Shares of SM Energy rose to a two-month high on Wednesday after the company said production has been higher than expected in the current quarter.
The stock reached $30.34, a level last seen on April 17. Recently shares were up 8.4% to $30.33. The stock has fallen about 13% this year.
The Denver-based energy company said it had exceeded its guidance in the second quarter because of higher oil and natural gas volumes from South Texas wells, leading SM Energy to raise its quarterly and full-year forecasts for production.
SM Energy also said it had underspent on capital expenditures due to beneficial cost deflation and reduced facilities expenditures and had repurchased 2.6 million shares.