SLB LTD (SLB) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:SLB - AN8068571086 - Common Stock
46.97 USD
+1.07 (+2.33%)
47.2899 USD
+0.32 (+0.68%)
Overall SLB gets a fundamental rating of 5 out of 10. We evaluated SLB against 62 industry peers in the Energy Equipment & Services industry. SLB has an excellent profitability rating, but there are some minor concerns on its financial health. SLB has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year SLB was profitable.
- In the past year SLB had a positive cash flow from operations.
- Of the past 5 years SLB 4 years were profitable.
- Each year in the past 5 years SLB had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of SLB (6.62%) is better than 79.03% of its industry peers.
- SLB has a better Return On Equity (14.22%) than 83.87% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 11.64%, SLB belongs to the top of the industry, outperforming 88.71% of the companies in the same industry.
- Measured over the past 3 years, the Average Return On Invested Capital for SLB is in line with the industry average of 12.77%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.62% | ||
| ROE | 14.22% | ||
| ROIC | 11.64% |
ROA(3y)8.62%
ROA(5y)1.12%
ROE(3y)20.46%
ROE(5y)-2.64%
ROIC(3y)12.63%
ROIC(5y)9.85%
1.3 Margins
- SLB's Profit Margin of 10.34% is amongst the best of the industry. SLB outperforms 83.87% of its industry peers.
- In the last couple of years the Profit Margin of SLB has grown nicely.
- SLB has a better Operating Margin (16.78%) than 77.42% of its industry peers.
- SLB's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 19.75%, SLB is doing worse than 70.97% of the companies in the same industry.
- SLB's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.78% | ||
| PM (TTM) | 10.34% | ||
| GM | 19.75% |
OM growth 3Y13.33%
OM growth 5Y13.92%
PM growth 3Y14.43%
PM growth 5YN/A
GM growth 3Y9.03%
GM growth 5Y10.12%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SLB is creating some value.
- Compared to 1 year ago, SLB has less shares outstanding
- The number of shares outstanding for SLB has been increased compared to 5 years ago.
- Compared to 1 year ago, SLB has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 2.96 indicates that SLB is not a great score, but indicates only limited risk for bankruptcy at the moment.
- SLB's Altman-Z score of 2.96 is fine compared to the rest of the industry. SLB outperforms 75.81% of its industry peers.
- SLB has a debt to FCF ratio of 3.12. This is a good value and a sign of high solvency as SLB would need 3.12 years to pay back of all of its debts.
- The Debt to FCF ratio of SLB (3.12) is better than 66.13% of its industry peers.
- SLB has a Debt/Equity ratio of 0.42. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.42, SLB is in line with its industry, outperforming 54.84% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 3.12 | ||
| Altman-Z | 2.96 |
ROIC/WACC1.41
WACC8.28%
2.3 Liquidity
- A Current Ratio of 1.39 indicates that SLB should not have too much problems paying its short term obligations.
- SLB's Current ratio of 1.39 is on the low side compared to the rest of the industry. SLB is outperformed by 74.19% of its industry peers.
- SLB has a Quick Ratio of 1.01. This is a normal value and indicates that SLB is financially healthy and should not expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 1.01, SLB is doing worse than 74.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
- The earnings per share for SLB have decreased by -8.36% in the last year.
- SLB shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.33% yearly.
- Looking at the last year, SLB shows a decrease in Revenue. The Revenue has decreased by -2.08% in the last year.
- Measured over the past years, SLB shows a small growth in Revenue. The Revenue has been growing by 1.97% on average per year.
EPS 1Y (TTM)-8.36%
EPS 3Y38.63%
EPS 5Y18.33%
EPS Q2Q%-22.47%
Revenue 1Y (TTM)-2.08%
Revenue growth 3Y16.54%
Revenue growth 5Y1.97%
Sales Q2Q%-2.52%
3.2 Future
- Based on estimates for the next years, SLB will show a small growth in Earnings Per Share. The EPS will grow by 0.92% on average per year.
