Halliburton’s (HAL) shares rose about 1% in Tuesday’s pre-market session after the oilfield services giant managed to surpass Wall Street consensus estimates for its first-quarter 2026 earnings. The earnings beat came amid worries about the impact of the ongoing U.S.-Israel-Iran war on the oil industry.
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The Middle East conflict, which began on February 28, has thrown the world into the worst energy crisis in history, pushed up energy prices, and heightened supply risks for the sector. This has raised concerns about the demand for drilling services, even as global oil demand is set to plunge, according to the International Energy Agency.
Latin America Fuels Halliburton’s Revenue
However, during the three-month period that ended on March 31, Halliburton’s revenue was flat year-over-year at $5.4 billion, topping analysts’ estimates of $5.3 billion. The Texas-based company also beat the Wall Street consensus of $0.50 for its adjusted earnings per share (EPS), with the figure coming in at $0.55 — the adjusted EPS declined by 8% year-over-year.
Moreover, Halliburton, which provides services for the construction, completion, extraction, and management of oil wells, boosted its operating income by roughly 56% to $679 million. The figure rose from $431 million in the prior-year period.
The company’s revenue growth was led by its international operations, which rose by 3% year-over-year to $3.3 billion, with Latin America growing by a leading 22% to $1.1 billion. Last quarter, the company had said its international business remains “strong.”
‘We Are in the Early Innings of a Recovery’
On the contrary, revenue from North America fell by 4% from the prior-year period to $2.1 billion. During the quarter, completion and production revenue fell by 3% year-over-year to $3 billion, but earnings from drilling and evaluation rose by 4% to $2.4 billion.
Looking ahead, Halliburton is bullish on improvements in its North American operations. “In North America, I see clear signs that we are in the early innings of a recovery,” noted Jeff Miller, Halliburton’s chair, president, and CEO.
Is Halliburton a Good Stock to Buy Now?
On Wall Street, Halliburton’s shares continue to hold a Moderate Buy consensus rating from analysts. This breaks down into 10 Buys and four Holds issued by 14 analysts over the past three months.
However, the average HAL price target of $40.31 implies roughly 10% upside from current trading levels. Yet it is important to note that analysts’ ratings may change following the latest earnings update.
