Schlumberger Limited (SLB)
NYSE:SLB
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Schlumberger
(NYSE:SLB)
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Rating:74Outperform
Price Target:
$58.00
â–²(12.64% Upside)
Action:UpgradedDate:04/09/26
The score is driven primarily by solid financial quality (improving balance sheet and dependable cash generation) and supportive earnings outlook for 2026 (growth with continued shareholder returns). Technicals are broadly positive with an established uptrend, while valuation is fair rather than cheap. Near-term risks include guided Q1 softness, pricing pressure, and disruption-related operational impacts.
Positive Factors
Improved leverage and balance sheet resilience
Schlumberger reduced leverage to roughly 0.32 D/E in 2025 and raised equity, with quarter net debt down materially. A stronger capital structure increases resilience across cycles, supports continued capital allocation (capex, buybacks, dividends) and provides flexibility for investments or acquisitions without stressing liquidity.
Negative Factors
2025 revenue and margin cooling
After several years of recovery, SLB experienced a modest revenue decline and margin compression in 2025. Softer margins and slowing top-line momentum reduce operating leverage and mean that sustainable margin recovery depends on durable E&P spending improvement and pricing stabilization across key international markets.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved leverage and balance sheet resilience
Schlumberger reduced leverage to roughly 0.32 D/E in 2025 and raised equity, with quarter net debt down materially. A stronger capital structure increases resilience across cycles, supports continued capital allocation (capex, buybacks, dividends) and provides flexibility for investments or acquisitions without stressing liquidity.
Read all positive factors
Schlumberger (SLB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$77.94B
Dividend Yield2.98%
Average Volume (3M)19.48M
Price to Earnings (P/E)16.9
Beta (1Y)0.74
Revenue Growth-2.13%
EPS Growth-16.76%
CountryUS
Employees110,000
SectorEnergy
Sector Strength52
IndustryOil & Gas Equipment & Services
Share Statistics
EPS (TTM)0.78
Shares Outstanding1,501,133,300
10 Day Avg. Volume14,509,826
30 Day Avg. Volume19,484,709
Financial Highlights & Ratios
PEG Ratio-0.70
Price to Book (P/B)2.16
Price to Sales (P/S)1.58
P/FCF Ratio11.77
Enterprise Value/Market Cap1.10
Enterprise Value/Revenue2.41
Enterprise Value/Gross Profit13.21
Enterprise Value/Ebitda12.02
Forecast
1Y Price Target
$56.87Price Target Upside10.45% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering16
EPS Forecast (FY)2.74
Revenue Forecast (FY)$36.67B
Schlumberger Business Overview & Revenue Model
Company Description
SLB N.V. engages in the provision of technology for the energy industry worldwide. The company operates through four divisions: Digital & Integration, Reservoir Performance, Well Construction, and Production Systems. The company provides field dev...
How the Company Makes Money
SLB primarily makes money by selling oilfield services and technology to oil and gas operators, typically under project-based contracts, service agreements, and product sales tied to customers’ exploration, development, and production activity. It...
Schlumberger Key Performance Indicators (KPIs)
Any
Revenue by Geography
Breaks down revenue across different regions, revealing where Schlumberger is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Breaks down revenue across different regions, revealing where Schlumberger is strongest and where it may face risk or growth potential due to local economic conditions or market share shifts.
Data provided by:
The Fly
The FlySchlumberger Earnings Call Summary
Earnings Call Date:Jan 23, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 24, 2026
Earnings Call Sentiment Positive
The call presented multiple strong operational and financial highlights — meaningful sequential revenue and margin expansion, robust cash generation, meaningful digital acceleration, material ChampionX production-systems contribution, OneSubsea backlog momentum, and an ambitious data-center growth trajectory. These positives were balanced against discrete near-term headwinds including Q1 seasonality, a carbon-capture goodwill impairment and project loss, pricing pressure in select international markets, and some region-specific weakness (Saudi, Sub-Saharan Africa, Mexico). Management provided constructive 2026 guidance with sustained shareholder returns and a pathway to capture synergies and international recovery, implying confidence in a broader rebound through 2026–2027.Positive Updates
Sequential Revenue Growth and Margin Expansion (Q4 2025)
Q4 revenue of $9.7B, up $817M or 9% sequentially (ex-ChampionX: +6% sequential). Adjusted EBITDA margin 23.9%, up 83 basis points sequentially, demonstrating margin expansion alongside revenue growth.
Negative Updates
Charges and Carbon Capture Impairment
Recorded $0.23 of net charges in Q4, including a $0.11 goodwill impairment related to carbon capture, $0.08 merger/integration charges, $0.07 workforce reductions. Carbon capture project loss negatively impacted margins by ~50 basis points in the quarter.
Read all updates
Q4-2025 Updates
Positive
Negative
Sequential Revenue Growth and Margin Expansion (Q4 2025)
Q4 revenue of $9.7B, up $817M or 9% sequentially (ex-ChampionX: +6% sequential). Adjusted EBITDA margin 23.9%, up 83 basis points sequentially, demonstrating margin expansion alongside revenue growth.
