Schlumberger (SLB) AI Stock Analysis

• Market Cap: $53.24B
• Dividend Yield: 3.16%
• Average Volume (3M): 18.41M
• Price to Earnings (P/E): 12.2
• Beta (1Y): 0.77
• Revenue Growth: 0.94%
• EPS Growth: -4.63%
• Country: US
• Employees: 110,000
• Sector: Energy
• Sector Strength: 51
• Industry: Oil & Gas Equipment & Services
• EPS (TTM): 0.74
• Shares Outstanding: 1,500,867,600
• 10 Day Avg. Volume: 24,887,928
• 30 Day Avg. Volume: 18,413,602
• PEG Ratio: -0.46
• Price to Book (P/B): 1.71
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 11.13
• Enterprise Value/Market Cap: 1.19
• Enterprise Value/Revenue: 0.46
• Enterprise Value/Gross Profit: 7.30
• Enterprise Value/Ebitda: 2.13
• 1Y Price Target: $46.00
• Price Target Upside: 29.69% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 17

• Rating: 74 Outperform
• Price Target: $39.00 ▲(9.95%Upside)

Schlumberger's robust financial performance and strategic acquisition of ChampionX are the primary drivers of its strong stock score. The financial health is underpinned by solid revenue and profit growth, while the acquisition is expected to yield significant synergies. However, mixed technical indicators and regional market challenges temper the overall outlook, warranting cautious optimism moving forward.

Positive Factors

Growth Opportunities

SLB remains a clear technology leader in the sector with a significant long-term growth opportunity through its Energy Transition Technology portfolio.

Market Resilience

SLB's diverse portfolio, including US offshore and digital solutions, provides resilience against trends affecting North American onshore markets.

Strategic Positioning

The acquisition of ChampionX enhances Schlumberger's production-focused portfolio, adding stability and potential for the company's shares to outperform.

Negative Factors

Financial Performance

SLB's free cash flow was 33% below consensus due to a higher working capital build.

Market Conditions

The US land activity and pricing outlook is under pressure, which could affect Schlumberger's business.

Market Guidance

There was confusion and disappointment over 2H guidance, with many interpreting the outlook as reflecting a decline rather than the expected growth.

Schlumberger Business Overview & Revenue Model

Company Description

Schlumberger Limited, known as SLB, is a leading global technology company that provides a comprehensive range of services and products to the energy industry. Operating in over 120 countries, SLB offers integrated solutions for reservoir characterization, drilling, production, and processing. The company's expertise spans across various sectors, including oil and gas exploration, offshore and onshore drilling, and energy management, aiming to enhance efficiency and sustainability throughout the energy lifecycle.

How the Company Makes Money

Schlumberger generates revenue primarily through its extensive portfolio of oilfield services and technology-driven solutions. The company's revenue streams are categorized into four main divisions: Digital & Integration, Reservoir Performance, Well Construction, and Production Systems. These divisions offer a range of products and services such as software solutions, subsurface evaluation, drilling technologies, completion and production optimization, and equipment for oil and gas extraction and processing. Schlumberger collaborates with major energy companies around the world, establishing long-term partnerships that often involve large-scale projects. Additionally, SLB focuses on digital transformation and sustainability, investing in technologies and practices that improve operational efficiencies and reduce environmental impact, which can also drive revenue growth through innovative service offerings.

Schlumberger Financial Statement Overview

Summary

Schlumberger's financial statements demonstrate strong revenue and profit growth, effective cost management, and solid cash flow generation. While the increase in debt levels warrants monitoring, the overall financial health of the company is robust, supported by strong margins and effective capital utilization.

Income Statement

The company has shown strong performance with a consistent increase in total revenue from $22.93B in 2021 to $36.08B in the TTM period ending March 2025. The gross profit margin is robust at 20.5% TTM, indicating efficient cost management. The net profit margin is healthy at 11.6% TTM, showing solid profitability. Revenue growth has been impressive at 28.8% from 2022 to 2023 and 9.9% from 2023 to 2024. EBIT and EBITDA margins are also strong, reflecting efficient operations.

Balance Sheet

The balance sheet shows a stable financial structure with a debt-to-equity ratio of 0.49 TTM, indicating manageable leverage. Return on equity is strong at 14.5% TTM, reflecting effective use of shareholder funds. The equity ratio is reasonable at 65.9% TTM, suggesting a solid equity base. However, the slight increase in total debt from 2024 to TTM could be a potential risk if not managed properly.

