Halliburton (HAL), a large-cap oilfield services stock, is a prominent entity in the energy sector with a diversified revenue stream. Being a value play, the company has maintained notable momentum from key collaborations, despite facing a tough year ahead and recent weakness in the market. While a slowdown in North America has been impacting its earnings, strategic moves such as the first fully automated hydraulic fracturing program with Coterra Energy and resilience in the international market have bolstered optimism. The company's Q4 2024 earnings call discussed navigating challenges effectively, highlighting technical support ahead of earnings. However, despite the
analysts' predictions and an attractive financial prospect, Halliburton's earnings are expected to decline. This reflected in its stock performance, which has been underperforming compared to competitors and exhibiting weak North American activity. Notwithstanding, high returns on its capital investments, an increase in production from Iraq's Nahr Bin Omar Field, and ownership by institutional shareholders (86%-88%) demonstrate considerable stability. Although the stock has seen a drop and reduced expectations, it still holds significant upside potential and is deemed undervalued. Nonetheless, concerns persist due to declining oil prices, soft revenue, and a soft 2025 outlook.
Halliburton Company HAL News Analytics from Wed, 03 Jul 2024 07:00:00 GMT to Sat, 01 Feb 2025 10:13:49 GMT -
Rating 4
- Innovation 6
- Information 9
- Rumor -5
