| Snowflake Score | |
|---|---|
| Valuation | 2/6 |
| Future Growth | 5/6 |
| Past Performance | 3/6 |
| Financial Health | 2/6 |
| Dividends | 3/6 |
SLB Overview
Schlumberger Limited supplies technology for reservoir characterization, drilling, production, and processing to the oil and gas industry worldwide.
Schlumberger Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$29.01 |
| 52 Week High | US$13.70 |
| 52 Week Low | US$36.87 |
| Beta | 2.41 |
| 1 Month Change | 3.13% |
| 3 Month Change | -13.01% |
| 1 Year Change | 82.22% |
| 3 Year Change | -52.38% |
| 5 Year Change | -63.11% |
| Change since IPO | 135.61% |
Recent News & Updates
Schlumberger Ltd.: A Solid Second Quarter And Back To Healthy Margins
The World's top oilfield services provider came out with second-quarter 2021 earnings of $0.30 per share, beating the analysts' expectations. Schlumberger is clearly enjoying the benefits of a recent attempt to restructure and slim down its business. I recommend accumulating SLB on any weakness below $27.
Schlumberger Stock: Recovering With Oil Market
Schlumberger’s market capitalization is $43.6 billion. After a 75% dividend cut amid 2020 oil price carnage, its dividend yield is currently 1.6%. The company has refined its focus to international operations and been awarded multi-year contracts. Schlumberger expects double-digit free cash flow growth, which it will use for debt reduction.
Schlumberger to redeem 100% of outstanding 3.300% senior notes due 2021
Schlumberger's (SLB) indirect wholly-owned subsidiary Schlumberger Investment plans to redeem notes with an outstanding principal amount of $664M.Redemption is for the entire outstanding principal amount of SISA's 3.300% senior notes due 2021.The redemption date for the notes is June 28.The notes will be redeemed on the redemption date at a redemption price for the notes equal to 100% of the principal amount being redeemed, plus accrued and unpaid interest on the Notes from the last interest payment date to, but excluding,
Schlumberger adds ex-Orsted Wind CEO Leupold to board
Schlumberger ([[SLB]] +2.9%) extends last Friday's post-earnings gain after naming former Orsted Wind Power CEO Samuel Leupold to its board, as it implements its strategy to deploy sustainable technologies, according to an 8-K filing.Leupold was CEO of Orsted Wind Power during 2013-18, as the group became one of the world's
Shareholder Returns
| SLB | US Energy Services | US Market | |
|---|---|---|---|
| 7D | 2.5% | 2.2% | 0.1% |
| 1Y | 82.2% | 81.7% | 35.3% |
Return vs Industry: SLB matched the US Energy Services industry which returned 81.7% over the past year.
Return vs Market: SLB exceeded the US Market which returned 35.3% over the past year.
Price Volatility
| SLB volatility | |
|---|---|
| SLB Beta | 2.41 |
| Industry Beta | 2.41 |
| Market Beta | 1 |
Stable Share Price: SLB is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: SLB's weekly volatility (6%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1926 | 86,000 | Olivier Le Peuch | https://www.slb.com |
Schlumberger Limited supplies technology for reservoir characterization, drilling, production, and processing to the oil and gas industry worldwide. It operates in four divisions: Digital & Integration, Reservoir Performance, Well Construction, and Production Systems. The company offers reservoir interpretation and data processing services; open and cased-hole, and slickline services; exploration and production pressure and flow-rate measurement services; tubing-conveyed perforating services; integrated production systems; software, consulting, information management, and IT infrastructure services; reservoir characterization, field development planning, and production enhancement consulting services; and petro technical data services and training solutions.
Schlumberger Fundamentals Summary
| SLB fundamental statistics | |
|---|---|
| Market Cap | US$40.57b |
| Earnings (TTM) | US$1.02b |
| Revenue (TTM) | US$21.65b |
39.7x
P/E Ratio1.9x
P/S RatioIs SLB overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| SLB income statement (TTM) | |
|---|---|
| Revenue | US$21.65b |
| Cost of Revenue | US$18.73b |
| Gross Profit | US$2.92b |
| Expenses | US$1.90b |
| Earnings | US$1.02b |
Last Reported Earnings
Jun 30, 2021
Next Earnings Date
Oct 22, 2021
| Earnings per share (EPS) | 0.73 |
| Gross Margin | 13.49% |
| Net Profit Margin | 4.72% |
| Debt/Equity Ratio | 120.4% |
How did SLB perform over the long term?
