HALLIBURTON CO (HAL.DE) Stock Fundamental Analysis
Europe - FRA:HAL - US4062161017 - Common Stock
20.74 EUR
-0.34 (-1.61%)
HAL gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 40 industry peers in the Energy Equipment & Services industry. HAL scores excellent on profitability, but there are some minor concerns on its financial health. HAL is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year HAL was profitable.
HAL had a positive operating cash flow in the past year.
HAL had positive earnings in 4 of the past 5 years.
Each year in the past 5 years HAL had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 7.34%, HAL is doing good in the industry, outperforming 70.00% of the companies in the same industry.
HAL has a better Return On Equity (17.72%) than 67.50% of its industry peers.
The Return On Invested Capital of HAL (13.79%) is better than 72.50% of its industry peers.
HAL had an Average Return On Invested Capital over the past 3 years of 15.36%. This is above the industry average of 11.42%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.34% | ||
| ROE | 17.72% | ||
| ROIC | 13.79% |
ROA(3y)9.07%
ROA(5y)3.9%
ROE(3y)23.89%
ROE(5y)6.83%
ROIC(3y)15.36%
ROIC(5y)12.11%
1.3 Margins
HAL has a Profit Margin of 8.37%. This is comparable to the rest of the industry: HAL outperforms 55.00% of its industry peers.
In the last couple of years the Profit Margin of HAL has grown nicely.
HAL has a better Operating Margin (15.44%) than 62.50% of its industry peers.
In the last couple of years the Operating Margin of HAL has grown nicely.
HAL's Gross Margin of 17.06% is in line compared to the rest of the industry. HAL outperforms 45.00% of its industry peers.
HAL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.44% | ||
| PM (TTM) | 8.37% | ||
| GM | 17.06% |
OM growth 3Y13.15%
OM growth 5Y13.32%
PM growth 3Y4.6%
PM growth 5YN/A
GM growth 3Y12.46%
GM growth 5Y12.95%
2. Health
2.1 Basic Checks
HAL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
HAL has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, HAL has less shares outstanding
HAL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.26 indicates that HAL is not in any danger for bankruptcy at the moment.
HAL has a Altman-Z score of 3.26. This is amongst the best in the industry. HAL outperforms 87.50% of its industry peers.
HAL has a debt to FCF ratio of 3.51. This is a good value and a sign of high solvency as HAL would need 3.51 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.51, HAL is in line with its industry, outperforming 57.50% of the companies in the same industry.
HAL has a Debt/Equity ratio of 0.68. This is a neutral value indicating HAL is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.68, HAL perfoms like the industry average, outperforming 45.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 3.51 | ||
| Altman-Z | 3.26 |
ROIC/WACC1.57
WACC8.8%
2.3 Liquidity
A Current Ratio of 2.00 indicates that HAL should not have too much problems paying its short term obligations.
HAL has a better Current ratio (2.00) than 67.50% of its industry peers.
A Quick Ratio of 1.47 indicates that HAL should not have too much problems paying its short term obligations.
HAL's Quick ratio of 1.47 is in line compared to the rest of the industry. HAL outperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
HAL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -19.63%.
Measured over the past years, HAL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.25% on average per year.
HAL shows a decrease in Revenue. In the last year, the revenue decreased by -4.08%.
Measured over the past years, HAL shows a small growth in Revenue. The Revenue has been growing by 0.47% on average per year.
EPS 1Y (TTM)-19.63%
EPS 3Y39.99%
EPS 5Y19.25%
EPS Q2Q%-31.25%
Revenue 1Y (TTM)-4.08%
Revenue growth 3Y14.47%
Revenue growth 5Y0.47%
Sales Q2Q%-5.54%
3.2 Future
HAL is expected to show a decrease in Earnings Per Share. In the coming years, the EPS will decrease by -1.72% yearly.
Based on estimates for the next years, HAL will show a decrease in Revenue. The Revenue will decrease by -0.28% on average per year.
EPS Next Y-28.34%
EPS Next 2Y-15.75%
EPS Next 3Y-4.76%
EPS Next 5Y-1.72%
Revenue Next Year-6.49%
Revenue Next 2Y-3.94%
Revenue Next 3Y-1.32%
Revenue Next 5Y-0.28%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.47, the valuation of HAL can be described as reasonable.
72.50% of the companies in the same industry are more expensive than HAL, based on the Price/Earnings ratio.
HAL is valuated cheaply when we compare the Price/Earnings ratio to 27.86, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.49, which indicates a very decent valuation of HAL.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HAL indicates a slightly more expensive valuation: HAL is more expensive than 65.00% of the companies listed in the same industry.
HAL is valuated cheaply when we compare the Price/Forward Earnings ratio to 23.32, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.47 | ||
| Fwd PE | 11.49 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of HAL is on the same level as its industry peers.
HAL's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.67 | ||
| EV/EBITDA | 5.87 |
4.3 Compensation for Growth
The decent profitability rating of HAL may justify a higher PE ratio.
A cheap valuation may be justified as HAL's earnings are expected to decrease with -4.76% in the coming years.
PEG (NY)N/A
PEG (5Y)0.49
EPS Next 2Y-15.75%
EPS Next 3Y-4.76%
5. Dividend
5.1 Amount
HAL has a Yearly Dividend Yield of 2.79%.
Compared to an average industry Dividend Yield of 6.17, HAL has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, HAL has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
5.2 History
The dividend of HAL decreases each year by -1.06%.
