Halliburton (HAL) AI Stock Analysis

• Market Cap: $18.97B
• Dividend Yield: 3.04%
• Average Volume (3M): 10.16M
• Price to Earnings (P/E): 10.5
• Beta (1Y): 0.79
• Revenue Growth: -4.08%
• EPS Growth: -29.26%
• Country: US
• Employees: 48,000
• Sector: Energy
• Sector Strength: 52
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.55
• Shares Outstanding: 852,602,100
• 10 Day Avg. Volume: 10,952,124
• 30 Day Avg. Volume: 10,156,779
• PEG Ratio: -2.81
• Price to Book (P/B): 2.28
• Price to Sales (P/S): 1.05
• P/FCF Ratio: 9.90
• Enterprise Value/Market Cap: 1.27
• Enterprise Value/Revenue: 1.08
• Enterprise Value/Gross Profit: 6.32
• Enterprise Value/Ebitda: 6.00
• 1Y Price Target: $27.21
• Price Target Upside: 21.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 15

• Rating: 78 Outperform
• Price Target: $26.00 ▲(16.28% Upside)

Halliburton's strong financial performance and attractive valuation are key strengths, supported by positive technical indicators. However, challenges in North America and geopolitical uncertainties weigh on the outlook. The company's strategic focus on technology and cost management provides a path forward amidst market volatility.

Positive Factors

International Revenue Growth

The growth in international revenue, driven by activity increases in Latin America and Europe, reflects Halliburton's strong global market position and ability to capitalize on international opportunities, which is crucial for long-term stability amidst North American challenges.

Innovative Technology Deployment

The deployment of innovative technologies like LOGIX closed-loop automation enhances operational efficiency and differentiation, positioning Halliburton as a leader in technological advancements, which is vital for sustaining competitive advantage in the oilfield services industry.

Strong Demand for Artificial Lift

Securing significant contracts for artificial lift services indicates robust demand and strengthens Halliburton's market presence in the Middle East, supporting long-term revenue growth and diversification beyond North America.

Negative Factors

North America Revenue Decline

The anticipated decline in North American revenue due to reduced drilling and completion activity poses a risk to Halliburton's financial performance, highlighting the need for strategic adjustments to mitigate regional market pressures.

Pricing Headwinds in U.S. Land

Pricing pressures in U.S. land markets, particularly in pressure pumping and stimulation services, could erode profit margins, challenging Halliburton's ability to maintain profitability in a competitive environment.

Activity Reductions in Key Markets

Activity reductions in key markets like Saudi Arabia and Mexico may lead to a contraction in international revenue, impacting Halliburton's growth prospects and necessitating strategic focus on emerging opportunities to offset declines.

Halliburton Business Overview & Revenue Model

Company Description

Halliburton Company provides products and services to the energy industry worldwide. It operates in two segments, Completion and Production, and Drilling and Evaluation. The Completion and Production segment offers production enhancement services that include stimulation and sand control services; cementing services, such as well bonding and casing, and casing equipment; completion tools that offer downhole solutions and services, including well completion products and services, intelligent well completions, and service tools, as well as liner hanger, sand control, and multilateral systems; production solutions comprising coiled tubing, hydraulic workover units, downhole tools, and pumping and nitrogen services; and pipeline and process services, such as pre-commissioning, commissioning, maintenance, and decommissioning. This segment also provides electrical submersible pumps, as well as artificial lift services. The Drilling and Evaluation segment offers drilling fluid systems, performance additives, completion fluids, solids control, specialized testing equipment, and waste management services; oilfield completion, production, and downstream water and process treatment chemicals and services; drilling systems and services; wireline and perforating services consists of open-hole logging, and cased-hole and slickline; and drill bits and services comprising roller cone rock bits, fixed cutter bits, hole enlargement, and related downhole tools and services, as well as coring equipment and services. This segment also provides cloud based digital services and artificial intelligence solutions on an open architecture for subsurface insights, integrated well construction, and reservoir and production management; testing and subsea services, such as acquisition and analysis of reservoir information and optimization solutions; and project management and integrated asset management services. Halliburton Company was founded in 1919 and is based in Houston, Texas.

How the Company Makes Money

Halliburton generates revenue primarily through its oil field services, which include drilling, evaluation, and completion services. The company earns money by charging its clients for the provision of these services and products, with revenue streams coming from contracts for well construction, cementing, and hydraulic fracturing, among others. Key revenue streams are derived from both onshore and offshore operations, with a significant portion coming from the North American market. Additionally, Halliburton benefits from long-term partnerships with major oil companies and independent operators, which often lead to repeat business. Factors contributing to its earnings include fluctuations in oil and gas prices, technological advancements in drilling techniques, and the overall health of the energy sector.

