SLB (SLB) Valuation Check as Disability Inclusion Awards and Job Creation Drive Fresh Investor Interest

SLB (SLB) is back on investors’ radar, not for a new rig contract, but for its people strategy, as disability inclusion awards and job creation headlines push the stock into the spotlight.

See our latest analysis for SLB.

All of this sits against an interesting backdrop, with SLB’s 7 day share price return of 6.13 percent hinting at building momentum, even as the 1 year total shareholder return remains slightly negative and the 5 year total shareholder return still looks strong.

If this mix of operational progress and shifting sentiment has your attention, it could be a smart moment to explore other energy names via aerospace and defense stocks for fresh ideas.

Yet with SLB trading below analyst targets and recent returns lagging its five year record, investors now face a key question: is this renewed momentum an entry point, or is the market already pricing in the next leg of growth?

Most Popular Narrative: 15.1% Undervalued

Using a fair value of $45.31 against SLB’s last close at $38.46, the most followed narrative sees meaningful upside built into future fundamentals.

The integration of ChampionX expands SLB's capabilities in production optimization, chemicals, and digital production technology, unlocking new revenue synergies through cross-selling and international expansion, while also driving significant cost synergies ($400 million targeted). All of these factors are expected to increase EBITDA margins and earnings per share, notably in 2026 and beyond.

Read the complete narrative.

Want to see the math behind this upside call, from revenue growth to margin lift and future earnings multiples, and how they combine into that fair value? Dive into the full narrative to unpack the bold assumptions powering this valuation and judge for yourself whether the story really matches the numbers.

Result: Fair Value of $45.31 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, this upside hinges on stable spending and smooth ChampionX integration, with macro volatility or failed synergies threatening both growth and margin expansion.

Find out about the key risks to this SLB narrative.

Build Your Own SLB Narrative

If you see the numbers differently or want to stress test your own assumptions, you can quickly build a personalized thesis in under three minutes: Do it your way.

A great starting point for your SLB research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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