Zacks Investment Research cut shares of Halliburton (NYSE:HAL) from a buy rating to a hold rating in a research report sent to investors on Friday morning.
According to Zacks, “Halliburton’s shares have outperformed the Zacks Oil & Gas Field Services industry over the past six months (up +24% vs. +11.7%). This price performance is backed by phenomenal earnings surprise history, with the company having surpassed expectations in all the trailing 13 quarters. The world’s No. 2 oilfield-services provider's consistently strong numbers could be attributed to improved utilization and pricing gains in North America. Of late, Halliburton has also been aided by margin expansion at its drilling and evaluation product lines. However, muted outlook across the international markets is likely to dampen investor confidence. Moreover, with the failure of BHI acquisition, HAL had to book a massive $3.5 billion in breakup charges that stretched its balance sheet. Hence, we advise investors to wait for a better entry point before buying shares in HAL.”
A number of other equities analysts have also recently issued reports on HAL. JPMorgan Chase & Co. decreased their target price on Halliburton from $60.00 to $55.00 and set an overweight rating on the stock in a report on Tuesday, September 12th. ValuEngine upgraded Halliburton from a sell rating to a hold rating in a report on Tuesday, September 26th. Citigroup lifted their target price on Halliburton from $52.00 to $54.00 and gave the stock a buy rating in a report on Thursday, October 5th. TheStreet upgraded Halliburton from a d+ rating to a c- rating in a report on Friday, September 29th. Finally, Cowen set a $50.00 target price on Halliburton and gave the stock a hold rating in a report on Friday, October 6th. One research analyst has rated the stock with a sell rating, four have given a hold rating, twenty-four have given a buy rating and one has issued a strong buy rating to the company. The company presently has a consensus rating of Buy and a consensus price target of $57.36.
Halliburton (NYSE:HAL) last issued its earnings results on Monday, October 23rd. The oilfield services company reported $0.42 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $0.38 by $0.04. The business had revenue of $5.44 billion for the quarter, compared to analysts’ expectations of $5.35 billion. Halliburton had a return on equity of 6.93% and a net margin of 1.13%. The company’s quarterly revenue was up 42.0% on a year-over-year basis. During the same period in the previous year, the firm posted $0.01 EPS. analysts anticipate that Halliburton will post 1.16 earnings per share for the current fiscal year.
The company also recently announced a quarterly dividend, which was paid on Thursday, December 28th. Shareholders of record on Thursday, December 7th were paid a $0.18 dividend. The ex-dividend date was Wednesday, December 6th. This represents a $0.72 dividend on an annualized basis and a yield of 1.38%. Halliburton’s dividend payout ratio (DPR) is currently 300.00%.
In other Halliburton news, EVP Lawrence J. Pope sold 9,100 shares of the business’s stock in a transaction dated Monday, November 27th. The stock was sold at an average price of $41.35, for a total value of $376,285.00. Following the transaction, the executive vice president now owns 180,646 shares in the company, valued at $7,469,712.10. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Robb L. Voyles sold 5,953 shares of the business’s stock in a transaction dated Wednesday, January 3rd. The shares were sold at an average price of $50.00, for a total value of $297,650.00. The disclosure for this sale can be found here. Insiders sold 106,147 shares of company stock worth $4,723,895 in the last 90 days. Corporate insiders own 0.47% of the company’s stock.
Several large investors have recently made changes to their positions in the business. XR Securities LLC acquired a new stake in shares of Halliburton in the fourth quarter worth about $363,000. Prudential Financial Inc. lifted its position in shares of Halliburton by 7.7% in the third quarter. Prudential Financial Inc. now owns 1,337,856 shares of the oilfield services company’s stock worth $61,581,000 after buying an additional 95,330 shares during the last quarter. Parametric Portfolio Associates LLC lifted its position in shares of Halliburton by 13.0% in the third quarter. Parametric Portfolio Associates LLC now owns 2,285,293 shares of the oilfield services company’s stock worth $105,192,000 after buying an additional 262,109 shares during the last quarter. AXA lifted its position in shares of Halliburton by 3.8% in the third quarter. AXA now owns 294,183 shares of the oilfield services company’s stock worth $13,541,000 after buying an additional 10,675 shares during the last quarter. Finally, Steward Partners Investment Advisory LLC acquired a new stake in shares of Halliburton in the third quarter worth about $1,932,000. 79.79% of the stock is owned by institutional investors.
Halliburton Company provides services and products to the upstream oil and natural gas industry throughout the lifecycle of the reservoir, from locating hydrocarbons and managing geological data, to drilling and formation evaluation, well construction and completion, and optimizing production throughout the life of the field.
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