Core Insights - Energy stocks experienced volatility in 2022 due to rising demand post-COVID and supply shocks from the Ukrainian war, but have since declined in 2023 as energy prices remained flat [1] - The beginning of 2024 saw a boost in energy stocks due to heightened oil prices, yet heating oil and natural gas prices have been declining, with current prices below 2022 peaks [1] - Certain energy stocks are predicted to perform poorly, suggesting that divesting from them by 2025 may be prudent for investors [1] Company Summaries Halliburton (HAL) - Halliburton reported a 1% increase in revenue to $5.83 billion but an 8% decline in North American revenue, causing investor concerns [2] - The stock closed 5.6% lower at $34.40 per share, with a year-to-date decline of 4.76% and a 12-month loss of 6.88% [2] - HAL has underperformed compared to the S&P 500 Energy Index, which rose by around 9% in the same period, indicating potential trouble ahead [3] Tenaris (TS) - Tenaris experienced an 8.4% year-to-date decline in stock price and reported a 17% year-over-year revenue decline to $3.4 billion [4] - Earnings fell by 34% to $1.27, signaling a warning for investors [4] - Analysts expect further declines in earnings, suggesting that TS stock should be divested by 2025 [5] Occidental Petroleum (OXY) - Occidental Petroleum reported a 17.3% year-over-year decline in quarterly revenue to $5.98 billion and a 29.69% drop in net income to $888 million [6] - Adjusted earnings per share fell by 42.2% year over year to 63 cents, indicating poor financial performance [6] - The company's investment in unproven carbon capture technology raises concerns about future performance, suggesting OXY stock should also be divested by 2025 [7]

Halliburton (HAL) and SLB (SLB) are two of the biggest names in the oilfield service space, and both came up with their second-quarter 2024 results on Friday, Jul 19. Let’s do a comparative analysis of the Zacks Rank #4 (Sell) companies’ reported numbers. You can see the complete list of today’s Zacks #1 Rank stocks here.Earnings & RevenuesHalliburton reported second-quarter 2024 adjusted net income per share of 80 cents, in line with the Zacks Consensus Estimate and above the year-ago quarter profit of 77 ...

Loading...Loading...Halliburton Company HAL reported worse-than-expected second-quarter revenue results on Friday.Halliburton reported second-quarter 2024 revenue of $5.833 billion, missing the consensus of $5.949 billion. EPS of 80 cents was in line with the consensus, according to data from Benzinga Pro.Completion and Production revenue was $3.4 billion, flat Q/Q, while Drilling and Evaluation revenue came in at $2.4 billion, flat Q/Q.International revenue was $3.4 billion, an increase of 3% Q/Q, with rev ...

Trump's likely policies in a potential second term could provide catalysts for these stocks.Republicans now officially have their presidential candidate. Former President Donald Trump cruised to his third nomination at the Republican National Convention last week.Less than four months remain before Americans go to the polls to cast their votes. However, it's not too soon for investors to begin considering which stocks might perform well under different presidential candidates.At least one investor has start ...

Financial Performance - Halliburton Company (HAL) reported second-quarter 2024 adjusted net income per share of 80 cents, matching the Zacks Consensus Estimate and exceeding the year-ago profit of 77 cents [1] - Revenues for the quarter were $5.8 billion, which was $35 million higher than the same period in 2023 but fell short of the Zacks Consensus Estimate of $6 billion due to weak performance in North America [1] Regional Performance - North American revenues decreased by 8% year over year to $2.5 billion, missing projections of $2.6 billion [2] - International revenues increased by 8.1% from the previous year to $3.4 billion, surpassing estimates by $42.5 million [2] Segment Analysis - Operating income from the Completion and Production segment was $723 million, up from $707 million year over year but slightly below the projection of $728.1 million [2] - The Drilling and Evaluation unit's profit improved from $376 million in Q2 2023 to $403 million in Q2 2024, although it was below the estimated $417.3 million [3] Capital Expenditure and Cash Flow - Halliburton's capital expenditure for the second quarter was $347 million, exceeding the projection of $303 million [4] - The company generated $1.1 billion in cash flow from operations, resulting in free cash flow of $793 million [4] Management Insights - Management highlighted that strong returns and cash flow were key to the robust second-quarter results, with solid demand in international markets [5] - The company emphasized its service quality, strategic approach, and technological leadership as factors that will support future performance [5]

Key TakeawaysHalliburton shares fell Friday morning after the company reported revenue that missed estimates as its U.S. operations lost ground.North American revenue slumped 8% amid a decline in U.S. pressure pumping services and a drop in Gulf of Mexico activity.The company's international revenue rose on high demand and activity levels, as well as "equipment tightness" in key drilling areas. Halliburton (HAL) shares slumped Friday as the big oilfield services provider’s U.S. business declined. The compan ...

