drilled uncompleted wells with an initial 30-day production rate of ~1,000 Boe per day (~70% oil). The company's production in September averaged ~19 MBoe/d (18% oil, 52% liquids), a 27% increase versus 2Q24. Additionally, SandRidge plans to invest approximately $33 million in 2H 2024 capex, primarily for Cherokee development, which is expected to contribute to 2025 results.

1.c. Company Highlights

2. SandRidge Energy's Q3 2025 Earnings: A Strong Performance

SandRidge Energy reported a robust Q3 2025, with revenue increasing by 32% to approximately $40 million, driven by higher natural gas prices and increased volumes from the prior Cherokee acquisition and development program. The company's adjusted EBITDA also saw a significant jump of 54% to $27.3 million compared to the same period last year. Earnings per share (EPS) came in at $0.42, beating analyst estimates of $0.37. The company's net income was $16 million, or $0.44 per basic share, and adjusted net income was $15.5 million, or $0.42 per basic share.

Publication Date: Nov -17

📋 Highlights
  • Production Growth:: Q3 2025 production averaged 19 MBoe/day, with a 12% Boe increase and 49% oil production rise, driving a 32% revenue growth and 54% adjusted EBITDA jump to $27.3 million.
  • Financial Strength:: Generated $40 million in revenue and $103 million in cash/cash equivalents ($2.80 per share), while maintaining no debt and funding operations via cash flow.
  • Capital Allocation:: Spent $23 million in Q3 2025 on capex, with $66–85 million planned for 2025, focused on Cherokee play drilling and completions.
  • Shareholder Returns:: Paid $4.4 million in dividends and repurchased $600,000 in shares YTD, with $68.3 million remaining in the buyback program.
  • Hedging & Strategy:: 35% of Q4 2025 production is hedged; plans to sustain 1-rig development in Cherokee and prioritize cost reductions from the Cherokee acquisition for margin expansion.

Operational Highlights

The company's production averaged 19 MBoe per day, representing a 12% increase on a Boe basis and 49% on oil. This growth was largely driven by the Cherokee acquisition and development program. SandRidge's capital expenditures were $23 million, and it expects to spend between $66 million and $85 million in 2025, primarily on drilling and completions activity in the Cherokee play.

Balance Sheet and Cash Flow

SandRidge Energy's balance sheet remains strong, with $103 million in cash and cash equivalents, representing $2.80 per common share outstanding. The company paid $4.4 million in dividends during the quarter and has a share repurchase program in place with $68.3 million remaining authorized. Notably, the company has no debt outstanding and continues to fund its operations and capital expenditures within cash flow.

Outlook and Valuation

Looking ahead, analysts estimate SandRidge Energy's revenue growth at 16.8% for next year. With a current P/E Ratio of 8.03 and an EV/EBITDA of 4.11, the company's valuation appears reasonable. Additionally, the dividend yield stands at 3.19%, providing a relatively attractive return for income investors. The company's commitment to maximizing the value of its Mid-Con PDP assets and exercising capital stewardship is expected to drive long-term value creation.

Hedging and Development Plans

SandRidge's production remains meaningfully hedged through Q4 2025, with a combination of swaps and collars representing approximately 35% of fourth-quarter production. The company plans to continue its 1-rig development plan in the Cherokee play into next year, with a focus on growing oilier production volumes. This strategic focus is expected to drive future growth and profitability.

3. NewsRoom

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Creative Planning Buys 185,334 Shares of SandRidge Energy, Inc. $SD

Nov -25

Source: defenseworld.net

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SD Q3 Earnings Rise Y/Y on Higher Oil Production, Cash Flow

Nov -07

Source: zacks.com

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SandRidge Energy, Inc. (SD) Q3 2025 Earnings Call Transcript

Nov -06

Source: seekingalpha.com

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SANDRIDGE ENERGY, INC. ANNOUNCES FINANCIAL AND OPERATING RESULTS FOR THE THREE AND NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2025 AND DECLARES DIVIDEND OF $0.12 PER SHARE

Nov -05

Source: prnewswire.com

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SANDRIDGE ENERGY, INC. ANNOUNCES THIRD QUARTER 2025 OPERATIONAL AND FINANCIAL RESULTS RELEASE DATE AND CONFERENCE CALL INFORMATION

Nov -04

Source: prnewswire.com

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SandRidge Upgraded to Outperform on Growth, Balance Sheet Strength

Sep -16

Source: zacks.com

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SANDRIDGE ENERGY, INC. ANNOUNCES ENROLLMENT HAS OPENED FOR PREVIOUSLY ANNOUNCED DIVIDEND REINVESTMENT PLAN FOR STOCKHOLDERS

Sep -08

Source: prnewswire.com

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SandRidge Energy: Promising Early Results From Its Operated Cherokee Development

Aug -16

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.52%)

6. Segments

Oil

Expected Growth: 4.4%

SandRidge Energy's 4.4% growth in oil production is driven by increased drilling activities in the North Park Basin, improved well completion techniques, and enhanced oil recovery methods. Additionally, the company's focus on cost reduction and operational efficiencies has also contributed to the growth.

