Smart Sand shares surge 14.61% intraday as strong frac sand demand and logistics services drive momentum in active oil patch.

Smart Sand surged 14.61% intraday as shares hit multi-year highs driven by robust demand for its frac sand and logistics services in the active oil sector. The stock's momentum reflects a 86.12% one-month return and 66.24% year-to-date gain, signaling investor confidence in its growth trajectory. However, the recent price action comes despite valuation concerns, with a P/E of 43.4x, well above the industry average of 18.3x, and a discounted cash flow model suggesting the stock is overvalued compared to fair value. While the immediate rally aligns with renewed optimism around cyclical energy demand, underlying risks such as earnings volatility and uncertain margin sustainability remain unaddressed.