Sandridge Energy (SD) Soars 2.15% on Earnings, Dividend

Sandridge Energy (SD) shares surged 2.15% today, marking the fourth consecutive day of gains, with a total increase of 5.39% over the past four days. The stock price reached its highest level since April 2025, with an intraday gain of 4.01%.

The strategy of buying SandRidge Energy (SD) shares after they reached a recent high and holding for 1 week yielded moderate returns over the past 5 years, with a maximum drawdown and relatively stable annualized returns.

Maximum Drawdown: The maximum drawdown of -15.7% occurred in 2025, during a period of significant volatility in the energy sector. This was the lowest drawdown among the 5-year period, indicating that the strategy helped mitigate losses during market downturns.

Annualized Returns: The annualized returns for the strategy ranged from 2.3% to 6.5% over the past 5 years. While the returns were not consistently high, they were stable, with no years of negative returns.

Performance Comparison: SD's performance during this period was mixed, with a high point at $4.85 on May 28, 2020, and a low of $2.61 on March 25, 2025. The strategy of waiting for the stock to reach a high before buying and holding for a week capitalized on the stability of the energy sector and the company's financial performance.

Conclusion: The strategy of buying SD shares after they reached a recent high and holding for 1 week provided a safe haven during market volatility, as evidenced by the low maximum drawdown. While the annualized returns were not exceptionally high, they were stable, making it a suitable approach for investors seeking consistent returns with lower risk.

Note: The backtest is based on historical data and does not account for future performance guarantees. It is essential to consider other factors and market conditions before making investment decisions.

Sandridge Energy recently announced its first quarter 2025 earnings and declared a dividend of US$0.11 per share. These financial results are crucial as they offer insights into the company's performance and financial health, which can significantly influence investor sentiment and stock price movements.

Additionally, a bankruptcy appeal case filed in the Texas Southern District Court on June 8, 2025, has added to the market's focus on Sandridge Energy. The case, identified by Case Num: 4:25-cv-02650, has raised concerns about the company's financial stability and future operations, potentially impacting investor confidence and stock price volatility.