- The Revenue is expected to grow by 2.49% on average over the next years.
EPS Next Y-14.21%
EPS Next 2Y-6.76%
EPS Next 3Y-0.27%
EPS Next 5Y0.92%
Revenue Next Year-1.67%
Revenue Next 2Y1.35%
Revenue Next 3Y1.69%
Revenue Next 5Y2.49%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 15.30 indicates a correct valuation of SLB.
- 82.26% of the companies in the same industry are more expensive than SLB, based on the Price/Earnings ratio.
- SLB's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.33.
- With a Price/Forward Earnings ratio of 15.84, SLB is valued correctly.
- 70.97% of the companies in the same industry are more expensive than SLB, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 24.12. SLB is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.3 | ||
| Fwd PE | 15.84 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SLB indicates a slightly more expensive valuation: SLB is more expensive than 64.52% of the companies listed in the same industry.
- SLB's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.17 | ||
| EV/EBITDA | 9.11 |
4.3 Compensation for Growth
- The decent profitability rating of SLB may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.83
EPS Next 2Y-6.76%
EPS Next 3Y-0.27%
5. Dividend
5.1 Amount
- SLB has a Yearly Dividend Yield of 2.57%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 1.21, SLB pays a better dividend. On top of this SLB pays more dividend than 82.26% of the companies listed in the same industry.
- SLB's Dividend Yield is a higher than the S&P500 average which is at 1.91.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.57% |
5.2 History
- The dividend of SLB decreases each year by -11.53%.
- SLB has paid a dividend for at least 10 years, which is a reliable track record.
- SLB has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-11.53%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
- 42.94% of the earnings are spent on dividend by SLB. This is a bit on the high side, but may be sustainable.
DP42.94%
EPS Next 2Y-6.76%
EPS Next 3Y-0.27%
46.97
+1.07 (+2.33%)
Chartmill FA Rating
GICS SectorEnergy
GICS IndustryGroupEnergy
GICS IndustryEnergy Equipment & Services
Earnings (Last)10-17 2025-10-17/bmo
Earnings (Next)01-23 2026-01-23/amc
Inst Owners85.4%
Inst Owner Change0.37%
Ins Owners0.17%
Ins Owner Change-2.21%
Market Cap70.17B
Revenue(TTM)35.25B
Net Income(TTM)3.65B
Analysts83.64
Price Target46.71 (-0.55%)
Short Float %2.77%
Short Ratio2.75
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.57% |
Yearly Dividend1.08
Dividend Growth(5Y)-11.53%
DP42.94%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.25%
Min EPS beat(2)0.83%
Max EPS beat(2)3.67%
EPS beat(4)3
Avg EPS beat(4)0.64%
Min EPS beat(4)-3.55%
Max EPS beat(4)3.67%
EPS beat(8)5
Avg EPS beat(8)0.71%
EPS beat(12)9
Avg EPS beat(12)1.17%
EPS beat(16)13
Avg EPS beat(16)3.68%
Revenue beat(2)0
Avg Revenue beat(2)-0.57%
Min Revenue beat(2)-0.97%
Max Revenue beat(2)-0.18%
Revenue beat(4)1
Avg Revenue beat(4)-0.81%
Min Revenue beat(4)-2.2%
Max Revenue beat(4)0.1%
Revenue beat(8)1
Avg Revenue beat(8)-0.88%