Read all positive updates
Company Guidance
SLB guided 2026 revenue of $36.9–$37.7 billion and adjusted EBITDA of $8.6–$9.1 billion with margins roughly in line with 2025, reflecting an incremental ~$1.8 billion of ChampionX revenue and roughly half of $400 million in total synergies expected by 2026 (≈75% of synergies to production systems); it expects ~ $2.5 billion of capital investments (CapEx + APS + exploration), an effective tax rate of ~20%, and to return >$4 billion to shareholders (a 3.5% dividend increase and a targeted ~$2.4 billion buyback). Near term, Q1 revenue is expected to decline high single digits sequentially with adjusted EBITDA margin down 150–200 bps versus Q4, followed by a rebound and a higher Q4 2026 exit rate versus Q4 2025. Division outlooks: digital to grow at 2025’s pace (digital full‑year 2025 revenue $2.7B, Q4 digital $825M, digital ARR >$1B and 35% margin), production systems to increase (Q4 production systems $4.1B), reservoir performance flattish, well construction modestly down, and data‑center solutions targeting about a $1 billion run rate by year‑end. Recent Q4 metrics anchoring the outlook included $9.7B revenue (+9% sequential), 23.9% adjusted EBITDA margin (+83 bps sequential), $3.0B operating cash flow, $2.3B free cash flow (FY free cash flow $4.1B), and year‑end net debt of $7.4B.Schlumberger Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
78
Positive
Cash Flow
74
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 35.71B | 36.29B | 33.13B | 28.09B | 22.93B |
| Gross Profit | 6.50B | 7.46B | 6.56B | 5.16B | 3.66B |
| EBITDA | 7.15B | 8.07B | 7.54B | 6.43B | 4.62B |
| Net Income | 3.35B | 4.46B | 4.20B | 3.44B | 1.88B |
Balance Sheet | |||||
| Total Assets | 54.87B | 48.94B | 47.96B | 43.13B | 41.51B |
| Cash, Cash Equivalents and Short-Term Investments | 4.21B | 4.67B | 3.99B | 2.89B | 3.14B |
| Total Debt | 12.31B | 12.07B | 11.96B | 12.23B | 14.20B |
| Total Liabilities | 27.58B | 26.59B | 26.60B | 25.15B | 26.23B |
| Stockholders Equity | 26.11B | 21.13B | 20.19B | 17.68B | 15.00B |
Cash Flow | |||||
| Free Cash Flow | 4.79B | 4.47B | 4.54B | 2.00B | 3.47B |
| Operating Cash Flow | 6.49B | 6.60B | 6.64B | 3.72B | 4.65B |
| Investing Cash Flow | -1.41B | -3.15B | -2.78B | -1.39B | -919.00M |
| Financing Cash Flow | -5.64B | -2.77B | -2.51B | -2.38B | -2.82B |
Schlumberger Technical Analysis
Positive
51.49
Price Trends
49.75
Positive
45.32
Positive
39.79
Positive
Market Momentum
0.86
Negative
55.87
Neutral
56.17
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 51.49 is above the 20-day moving average (MA) of 50.28, above the 50-day MA of 49.75, and above the 200-day MA of 39.79, indicating a bullish trend. The MACD of 0.86 indicates Negative momentum. The RSI at 55.87 is Neutral, neither overbought nor oversold. The STOCH value of 56.17 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SLB.
Schlumberger Peers Comparison
UnderperformOutperform
Sector (65)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
80 Outperform | $32.52B | 10.34 | 11.48% | 4.43% | -9.76% | -18.94% | |
79 Outperform | $30.02B | 19.37 | 29.62% | 0.44% | 11.73% | 45.70% | |
74 Outperform | $77.94B | 16.85 | 14.64% | 2.98% | -2.13% | -16.76% | |
69 Neutral | $61.82B | 17.39 | 14.43% | 2.04% | 1.51% | 30.09% | |
66 Neutral | $32.34B | 18.48 | 12.36% | 2.41% | -4.06% | -47.41% | |
65 Neutral | $15.17B | 7.61 | 4.09% | 5.20% | 3.87% | -62.32% | |
58 Neutral | $7.07B | 40.10 | 2.26% | 3.24% | -1.43% | -63.13% |
* Energy Sector Average
SLB
Schlumberger
51.49
18.73
57.18%
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Schlumberger Corporate Events
DividendsFinancial DisclosuresShareholder Meetings
SLB Shareholders Strongly Support 2026 Annual Meeting Proposals
Positive
Apr 8, 2026
SLB Limited held its 2026 Annual General Meeting of Shareholders on April 8, 2026, where investors backed all nine director nominees and gave strong support to the company’s executive pay program, with about 95.2% of votes cast in favor. Sha...
Business Operations and StrategyFinancial Disclosures
Schlumberger Cuts Q1 Outlook Amid Middle East Disruptions
Negative
Mar 11, 2026
On March 11, 2026, SLB reported that it is closely monitoring escalating geopolitical tensions in the Middle East and has activated local and regional crisis response teams, prioritizing employee safety. The company has suspended travel to and thr...
Financial DisclosuresRegulatory Filings and Compliance
Schlumberger issues Form 8-K Regulation FD disclosure update
Neutral
Jan 23, 2026
On January 23, 2026, SLB announced via press release that it had furnished information related to its operations and financial condition in connection with a Form 8-K filing, specifying that this information is provided for reference but will not ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.