Stock Price & Analysis

Analysis and Insights

Fundamental Analysis:

Schlumberger (SLB) has shown strong financial performance, with a 90% rating from Validea's Earnings Yield Investor model, indicating robust fundamentals and attractive valuation. The company's international revenue growth, particularly in the Middle East and Asia, has been a key driver of its success. Additionally, SLB's strong free cash flow and reduced capital investment projections for 2025 reinforce investor confidence.

Technical Analysis:

The stock is currently trading above its 200-day moving average, a bullish signal. The RSI values are around 50, indicating a neutral position, while the MACD shows a slight upward trend, suggesting moderate bullish momentum.

Analyst Sentiment:

Analysts have a "Strong Buy" consensus rating on SLB, with a mean price target of $53.46, implying a potential upside of approximately 14.1%. Recent analyst actions include price target increases from firms like JP Morgan and Citigroup, reflecting optimism about the company's future performance.

Industry Trends:

The oilfield services sector faces challenges, including North American market softness and international spending restraint. However, SLB's diversified operations and exposure to growing international markets position it well to navigate these headwinds.

Conclusion:

Given the strong fundamentals, positive analyst sentiment, and bullish technical indicators, it is a good time to buy SLB stock. The company's ability to generate cash flow and its strategic investments in growth areas make it an attractive investment.

Price Prediction for SLB Stock in 2025

Based on current trends and analysis, SLB stock is expected to reach $48 to $52 by the end of 2025.

• Reason: Strong Q4 earnings, improved international revenue growth, and a $2.3 billion buyback program signal confidence in the stock's upside potential.
• Support: The stock has strong support at $40, with resistance at $43.42, suggesting moderate growth ahead.

The S1 support level for SLB Stock is $40.86 ,The R1 resistant level for SLB Stock is $42.96.

As of the end of day on 2025-04-01, the price of SLB Stock was $42.25.

The target price for SLB Stock according to analyst rating is 53.69, with the highest price target at 63.00 and the lowest at 44.00. Analysts have a Strong Buy rating on SLB Stock overall.

The market cap of SLB is $57.4B.

Analysis and Insights

Valuation Metrics:

Schlumberger NV (SLB) currently exhibits moderate valuation levels. The price-to-earnings (P/E) ratio has decreased from 18.24 in Q1 2024 to 12.34 in Q4 2024, indicating improving earnings relative to price. The EV/EBITDA ratio has also declined from 11.51 to 7.41 over the same period, suggesting the stock is not significantly overvalued.

Financial Performance:

SLB has demonstrated strong financial performance, with total revenue increasing steadily each quarter, reaching $9.284 billion in Q4 2024. Net income has also shown consistent growth, with Q4 2024 net income at $1.095 billion, reflecting robust profitability. The net margin improved slightly to 13.30%, indicating efficient operations.

Technical Analysis:

The Relative Strength Index (RSI) for SLB is approximately 50, indicating a neutral position without clear overbought or oversold signals. The MACD is slightly positive, suggesting a weak upward trend. The stock is trading near its 20-day moving average but below the 50-day moving average, signaling potential short-term weakness.

Fibonacci Levels:

The Fibonacci pivot level is at 40.87, with resistance levels at 41.84 and 42.45. The stock is currently trading near these levels, suggesting it may find support around the pivot point.

Industry Context:

SLB's performance is strong compared to peers like Baker Hughes (BKR), which has seen a decline. This relative strength supports the view that SLB is well-positioned in the oilfield services sector.

Conclusion:

Based on the analysis, SLB does not appear to be overvalued. The stock's valuation metrics are reasonable, financial performance is strong, and technical indicators are neutral. While there may be short-term volatility, the fundamentals suggest the stock is fairly priced.

Schlumberger N.V. is a global technology company. The Company operates through four segments: Digital & Integration, Reservoir Performance, Well Construction and Production Systems. The Digital & Integration combines its solutions and data products with its integrated offering of Asset Performance Solutions (APS). The Reservoir Performance segment consists of reservoir-centric technologies and services that are critical to optimizing reservoir productivity and performance. The Well Construction segment combines the full portfolio of products and services to optimize well placement and performance, maximize drilling efficiency, and improve wellbore assurance. Well Construction provides operators and drilling rig manufacturers with services and products related to designing and constructing a well. The Production Systems segment develops technologies and provides expertise that enhances production and recovery from subsurface reservoirs to the surface, into pipelines, and to refineries.

Based on current trends and analyst expectations, Schlumberger (SLB) stock could reach $75 by 2030, driven by strong international revenue growth, digital transformation, and increasing energy demand. The company's robust Q4 2024 earnings, with revenue of $9.3 billion and EPS of $0.92, underscore its growth potential. Analysts expect continued expansion in key markets like the Middle East and Asia, supported by a mean price target of $53.46 and a high estimate of $64.50.

SLB has a total of 111000 employees.