Halliburton Company (HAL) has introduced the Sensori fracture monitoring service that provides continuous measurement and visualization of the subsurface. The solution is cost-effective and uses automation for the measurement and visualization processes.The Sensori service integrates non-intrusive technologies, automated data extraction and processing, and real-time subsurface data into one solution.  The idea is to provide operators with visibility and control over fracture performance.The service acquires ...

Financial Data and Key Metrics Changes - Total company revenue for Q2 2024 was $5.8 billion, with an operating margin of 18% [7][19] - International revenue was $3.4 billion, growing 8% year-over-year, while North America revenue decreased by 8% year-over-year to $2.5 billion [7][19] - Cash flow from operations was $1.1 billion, with free cash flow of approximately $800 million [7][23] Business Line Data and Key Metrics Changes - Completion and Production division revenue was $3.4 billion, flat sequentially, with an operating income margin of 21% [20] - Drilling and Evaluation division revenue was $2.4 billion, also flat sequentially, with an operating margin of 17% [20] Market Data and Key Metrics Changes - International revenue increased 3% sequentially, with notable growth in Europe/Africa (4% increase) and Middle East Asia (5% increase) [21] - North America revenue decreased by 3% sequentially, primarily due to lower pressure pumping services [21] Company Strategy and Development Direction - The company aims for profitable growth, expecting about 10% revenue growth in international markets for the full year [9] - Focus on technology and innovation, particularly in the Landmark Software business and artificial lift product line, which is growing at double the rate of overall international business [10][11] - Commitment to maximizing value in North America, prioritizing returns over market share, and investing in differentiated technologies [15][17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the international business and anticipates steady growth throughout 2024 [9][18] - In North America, a decline in revenue is expected due to lower activity levels, but a recovery is anticipated in 2025 [13][14] - Management highlighted the importance of technology in driving efficiency and performance, particularly in the context of e-fleets and automation [16][65] Other Important Information - The effective tax rate for Q2 was 22.5%, lower than expected, with an anticipated increase in Q3 [23] - Capital expenditures for Q2 were $347 million, with expectations of approximately 6% of revenue for the full year [23] Q&A Session Summary Question: North America fleet contracting and pricing outlook - Management noted strong demand for e-fleets and ongoing contracts, with no early expirations until next year [26][27] Question: International growth prospects, particularly in the Middle East - Management expressed optimism about growth in the Middle East, particularly with Aramco and unconventional gas work [30][31] Question: Drivers of North America revenue decline - The decline is primarily activity-based, with some impact from M&A and natural gas market conditions [33][34] Question: International spending trends for 2025 - Management sees strong international spending trends for 2025, with meaningful projects expected to ramp up [35][36] Question: Drivers for bottoming out North America activity - Management expects an increase in activity as companies finalize plans for 2025 and divest assets to smaller operators [39][40] Question: Margin expansion opportunities in Drilling and Evaluation - Management is confident in margin expansion due to the adoption of new technologies and improved efficiencies [54][55] Question: E-frac economics and future penetration - Management indicated that e-frac technology is expected to grow significantly, with projections of 50% penetration in the fleet by next year [62][63] Question: North America revenue performance relative to rig count - Management believes Halliburton's revenue will outperform the rig count due to technology and efficiency [64][66]

分组1 - Halliburton reported quarterly earnings of $0.80 per share, matching the Zacks Consensus Estimate, and an increase from $0.77 per share a year ago [1] - The company posted revenues of $5.83 billion for the quarter ended June 2024, missing the Zacks Consensus Estimate by 1.98%, and showing a slight increase from $5.8 billion year-over-year [1] - Over the last four quarters, Halliburton has surpassed consensus EPS estimates three times but has only topped revenue estimates once [1] 分组2 - The stock's immediate price movement will depend on management's commentary during the earnings call, with Halliburton shares up about 0.8% year-to-date compared to the S&P 500's 16.2% gain [2] - The current consensus EPS estimate for the upcoming quarter is $0.88 on revenues of $6.18 billion, and for the current fiscal year, it is $3.36 on revenues of $24.22 billion [4] - The Oil and Gas - Field Services industry is currently in the bottom 16% of Zacks industries, indicating potential underperformance compared to the top 50% of ranked industries [5]

Exhibit 99.1 HALLIBURTON ANNOUNCES SECOND QUARTER 2024 RESULTS HOUSTON – July 19, 2024 – Halliburton Company (NYSE: HAL) announced today net income of $709 million, or $0.80 per diluted share, for the second quarter of 2024. This compares to net income for the first quarter of 2024 of $606 million, or $0.68 per diluted share and first quarter of 2024 adjusted net income of $679 million, or $0.76 per diluted share. Halliburton's total revenue for the second quarter of 2024 was $5.8 billion, sequentially flat ...