Natural Gas Liquids

Expected Growth: 4.65%

SandRidge Energy's 4.65% growth in Natural Gas Liquids (NGLs) is driven by increased production from its North Park Basin assets, improved well completion techniques, and higher commodity prices. Additionally, the company's focus on cost reduction and operational efficiencies has contributed to the growth. Furthermore, the increasing demand for NGLs in the petrochemical sector and the company's strategic hedging program have also supported the growth.

Natural Gas

Expected Growth: 4.65%

SandRidge Energy's 4.65% growth in Natural Gas is driven by increased production from its North Park Basin assets, improved well completion techniques, and a favorable pricing environment. Additionally, the company's cost-cutting initiatives and strategic asset acquisitions have enhanced operational efficiency, contributing to the growth.

7. Detailed Products

Crude Oil

SandRidge Energy, Inc. is an independent oil and natural gas company that explores, develops, and produces crude oil from its properties in Oklahoma and Kansas.

Natural Gas

The company produces natural gas from its properties in Oklahoma and Kansas, which is used as a clean-burning fuel for electricity generation, industrial processes, and heating.

Natural Gas Liquids (NGLs)

SandRidge Energy, Inc. also produces NGLs, which are a group of hydrocarbons that include ethane, propane, butane, and pentane.

Midstream Services

The company provides midstream services, including gathering, processing, and transportation of crude oil and natural gas.

8. SandRidge Energy, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for SandRidge Energy, Inc. is medium due to the availability of alternative energy sources such as wind and solar power.

Bargaining Power Of Customers

The bargaining power of customers for SandRidge Energy, Inc. is low due to the company's diversified customer base and lack of concentration.

Bargaining Power Of Suppliers

The bargaining power of suppliers for SandRidge Energy, Inc. is medium due to the presence of several suppliers in the market, but the company's large scale of operations gives it some bargaining power.

Threat Of New Entrants

The threat of new entrants for SandRidge Energy, Inc. is low due to the high barriers to entry in the oil and gas industry, including the need for significant capital investment and regulatory approvals.

Intensity Of Rivalry

The intensity of rivalry for SandRidge Energy, Inc. is high due to the competitive nature of the oil and gas industry, with many established players competing for market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 0.18%
Debt Cost 14.65%
Equity Weight 99.82%
Equity Cost 14.65%
WACC 14.65%
Leverage 0.18%

11. Quality Control: SandRidge Energy, Inc. passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
MorningStar Partners

A-Score: 6.4/10

Value: 6.4

Growth: 6.6

Quality: 4.8

Yield: 10.0

Momentum: 5.5

Volatility: 5.3

1-Year Total Return ->

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Stock-Card
SandRidge Energy

A-Score: 6.3/10

Value: 7.4

Growth: 3.3

Quality: 7.9

Yield: 9.0

Momentum: 4.0

Volatility: 6.0

1-Year Total Return ->

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VAALCO Energy

A-Score: 5.7/10

Value: 8.1

Growth: 6.7

Quality: 5.9

Yield: 8.0

Momentum: 1.0

Volatility: 4.7

1-Year Total Return ->

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PrimeEnergy Resources

A-Score: 5.4/10

Value: 6.3

Growth: 8.9

Quality: 7.2

Yield: 0.0

Momentum: 7.0

Volatility: 2.7

1-Year Total Return ->

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Berry

A-Score: 4.9/10

Value: 7.3

Growth: 4.6

Quality: 4.2

Yield: 9.0

Momentum: 1.5

Volatility: 3.0

1-Year Total Return ->

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Epsilon Energy

A-Score: 4.7/10

Value: 5.7

Growth: 2.7

Quality: 6.4

Yield: 7.0

Momentum: 1.0

Volatility: 5.7

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

15.22$

Current Price

15.22$

Potential

-0.00%

Expected Cash-Flows