SM Energy (SM) Nosedives 8.1% on US-Iran Ceasefire

SM Energy Company (NYSE:SM) is one of the 10 Stocks Investors Are Dumping Right Now.

SM Energy declined by 8.10 percent on Wednesday to finish at $28.81 apiece, tracking the decline in energy firms after the US struck a two-week ceasefire with Iran.

The stock fell alongside its counterparts, following President Donald Trump’s announcement that the US and Iran would hold a two-week ceasefire on condition that the latter reopens the Strait of Hormuz.

Energy transmission lines. Photo by Snapwire on Pexels

The Strait is a critical waterway passage where 20 percent of global crude oil demand passes through. Since the start of the war, it was ordered shut under Iranian control, sending prices of global crude oil and natural gas soaring, as shipping giants were forced to look for alternative paths to transport the said commodities.

Meanwhile, SM Energy Company (NYSE:SM) and other oil and gas firms for weeks have benefitted from the surging oil prices, which investors expected to propel its profit margins higher in the first quarter of the year.

In other news, SM Energy Company (NYSE:SM) said that it would announce the results of its first quarter earnings performance during market hours on May 7, 2026. A conference call will be held to elaborate on the results.

While we acknowledge the risk and potential of SM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than SM and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 33 Stocks That Should Double in 3 Years and Cathie Wood 2026 Portfolio: 10 Best Stocks to Buy. 

Disclosure: None. Follow Insider Monkey on Google News.