Halliburton Financial Statement Overview

Summary

Halliburton demonstrates strong profitability with robust gross and net profit margins, effective cost management, and efficient cash flow practices. Despite moderate leverage, the company's financial health is robust, positioning it well in the industry.

Income Statement

Halliburton demonstrates strong profitability with robust gross and net profit margins over the TTM. The Gross Profit Margin stands at approximately 9.4%, and the Net Profit Margin at 10.5%. Despite a slight dip in revenue compared to the previous year, the company has maintained healthy EBIT and EBITDA margins, indicating effective cost management and operational efficiency.

Balance Sheet

The company's balance sheet shows a moderate Debt-to-Equity Ratio of 0.81, reflecting a balanced leverage position. Return on Equity is strong at approximately 22.2%, demonstrating efficient utilization of shareholder funds. However, the Equity Ratio is 41.6%, suggesting a moderate reliance on debt financing, which could be a risk if not managed properly.

Cash Flow

The cash flow statements reveal a positive Free Cash Flow growth compared to prior years, and an Operating Cash Flow to Net Income Ratio of 1.53, indicating good cash generation relative to net earnings. The Free Cash Flow to Net Income Ratio is commendable at 0.92, showcasing effective cash management practices.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	22.23B	22.94B	23.02B	20.30B	15.29B	14.45B
Gross Profit	3.80B	4.30B	4.36B	3.31B	2.02B	1.54B
EBITDA	4.00B	4.76B	4.84B	3.54B	2.69B	-1.62B
Net Income	1.86B	2.50B	2.64B	1.57B	1.46B	-2.94B
Balance Sheet
Total Assets	25.38B	25.59B	24.68B	23.25B	22.32B	20.68B
Cash, Cash Equivalents and Short-Term Investments	2.04B	2.62B	2.26B	2.35B	3.04B	2.56B
Total Debt	8.56B	8.60B	8.81B	8.94B	10.22B	10.84B
Total Liabilities	14.83B	15.04B	15.25B	15.28B	15.59B	15.70B
Stockholders Equity	10.51B	10.51B	9.39B	7.95B	6.71B	4.97B
Cash Flow
Free Cash Flow	2.15B	2.42B	2.08B	1.23B	1.11B	1.15B
Operating Cash Flow	3.57B	3.87B	3.46B	2.24B	1.91B	1.88B
Investing Cash Flow	-1.92B	-1.65B	-1.66B	-967.00M	-534.00M	-486.00M
Financing Cash Flow	-1.70B	-1.73B	-1.67B	-1.80B	-838.00M	-1.01B

Halliburton Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.36
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HAL, the sentiment is Positive. The current price of 22.36 is above the 20-day moving average (MA) of 22.19, above the 50-day MA of 21.75, and below the 200-day MA of 23.22, indicating a neutral trend. The MACD of 0.21 indicates Negative momentum. The RSI at 55.92 is Neutral, neither overbought nor oversold. The STOCH value of 64.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HAL.

Halliburton Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FTI	81 Outperform	16.12B	18.57	28.83%	0.51%	12.15%	91.88%
HAL	78 Outperform	$18.97B	10.49	18.16%	3.04%	-4.08%	-29.26%
BKR	74 Outperform	45.82B	15.21	17.22%	1.90%	2.13%	54.69%
TS	74 Outperform	18.95B	9.57	12.12%	4.73%	-12.06%	-21.43%
SLB	71 Outperform	51.96B	11.92	20.16%	3.25%	0.94%	-4.63%
NOV	70 Outperform	4.79B	10.61	7.18%	3.93%	-1.21%	-54.44%
Sector *	65 Neutral	$15.17B	7.61	4.09%	5.20%	3.87%	-62.32%

Halliburton Corporate Events

Halliburton Secures New $3.5 Billion Credit Agreement

On August 18, 2025, Halliburton entered into a new $3.5 billion Five Year Revolving Credit Agreement, replacing its previous 2022 Credit Agreement. This new agreement, which involves Citibank as the agent, is intended for general working capital purposes and is set to terminate on August 16, 2030. The transition to the 2025 Credit Agreement signifies Halliburton’s ongoing efforts to manage its financial resources effectively, potentially impacting its operational flexibility and financial stability.

The most recent analyst rating on (HAL) stock is a Hold with a $21.00 price target. To see the full list of analyst forecasts on Halliburton stock, see the HAL Stock Forecast page.