Schlumberger(US:SLB) ZACKS·2025-11-19 15:01Core Viewpoint - SLB has shown a positive stock performance recently, outperforming the S&P 500 and the Zacks Technology Services industry, raising questions about its future stock trajectory [2]. Earnings Estimate Revisions - SLB is expected to report earnings of $0.74 per share for the current quarter, reflecting a year-over-year decrease of 19.6%, with a recent consensus estimate increase of 1.5% [5]. - The consensus earnings estimate for the current fiscal year is $2.89, indicating a year-over-year decline of 15.3%, with a slight increase of 0.9% in the last 30 days [5]. - For the next fiscal year, the earnings estimate is $2.95, showing a 2% increase from the previous year, with a recent change of 1% [6]. - SLB holds a Zacks Rank 3 (Hold), indicating a neutral outlook based on earnings estimate revisions [7]. Projected Revenue Growth - The consensus sales estimate for the current quarter is $9.53 billion, representing a year-over-year increase of 2.7% [11]. - For the current fiscal year, the revenue estimate is $35.78 billion, indicating a decline of 1.4%, while the next fiscal year's estimate is $37.46 billion, reflecting a growth of 4.7% [11]. Last Reported Results and Surprise History - In the last reported quarter, SLB generated revenues of $8.93 billion, a decrease of 2.5% year-over-year, with an EPS of $0.69 compared to $0.89 a year ago [12]. - The reported revenues were in line with the Zacks Consensus Estimate, showing a surprise of -0.02%, while the EPS exceeded expectations by 4.55% [12]. - Over the past four quarters, SLB has surpassed consensus EPS estimates three times and revenue estimates twice [13]. Valuation - SLB's valuation metrics, including price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), are essential for assessing whether the stock is fairly valued [14][15]. - The Zacks Value Style Score rates SLB as an A, indicating it is trading at a discount compared to its peers [17].