Houston, Texas-based Schlumberger Limited (SLB) engages in the provision of technology for the energy sector. Valued at $53.1 billion by market cap, Schlumberger operates as a leading oilfield services company, serving oil and gas explorers and producers across the world.
The oilfield service provider is gearing up to unveil its third-quarter results before the market opens on Friday, Oct. 17. Ahead of the event, analysts expect SLB to deliver an adjusted profit of $0.68 per share, down 23.6% from $0.89 per share reported in the year-ago quarter. The company has a mixed earnings surprise history. While it surpassed the Street’s bottom-line estimates thrice over the past four quarters, it missed the projections on one other occasion.
For the full fiscal 2025, analysts expect SLB to deliver an adjusted EPS of $2.88, down 15.5% from $3.41 reported in 2024. While in fiscal 2026, its earnings are expected to grow 3.8% year-over-year to $2.99 per share.
SLB stock prices have plunged 13.7% over the past 52 weeks, significantly underperforming the Energy Select Sector SPDR Fund’s (XLE) 7.7% gains and the S&P 500 Index’s ($SPX) 15.6% surge during the same time frame.
Schlumberger’s stock prices dropped 3.9% following the release of its mixed Q2 results on Jul. 18. While the company’s financials observed a slight improvement from Q1, they remained underwhelming on a year-on-year basis. Its topline for the quarter dropped 6.5% year-over-year to $8.5 billion. Meanwhile, its adjusted EPS dropped 12.9% year-over-year to $0.74 and exceeded the consensus estimates by 1.4%.
Nevertheless, its aggregated operating cash flows of Q1 and Q2 have inched up 2.2% year-over-year to $1.8 billion. Following the initial dip, SLB maintained a positive momentum for the next six trading sessions.
Analysts remain optimistic about the stock’s prospects. SLB maintains a consensus “Strong Buy” rating overall. Of the 24 analysts covering the stock, opinions include 15 “Strong Buys,” four “Moderate Buys,” and five “Holds.” Its mean price target of $47.25 suggests a notable 33% upside potential from current price levels.
On the date of publication, Aditya Sarawgi did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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