SLB initiated with a Buy at Rothschild & Co Redburn

Rothschild & Co Redburn initiated coverage of SLB (SLB) with a Buy rating and $48 price target The shares have “derated materially,” but the company has reshaped its business in recent years, disposing of “capital-intensive” assets and adding exposure to less cyclical areas through the acquisition of ChampionX, the analyst tells investors in a research note. The firm sees several catalysts that will drive a re-rating of the shares, including a return to earnings upgrades and rising free cash flow and distributions.