Halliburton (HAL) AI Stock Analysis

• Market Cap: $19.94B
• Dividend Yield: 2.93%
• Average Volume (3M): 14.38M
• Price to Earnings (P/E): 9.7
• Beta (1Y): 0.83
• Revenue Growth: -2.54%
• EPS Growth: -17.53%
• Country: US
• Employees: 48,000
• Sector: Energy
• Sector Strength: 72
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.60
• Shares Outstanding: 859,715,000
• 10 Day Avg. Volume: 14,382,569
• 30 Day Avg. Volume: 14,377,472
• PEG Ratio: -2.81
• Price to Book (P/B): 2.28
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 9.90
• Enterprise Value/Market Cap: 1.50
• Enterprise Value/Revenue: 0.33
• Enterprise Value/Gross Profit: 7.31
• Enterprise Value/Ebitda: 1.55
• 1Y Price Target: $29.07
• Price Target Upside: 25.36% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 16

• Rating: 77 Outperform
• Price Target: $24.00 ▲(3.49%Upside)

Halliburton's strong financial performance and attractive valuation are key strengths, while technical indicators and earnings call reveal some challenges. Corporate events show mixed impacts, but shareholder confidence remains strong.

Positive Factors

International Market Exposure

HAL's business mix has evolved with increased exposure to more resilient international markets, now approximately 60/40 Int'l/NAm compared to 45/55 in 2019.

Shareholder Returns

HAL expects to return at least $1.6B of cash to shareholders which implies a continued $250MM/q pace of share repurchase.

Technological Advancements

HAL reiterated confidence in Zeus IQ; expects it to change the landscape in unconventionals by improving productivity and recovery rates.

Negative Factors

Oil Output and Pricing

Recent headlines surrounding the OPEC+ decision to speed up oil output hikes have put further pressure on the oil macro outlook, with North America activity most at-risk.

Revenue and Margin Pressure

C&P and D&E revenues are expected to decline sequentially, with margins contracting due to lower pricing conditions and activity declines.

Tariffs and Costs

HAL sees tariffs and mobilization costs as factors weighing on 2Q Drilling & Evaluation margins.

Halliburton Business Overview & Revenue Model

Company Description

Halliburton Company is a leading global provider of products and services to the energy industry. Founded in 1919, the company operates in over 70 countries and is headquartered in Houston, Texas. Halliburton serves the upstream oil and gas industry throughout the lifecycle of the reservoir - from locating hydrocarbons and managing geological data, to drilling and formation evaluation, well construction and completion, and optimizing production through the life of the field.

How the Company Makes Money

Halliburton primarily generates revenue through two main business segments: Completion and Production, and Drilling and Evaluation. The Completion and Production segment offers cementing, stimulation, intervention, pressure control, and completion services, as well as manufacturing related equipment. The Drilling and Evaluation segment provides field and reservoir modeling, drilling, evaluation, and well construction solutions that enable customers to model, measure, and optimize their well placement and reservoir output. Halliburton's revenue is largely driven by the demand for these services from the oil and natural gas industry, which is influenced by factors such as global oil prices, exploration and production activities, and technological advancements. Additionally, the company engages in strategic partnerships and collaborations with energy companies to enhance service offerings and expand market reach.

Halliburton Financial Statement Overview

Summary

Halliburton exhibits strong financial performance with solid profitability, a stable balance sheet, and effective cash flow management. The company shows robust revenue growth, efficient cost management, and improved equity metrics, positioning it well in the industry.

Income Statement

Halliburton shows strong profitability with a consistent gross profit margin around 18-19% and an impressive net profit margin improving from negative in 2020 to about 10% in TTM (Trailing-Twelve-Months). Revenue has grown steadily, reflecting robust industry demand. EBIT and EBITDA margins are healthy, indicating effective cost management and operational efficiency.

