Forecast Of The Day: Schlumberger’s Drilling Revenue
What?
Schlumberger’s (NYSE:SLB) Drilling Revenue declined from $11.5 billion in 2019 to $8.5 billion in 2020 and rose marginally to $8.6 billion in 2021. Trefis expects the metric to recover to over $9.6 billion in 2023.
Why?
- Down 6% This Year, Will SLB Stock Recover Following Q2 Results?
- What’s Next For SLB Stock After A 10% Fall This Year?
- With The Stock Flat This Year, Will Q1 Results Drive SLB Stock Higher?
- Down 7% Already This Year, Will SLB Stock Recoup These Losses After Q4 Results?
- Flat Since The Beginning of 2023, What Is Next For SLB Stock?
- SLB’s Q2 Earnings: What Are We Watching?
While Covid-19 and the oil price war hurt activity in 2020, the robust economic recovery post the initial Covid lockdowns and elevated oil prices are likely to drive drilling activity higher in Schlumberger’s key markets.
So What?
However, we think the growth is more than priced into SLB stock. We value Schlumberger at $31 per share, about 24% below the current market price.
See Our Complete Analysis For Schlumberger
What if you’re looking for a more balanced portfolio instead? Here’s a high-quality portfolio that’s beaten the market consistently since the end of 2016.
| Returns | Apr 2022 MTD [1] |
2022 YTD [1] |
2017-22 Total [2] |
| SLB Return | -1% | 37% | -51% |
| S&P 500 Return | 0% | -5% | 102% |
| Trefis MS Portfolio Return | 0% | -8% | 262% |
[1] Month-to-date and year-to-date as of 4/7/2022
[2] Cumulative total returns since the end of 2016
Invest with Trefis Market Beating Portfolios