See historical performance and comparisonDividends
1.7%
Current Dividend Yield68%
Payout RatioValuation
Is Schlumberger undervalued compared to its fair value and its price relative to the market?
26.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: SLB ($29.01) is trading below our estimate of fair value ($39.36)
Significantly Below Fair Value: SLB is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: SLB is poor value based on its PE Ratio (39.7x) compared to the US Energy Services industry average (30.6x).
PE vs Market: SLB is poor value based on its PE Ratio (39.7x) compared to the US market (17.9x).
Price to Earnings Growth Ratio
PEG Ratio: SLB is poor value based on its PEG Ratio (1.5x)
Price to Book Ratio
PB vs Industry: SLB is overvalued based on its PB Ratio (3.2x) compared to the US Energy Services industry average (1x).
Future Growth
How is Schlumberger forecast to perform in the next 1 to 3 years based on estimates from 25 analysts?
27.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SLB's forecast earnings growth (27.1% per year) is above the savings rate (2%).
Earnings vs Market: SLB's earnings (27.1% per year) are forecast to grow faster than the US market (14.8% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: SLB's revenue (10.9% per year) is forecast to grow faster than the US market (9.8% per year).
High Growth Revenue: SLB's revenue (10.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SLB's Return on Equity is forecast to be high in 3 years time (23.8%)
Past Performance
How has Schlumberger performed over the past 5 years?
-40.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SLB has high quality earnings.
Growing Profit Margin: SLB became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: SLB has become profitable over the past 5 years, growing earnings by -40.4% per year.
Accelerating Growth: SLB has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: SLB has become profitable in the last year, making it difficult to compare its past year earnings growth to the Energy Services industry (-49.7%).
Return on Equity
High ROE: SLB's Return on Equity (8.2%) is considered low.
Financial Health
How is Schlumberger's financial position?
Financial Position Analysis
Short Term Liabilities: SLB's short term assets ($12.1B) exceed its short term liabilities ($8.8B).
Long Term Liabilities: SLB's short term assets ($12.1B) do not cover its long term liabilities ($19.1B).
Debt to Equity History and Analysis
Debt Level: SLB's debt to equity ratio (120.4%) is considered high.
Reducing Debt: SLB's debt to equity ratio has increased from 50.4% to 120.4% over the past 5 years.
Debt Coverage: SLB's debt is not well covered by operating cash flow (19.1%).
Interest Coverage: SLB's interest payments on its debt are well covered by EBIT (3.9x coverage).
Balance Sheet
Dividend
What is Schlumberger current dividend yield, its reliability and sustainability?
1.72%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SLB's dividend (1.72%) is higher than the bottom 25% of dividend payers in the US market (1.33%).
High Dividend: SLB's dividend (1.72%) is low compared to the top 25% of dividend payers in the US market (3.6%).
Stability and Growth of Payments
Stable Dividend: SLB's dividend payments have been volatile in the past 10 years.
Growing Dividend: SLB's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (68.2%), SLB's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SLB's dividends in 3 years are forecast to be well covered by earnings (37.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.9yrs
Average management tenure
CEO
Olivier Le Peuch (57 yo)
2.08yrs
Tenure
US$5,650,084
Compensation
Mr. Olivier Le Peuch has been Chief Executive Officer and Director of Schlumberger Limited since August 1, 2019. Mr. Le Peuch served as Chief Operating Officer at Schlumberger Limited since February 8, 201...
CEO Compensation Analysis
Compensation vs Market: Olivier's total compensation ($USD5.65M) is below average for companies of similar size in the US market ($USD11.36M).
Compensation vs Earnings: Olivier's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: SLB's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.
Board Members
Experienced Board: SLB's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Schlumberger Limited's employee growth, exchange listings and data sources
Key Information
- Name: Schlumberger Limited
- Ticker: SLB
- Exchange: NYSE
- Founded: 1926
- Industry: Oil and Gas Equipment and Services
- Sector: Energy
- Market Cap: US$40.569b
- Shares outstanding: 1.40b
- Website: https://www.slb.com
Number of Employees
Location
- Schlumberger Limited
- 5599 San Felipe
- 17th Floor
- Houston
- Texas
- 77056
- United States
Listings
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/09/25 22:18 |
| End of Day Share Price | 2021/09/24 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.