Is SandRidge Energy, Inc. overvalued or undervalued?

As of 7 May 2025, SandRidge Energy, Inc. has moved from an attractive to a very attractive valuation grade. The company is currently undervalued, evidenced by a P/E ratio of 6, which is significantly lower than the industry average, alongside an EV to EBITDA ratio of 3.82 and a PEG ratio of 0.15. These metrics indicate that the stock is trading at a discount compared to its earnings growth potential.
In comparison with its peers, SandRidge's P/E ratio of 6.46 is more favorable than SilverBow Resources, Inc. at 5.01, while Vitesse Energy, Inc. shows a much higher P/E of 38.88, indicating that SandRidge is positioned well within its competitive landscape. The company's recent stock performance has been mixed, with a YTD return of -1.54%, contrasting with the S&P 500's 2.44% return, but its long-term performance over the past five years shows a remarkable increase of 760.45%. This suggests that despite recent volatility, SandRidge Energy remains an attractive investment opportunity.