SLB (NYSE:SLB) Issues Quarterly Earnings Results

SLB (NYSE:SLB) announced its quarterly earnings data on Friday. The oil and gas company reported $0.64 EPS for the quarter, topping analysts’ consensus estimates of $0.62 by $0.02, FiscalAI reports. SLB had a return on equity of 14.05% and a net margin of 8.53%. The company had revenue of $9.45 billion during the quarter, compared to the consensus estimate of $9.27 billion. During the same quarter last year, the company earned $0.69 EPS. The company’s quarterly revenue was up 5.8% on a year-over-year basis.

Here are the key takeaways from SLB’s conference call:

• Broad-based third-quarter growth lifted revenue 5% sequentially to $9.45 billion, with margin expansion across all four core divisions and adjusted EBITDA margin reaching 21.9%.
• SLB expects fourth-quarter revenue of approximately $10 billion, up 5%–7% sequentially, with adjusted EBITDA margins expanding by 100–150 basis points despite Middle East revenue remaining flat.
• Management sees a durable international upcycle into 2027, driven by deepwater projects, renewed exploration, production-recovery spending, Venezuela, and OneSubsea backlog; SLB expects the global OFS market to grow at a mid-single-digit rate and believes its core divisions will outperform.
• Digital revenue is expected to deliver double-digit growth for the full year with adjusted EBITDA margins above 35%, while Data Center Solutions is accelerating; the Kelvion acquisition is expected to close in the first half of 2027 and expand SLB’s AI-infrastructure offering.
• Third-quarter adjusted EPS fell to $0.64 from $0.69 a year earlier, partly reflecting a $187 million non-cash pension settlement charge and $0.03 per share of ChampionX merger and integration costs.

SLB Price Performance

SLB stock traded up $2.51 on Friday, reaching $52.06. The company’s stock had a trading volume of 4,420,571 shares, compared to its average volume of 15,782,455. The company has a debt-to-equity ratio of 0.41, a quick ratio of 1.05 and a current ratio of 1.44. The company has a market cap of $77.27 billion, a price-to-earnings ratio of 25.15, a PEG ratio of 2.82 and a beta of 0.83. The business’s fifty day moving average price is $52.58 and its 200 day moving average price is $52.15. SLB has a twelve month low of $34.65 and a twelve month high of $60.46.

Wall Street Analyst Weigh In

SLB has been the subject of a number of analyst reports. Piper Sandler cut their price target on shares of SLB from $64.00 to $63.00 and set an “overweight” rating for the company in a research note on Monday. Sanford C. Bernstein reissued an “outperform” rating on shares of SLB in a report on Tuesday, September 1st. Wolfe Research initiated coverage on SLB in a research report on Wednesday, July 8th. They set an “outperform” rating and a $62.00 target price for the company. Capital One Financial lowered their price target on SLB from $64.00 to $63.00 and set an “overweight” rating on the stock in a research report on Tuesday, August 18th. Finally, Raymond James Financial cut their price objective on SLB from $62.00 to $61.00 and set an “outperform” rating for the company in a report on Friday, July 10th. Twenty-four investment analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, SLB presently has an average rating of “Moderate Buy” and a consensus target price of $62.27.

Key Headlines Impacting SLB

Here are the key news stories impacting SLB this week:

• Positive Sentiment: SLB reported adjusted earnings of $0.64 per share, above the $0.62 consensus estimate, marking its fourth consecutive quarterly earnings beat. Revenue rose 5.8% year over year to $9.45 billion, also exceeding expectations. SLB Q3 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management indicated that activity in the Middle East is gradually recovering after a difficult start to the year. Resilient demand in North America and broad-based international growth helped offset weakness related to the Iran conflict. Top oilfield services firm SLB beats quarterly profit estimates
• Positive Sentiment: SLB’s emerging data-center business reportedly increased 76% year over year, adding a potential diversification and growth avenue beyond traditional oilfield services. SLB: Oilfield-Services Giant or AI Stock? Earnings Offer a Clue.
• Positive Sentiment: A new multi-client 3D seismic survey offshore southern Brazil could increase visibility for SLB’s exploration technology and create longer-term opportunities in a prospective frontier basin. SLB Back In Focus Following Brazil Survey
• Neutral Sentiment: Despite the earnings beat, GAAP net income attributable to SLB declined to $735 million from $739 million a year earlier, while the pretax margin narrowed to 10.8% from 11.2%. EPS fell from $0.69 to $0.64 year over year. SLB Announces Third-Quarter 2026 Results
• Negative Sentiment: Some investors may view SLB’s valuation as demanding after its multiyear share-price gains, with one analysis suggesting that contract wins and technology awards may already be reflected in the stock. Geopolitical disruption in the Middle East remains an ongoing operational risk.

SLB Company Profile

SLB, formerly known as Schlumberger, is a global energy technology company that provides products, services and digital solutions to the oil and gas industry. Its offerings support the exploration, development and production of hydrocarbon resources across the life cycle of an oil or gas field.

The company provides reservoir characterization, drilling and well-construction services, well completion and production technologies, and equipment for subsea and surface operations. SLB also develops software, data and automation solutions designed to help energy companies improve operational efficiency, manage reservoirs and reduce emissions.