Dividend Growth(5Y)-1.06%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
31.69% of the earnings are spent on dividend by HAL. This is a low number and sustainable payout ratio.
The Dividend Rate of HAL has been decling, while earnings will also be declining. This means the current dividend is most likely not sustainable.
DP31.69%
EPS Next 2Y-15.75%
EPS Next 3Y-4.76%
FRA:HAL (10/3/2025, 7:00:00 PM)
20.74
-0.34 (-1.61%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)
Earnings (Next)
Inst Owners92.72%
Inst Owner ChangeN/A
Ins Owners0.45%
Ins Owner ChangeN/A
Market Cap17.68B
Analysts78.67
Price Target23.34 (12.54%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.79% |
Yearly Dividend0.58
Dividend Growth(5Y)-1.06%
DP31.69%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.15%
Min EPS beat(2)-1.38%
Max EPS beat(2)-0.93%
EPS beat(4)0
Avg EPS beat(4)-1.64%
Min EPS beat(4)-4.16%
Max EPS beat(4)-0.1%
EPS beat(8)3
Avg EPS beat(8)0.28%
EPS beat(12)7
Avg EPS beat(12)1.91%
EPS beat(16)11
Avg EPS beat(16)2.35%
Revenue beat(2)2
Avg Revenue beat(2)1.15%
Min Revenue beat(2)0.79%
Max Revenue beat(2)1.52%
Revenue beat(4)2
Avg Revenue beat(4)-0.54%
Min Revenue beat(4)-3.21%
Max Revenue beat(4)1.52%
Revenue beat(8)3
Avg Revenue beat(8)-0.91%
Revenue beat(12)4
Avg Revenue beat(12)-0.72%
Revenue beat(16)7
Avg Revenue beat(16)0.02%
PT rev (1m)0.6%
PT rev (3m)-11.6%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-16.24%
EPS NY rev (1m)-0.18%
EPS NY rev (3m)-10.21%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.4%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.36%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.47 | ||
| Fwd PE | 11.49 | ||
| P/S | 0.93 | ||
| P/FCF | 9.67 | ||
| P/OCF | 5.82 | ||
| P/B | 1.98 | ||
| P/tB | 2.76 | ||
| EV/EBITDA | 5.87 |
EPS(TTM)2.19
EY10.56%
EPS(NY)1.81
Fwd EY8.71%
FCF(TTM)2.14
FCFY10.34%
OCF(TTM)3.56
OCFY17.18%
SpS22.19
BVpS10.48
TBVpS7.52
PEG (NY)N/A
PEG (5Y)0.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.34% | ||
| ROE | 17.72% | ||
| ROCE | 17.58% | ||
| ROIC | 13.79% | ||
| ROICexc | 15.4% | ||
| ROICexgc | 18.54% | ||
| OM | 15.44% | ||
| PM (TTM) | 8.37% | ||
| GM | 17.06% | ||
| FCFM | 9.67% |
ROA(3y)9.07%
ROA(5y)3.9%
ROE(3y)23.89%
ROE(5y)6.83%
ROIC(3y)15.36%
ROIC(5y)12.11%
ROICexc(3y)17.61%
ROICexc(5y)14.03%
ROICexgc(3y)21.28%
ROICexgc(5y)17.08%
ROCE(3y)19.57%
ROCE(5y)15.43%
ROICexcg growth 3Y23.24%
ROICexcg growth 5Y15.94%
ROICexc growth 3Y24.36%
ROICexc growth 5Y15.57%
OM growth 3Y13.15%
OM growth 5Y13.32%
PM growth 3Y4.6%
PM growth 5YN/A
GM growth 3Y12.46%
GM growth 5Y12.95%
F-Score5
Asset Turnover0.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.68 | ||
| Debt/FCF | 3.51 | ||
| Debt/EBITDA | 1.58 | ||
| Cap/Depr | 128.48% | ||
| Cap/Sales | 6.39% | ||
| Interest Coverage | 7.86 | ||
| Cash Conversion | 78.65% | ||
| Profit Quality | 115.41% | ||
| Current Ratio | 2 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 3.26 |
F-Score5
WACC8.8%
ROIC/WACC1.57
Cap/Depr(3y)126.46%
Cap/Depr(5y)107.31%
Cap/Sales(3y)5.75%
Cap/Sales(5y)5.5%
Profit Quality(3y)84.67%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-19.63%
EPS 3Y39.99%
EPS 5Y19.25%
EPS Q2Q%-31.25%
EPS Next Y-28.34%
EPS Next 2Y-15.75%
EPS Next 3Y-4.76%
EPS Next 5Y-1.72%
Revenue 1Y (TTM)-4.08%
Revenue growth 3Y14.47%
Revenue growth 5Y0.47%
Sales Q2Q%-5.54%
Revenue Next Year-6.49%
Revenue Next 2Y-3.94%
Revenue Next 3Y-1.32%
Revenue Next 5Y-0.28%
EBIT growth 1Y-16.55%
EBIT growth 3Y29.53%
EBIT growth 5Y13.86%
EBIT Next Year1.25%
EBIT Next 3Y3.23%
EBIT Next 5Y2.12%
FCF growth 1Y12.04%
FCF growth 3Y29.64%
FCF growth 5Y21.5%
OCF growth 1Y15.53%
OCF growth 3Y26.46%
OCF growth 5Y9.59%