Cash Flow

Cash flow performance is robust with a significant operating cash flow of $6.94B TTM. The free cash flow has shown steady growth, with a free cash flow growth rate of 6.1% from 2023 to 2024. The operating cash flow to net income ratio is strong at 1.65 TTM, indicating efficient cash generation relative to earnings. Additionally, the free cash flow to net income ratio of 1.13 TTM highlights strong cash conversion.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	36.29B	33.13B	28.09B	22.93B	23.60B
Gross Profit	7.46B	6.56B	5.16B	3.66B	2.60B
EBITDA	8.07B	7.54B	6.43B	4.62B	-8.76B
Net Income	4.46B	4.20B	3.44B	1.88B	-10.49B
Balance Sheet
Total Assets	48.94B	47.96B	43.13B	41.51B	42.57B
Cash, Cash Equivalents and Short-Term Investments	4.67B	3.99B	2.89B	3.14B	3.01B
Total Debt	12.07B	11.96B	12.23B	14.20B	17.89B
Total Liabilities	26.59B	26.60B	25.15B	26.23B	30.08B
Stockholders Equity	21.13B	20.19B	17.68B	15.29B	12.07B
Cash Flow
Free Cash Flow	4.47B	4.54B	2.00B	3.47B	1.73B
Operating Cash Flow	6.60B	6.64B	3.72B	4.65B	2.94B
Investing Cash Flow	-3.15B	-2.78B	-1.39B	-919.00M	-2.35B
Financing Cash Flow	-2.77B	-2.51B	-2.38B	-2.82B	-873.00M

Schlumberger Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 35.47
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SLB, the sentiment is Positive. The current price of 35.47 is above the 20-day moving average (MA) of 35.19, above the 50-day MA of 34.71, and below the 200-day MA of 38.33, indicating a neutral trend. The MACD of <0.01 indicates Positive momentum. The RSI at 53.24 is Neutral, neither overbought nor oversold. The STOCH value of 55.76 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SLB.

Schlumberger Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FTI	82 Outperform	$14.98B	17.26	29.27%	0.55%	12.15%	91.88%
TS	81 Outperform	$20.40B	11.64	10.43%	5.78%	-15.42%	-45.54%
HAL	76 Outperform	$19.30B	10.50	18.16%	3.03%	-4.08%	-29.26%
BKR	75 Outperform	$45.40B	15.07	18.32%	1.91%	2.13%	54.69%
SLB	74 Outperform	$53.24B	12.15	19.78%	3.16%	0.94%	-4.63%
NOV	74 Outperform	$5.25B	9.32	9.29%	3.65%	0.54%	-39.88%
Sector *	52 Neutral	C$2.95B	-1.61	-3.48%	6.56%	3.05%	-49.39%

Schlumberger Corporate Events

Schlumberger Releases Financial Update via Form 8-K

On July 18, 2025, SLB issued a press release related to its operations and financial condition, which was furnished with Form 8-K. The information provided in the release is not considered filed for purposes of the Exchange Act or incorporated by reference in any Securities Act filings unless explicitly stated.

The most recent analyst rating on (SLB) stock is a Buy with a $67.00 price target. To see the full list of analyst forecasts on Schlumberger stock, see the SLB Stock Forecast page.

Schlumberger Completes Acquisition of ChampionX Corporation

On July 16, 2025, Schlumberger Limited completed the acquisition of ChampionX Corporation in an all-stock transaction. This strategic merger positions SLB to enhance its market presence by integrating ChampionX’s capabilities, potentially leading to improved operational efficiencies and expanded service offerings for stakeholders.

The most recent analyst rating on (SLB) stock is a Buy with a $69.00 price target. To see the full list of analyst forecasts on Schlumberger stock, see the SLB Stock Forecast page.

Schlumberger Receives Final Approval for ChampionX Merger

On April 2, 2024, Schlumberger Limited entered into a Merger Agreement to acquire ChampionX Corporation in an all-stock transaction. The U.K. Competition and Markets Authority cleared the merger on July 15, 2025, marking the final regulatory approval needed. The merger is expected to be completed on July 16, 2025, subject to remaining conditions, and will result in ChampionX becoming a wholly owned subsidiary of Schlumberger. This acquisition is anticipated to enhance Schlumberger’s market position and operational capabilities in the oilfield services sector.

The most recent analyst rating on (SLB) stock is a Buy with a $69.00 price target. To see the full list of analyst forecasts on Schlumberger stock, see the SLB Stock Forecast page.

SLB CEO Highlights Q2 Operational Challenges at Conference

On June 24, 2025, SLB CEO Olivier Le Peuch addressed the J.P. Morgan Energy, Power & Renewables Conference, highlighting the company’s operational challenges in the second quarter of 2025. Despite uncertainties in energy markets, including geopolitical tensions and tariff negotiations, SLB experienced a decline in activity in Saudi Arabia and Latin America, offset by growth in the Middle East and North Africa. The company anticipates flat revenue and EBITDA for the quarter, with the Well Construction division facing margin pressures. SLB remains committed to returning $4 billion to shareholders in 2025.

The most recent analyst rating on (SLB) stock is a Buy with a $69.00 price target. To see the full list of analyst forecasts on Schlumberger stock, see the SLB Stock Forecast page.