Smart Sand: Relatively Good Bet In Oil Services

Smart Sand trades at an 8.58x EV/EBITDA, a discount to oil services peers, offering potential commodity-related upside in the current energy environment. SND's business is primarily tied to new well completions, with demand dependent on increased drilling activity and secular trends like longer lateral fracking. Cost risks exist from rising electricity and natural gas prices, while logistics and local sand competition in the Permian present strategic challenges.