Balance Sheet

The balance sheet is stable with a manageable debt-to-equity ratio decreasing over time, currently around 0.82 in TTM. Return on equity is strong at approximately 22%, showcasing efficient use of equity. Equity ratio is improving, indicating a solid equity base against total assets.

Cash Flow

Cash flow performance is solid with increasing operating cash flow and a strong free cash flow generation, growing consistently over the years. The operating cash flow to net income ratio near 1.6 in TTM highlights effective cash management. Free cash flow to net income ratio supports ongoing investments and debt servicing capabilities.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
22.56B	22.94B	23.02B	20.30B	15.29B	14.45B
	Gross Profit
4.10B	4.30B	4.36B	3.31B	2.04B	1.54B
	EBIT
3.27B	3.82B	4.08B	2.71B	1.80B	1.36B
	EBITDA
4.32B	4.76B	4.84B	3.54B	2.69B	-1.62B
	Net Income Common Stockholders
2.10B	2.50B	2.64B	1.57B	1.46B	-2.94B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
2.26B	2.62B	2.26B	2.35B	3.04B	2.56B
	Total Assets
24.68B	25.59B	24.68B	23.25B	22.32B	20.68B
	Total Debt
8.81B	8.60B	8.81B	8.94B	10.22B	10.84B
	Net Debt
6.54B	5.98B	6.54B	6.60B	7.17B	8.27B
	Total Liabilities
15.25B	15.04B	15.25B	15.28B	15.59B	15.70B
	Stockholders Equity
9.39B	10.51B	9.39B	7.95B	6.71B	4.97B
Cash Flow		Free Cash Flow
2.34B	2.42B	2.08B	1.23B	1.11B	1.15B
	Operating Cash Flow
3.75B	3.87B	3.46B	2.24B	1.91B	1.88B
	Investing Cash Flow
-2.06B	-1.65B	-1.66B	-967.00M	-534.00M	-486.00M
	Financing Cash Flow
-1.71B	-1.73B	-1.67B	-1.80B	-838.00M	-1.01B

Halliburton Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 23.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

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 23.19 is above the 20-day moving average (MA) of 20.54, above the 50-day MA of 20.56, and below the 200-day MA of 25.79, indicating a neutral trend. The MACD of 0.38 indicates Negative momentum. The RSI at 70.24 is Negative, neither overbought nor oversold. The STOCH value of 94.65 is Negative, 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	82 Outperform	$14.47B	18.22	27.24%	0.58%	14.26%	294.37%
TS	80 Outperform	$19.22B	10.98	10.45%	6.22%	-15.28%	-45.42%
HAL	77 Outperform	$19.94B	9.72	20.99%	2.93%	-2.54%	-17.53%
SLB	76 Outperform	$49.37B	12.32	20.82%	3.14%	5.83%	-2.03%
BKR	74 Outperform	$38.68B	13.33	18.04%	2.36%	6.22%	62.58%
NOV	73 Outperform	$5.13B	9.11	9.29%	2.20%	0.54%	-39.88%
Sector *	58 Neutral	$7.56B	3.50	-4.45%	10.15%	0.79%	-49.51%

Halliburton Corporate Events

Halliburton Shareholders Approve Key Governance Decisions

On May 21, 2025, Halliburton held its Annual Meeting of Shareholders where all director nominees were elected, KPMG LLP was ratified as the independent auditor for 2025, and executive compensation was approved. These decisions reflect shareholder support for the company’s current leadership and financial oversight, potentially impacting its governance and operational strategies.

The most recent analyst rating on (HAL) stock is a Hold with a $37.00 price target. To see the full list of analyst forecasts on Halliburton stock, see the HAL Stock Forecast page.

Halliburton Reports Q1 2025 Income Decline

In the first quarter of 2025, Halliburton reported a net income of $204 million, a decrease from $606 million in the same period in 2024, with revenues falling to $5.4 billion from $5.8 billion. Despite these declines, the company highlighted strong international tender activity and technological advancements, such as the world’s first closed-loop autonomous fracturing operation, which are expected to drive long-term success.