In the latest trading session, Schlumberger (SLB) closed at $41.02, marking a -1.01% move from the previous day. This move lagged the S&P 500's daily loss of 0.02%. Meanwhile, the Dow gained 0.29%, and the Nasdaq, a tech-heavy index, lost 0.39%.
Prior to today's trading, shares of the world's largest oilfield services company had lost 13.32% over the past month. This has lagged the Oils-Energy sector's loss of 5.66% and the S&P 500's loss of 2.56% in that time.
Investors will be hoping for strength from SLB as it approaches its next earnings release, which is expected to be January 18, 2019. The company is expected to report EPS of $0.39, down 18.75% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $8.23 billion, up 0.62% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $1.66 per share and revenue of $32.88 billion. These totals would mark changes of +10.67% and +8.03%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for SLB. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.92% lower. SLB is currently a Zacks Rank #3 (Hold).
Investors should also note SLB's current valuation metrics, including its Forward P/E ratio of 25. For comparison, its industry has an average Forward P/E of 17.33, which means SLB is trading at a premium to the group.
Investors should also note that SLB has a PEG ratio of 4.17 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. SLB's industry had an average PEG ratio of 2.12 as of yesterday's close.
The Oil and Gas - Field Services industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 171, putting it in the bottom 33% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.