The Santos Ltd (ASX: STO) share price has been a solid performer over the last six months, outperforming the S&P/ASX 200 Index (ASX: XJO).
As the chart below shows, the ASX energy share has gone through a bumpy ride in 2026 to date.
Energy prices have certainly seen volatility in the last several months following conflict in the Middle East as well as disruption to Russian energy facilities by Ukraine.
Santos is one of the leading oil and gas businesses on the ASX with a number of projects. When energy prices go up, it can significantly boost the company's earnings, assuming there hasn't been a big increase of other costs.
The company's most recent update was solid.
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Solid quarter
Santos recently told investors how it performed for the three months to 30 June 2026.
The company noted that its realised LNG pricing was up 4.9% quarter over quarter. It expects to experience higher realised LNG pricing and cash flow in the third quarter.
The ASX energy share reported revenue of $1.35 billion, an increase of 6% quarter over quarter. It noted that it produced 23.1 million barrels of oil equivalent (MMboe) for the second quarter, a 3% increase compared to the three months to 31 March 2026.
It also said that free cash flow from operations was $378 million, impacted by Barossa and Pikka commissioning costs, the timing of cargo movements across the half-year reporting date and an under-lift position in PNG of approximately 1.3 MMboe which is expected to reverse in the second half.
Around $300 million of cargo proceeds are expected to be received shortly after the quarter end.
The company continues to invest in its projects and facilities, which should help improve earnings and cash flow.
What would have happened with a $10,000 Santos share investment?
In the past six months, the Santos share price has risen by 11.7%. That compares to just a 1% rise for the ASX 200.
If someone had invested $10,000 six months ago, those shares would now be worth approximately $11,700.
Another question is what could happen over the next year. Analysts are not very confident of strong capital growth from here.
According to CMC Invest, there have been eight ratings on the business within the last three months. Six of those ratings were a buy, and two were a hold. However, the average price target from those analysts is only $8.08, suggesting a rise of just 3%.
Therefore, there could be plenty of other ASX shares that could be better buys.