Revenue beat(12)2
Avg Revenue beat(12)-0.65%
Revenue beat(16)6
Avg Revenue beat(16)0.3%
PT rev (1m)1.95%
PT rev (3m)1.3%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.15%
EPS NY rev (1m)0.1%
EPS NY rev (3m)0.42%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)0.54%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)0.67%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.3 | ||
| Fwd PE | 15.84 | ||
| P/S | 1.99 | ||
| P/FCF | 17.17 | ||
| P/OCF | 11.95 | ||
| P/B | 2.74 | ||
| P/tB | 19.83 | ||
| EV/EBITDA | 9.11 |
EPS(TTM)3.07
EY6.54%
EPS(NY)2.96
Fwd EY6.31%
FCF(TTM)2.74
FCFY5.82%
OCF(TTM)3.93
OCFY8.37%
SpS23.59
BVpS17.16
TBVpS2.37
PEG (NY)N/A
PEG (5Y)0.83
Graham Number34.43
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.62% | ||
| ROE | 14.22% | ||
| ROCE | 14.4% | ||
| ROIC | 11.64% | ||
| ROICexc | 12.76% | ||
| ROICexgc | 31.09% | ||
| OM | 16.78% | ||
| PM (TTM) | 10.34% | ||
| GM | 19.75% | ||
| FCFM | 11.6% |
ROA(3y)8.62%
ROA(5y)1.12%
ROE(3y)20.46%
ROE(5y)-2.64%
ROIC(3y)12.63%
ROIC(5y)9.85%
ROICexc(3y)14.72%
ROICexc(5y)11.35%
ROICexgc(3y)35.53%
ROICexgc(5y)27.24%
ROCE(3y)15.63%
ROCE(5y)12.19%
ROICexgc growth 3Y25.24%
ROICexgc growth 5Y22.3%
ROICexc growth 3Y27.06%
ROICexc growth 5Y22.52%
OM growth 3Y13.33%
OM growth 5Y13.92%
PM growth 3Y14.43%
PM growth 5YN/A
GM growth 3Y9.03%
GM growth 5Y10.12%
F-Score5
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.42 | ||
| Debt/FCF | 3.12 | ||
| Debt/EBITDA | 1.28 | ||
| Cap/Depr | 69.83% | ||
| Cap/Sales | 5.07% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 69.33% | ||
| Profit Quality | 112.13% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z | 2.96 |
F-Score5
WACC8.28%
ROIC/WACC1.41
Cap/Depr(3y)78.63%
Cap/Depr(5y)66.64%
Cap/Sales(3y)5.64%
Cap/Sales(5y)5.33%
Profit Quality(3y)92.52%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-8.36%
EPS 3Y38.63%
EPS 5Y18.33%
EPS Q2Q%-22.47%
EPS Next Y-14.21%
EPS Next 2Y-6.76%
EPS Next 3Y-0.27%
EPS Next 5Y0.92%
Revenue 1Y (TTM)-2.08%
Revenue growth 3Y16.54%
Revenue growth 5Y1.97%
Sales Q2Q%-2.52%
Revenue Next Year-1.67%
Revenue Next 2Y1.35%
Revenue Next 3Y1.69%
Revenue Next 5Y2.49%
EBIT growth 1Y-4.67%
EBIT growth 3Y32.07%
EBIT growth 5Y16.16%
EBIT Next Year28.44%
EBIT Next 3Y12.91%
EBIT Next 5Y8.32%
FCF growth 1Y23.4%
FCF growth 3Y9.99%
FCF growth 5Y4.73%
OCF growth 1Y12.34%
OCF growth 3Y12.39%
OCF growth 5Y3.98%
SLB LTD / SLB FAQ
What is the ChartMill fundamental rating of SLB LTD (SLB) stock?
ChartMill assigns a fundamental rating of 5 / 10 to SLB.
What is the valuation status for SLB stock?
ChartMill assigns a valuation rating of 4 / 10 to SLB LTD (SLB). This can be considered as Fairly Valued.
What is the profitability of SLB stock?
SLB LTD (SLB) has a profitability rating of 7 / 10.
What is the expected EPS growth for SLB LTD (SLB) stock?
The Earnings per Share (EPS) of SLB LTD (SLB) is expected to decline by -14.21% in the next year.
Can you provide the dividend sustainability for SLB stock?
The dividend rating of SLB LTD (SLB) is 5 / 10 and the dividend payout ratio is 42.94%.