Halliburton (HAL) closed the most recent trading day at $34.43, moving -2.35% from the previous trading session. This change lagged the S&P 500's daily gain of 0.78%. Elsewhere, the Dow saw an upswing of 0.49%, while the tech-heavy Nasdaq appreciated by 1.29%.
The stock of provider of drilling services to oil and gas operators has risen by 4.1% in the past month, lagging the Oils-Energy sector's gain of 8.04% and overreaching the S&P 500's loss of 1.33%.
The upcoming earnings release of Halliburton will be of great interest to investors. On that day, Halliburton is projected to report earnings of $0.52 per share, which would represent a year-over-year decline of 13.33%. In the meantime, our current consensus estimate forecasts the revenue to be $5.29 billion, indicating a 2.29% decline compared to the corresponding quarter of the prior year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $2.26 per share and a revenue of $21.7 billion, signifying shifts of -6.61% and -2.17%, respectively, from the last year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Halliburton. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been a 0.04% fall in the Zacks Consensus EPS estimate. Halliburton is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Halliburton has a Forward P/E ratio of 15.59 right now. For comparison, its industry has an average Forward P/E of 21.5, which means Halliburton is trading at a discount to the group.
One should further note that HAL currently holds a PEG ratio of 2.1. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Oil and Gas - Field Services industry had an average PEG ratio of 1.69 as trading concluded yesterday.
The Oil and Gas - Field Services industry is part of the Oils-Energy sector. Currently, this industry holds a Zacks Industry Rank of 76, positioning it in the top 32% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Halliburton Company (HAL): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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