Halliburton Company (HAL), headquartered in Houston, Texas, is a global leader in providing products and services to the energy industry. With a market cap of $23.9 billion, Halliburton supports the upstream oil and gas sector through innovative solutions that enhance exploration, development, and production efficiency. Known for its commitment to operational excellence and sustainability, Halliburton is set to report its fourth-quarter earnings before the market opens on Wednesday, Jan. 22.
Ahead of the event, analysts expect Halliburton to report a profit of $0.70 per share, down 18.6% from $0.86 in the year-ago quarter. The company surpassed and matched the consensus estimates in three of the last four quarters while missing on one other occasion.
Its adjusted earnings of $0.73 per share for the last quarter missed the consensus estimate by 2.7%. Halliburton's Q3 bottom-line miss was driven by weaker international revenue and softer demand for drilling services.
For fiscal 2024, analysts expect Halliburton to report EPS of $2.99, down 4.5% from $3.13 in fiscal 2023. However, in fiscal 2025, EPS is projected to rebound, increasing 2% year-over-year to reach $3.05.
Halliburton's shares have dropped 23.2% over the past year, significantly lagging behind the S&P 500 Index’s ($SPX) 23.7% gains and the Energy Select Sector SPDR Fund's (XLE) 2.3% returns in the same time frame.
Halliburton's shares gained more than 1% on Jan. 2 as energy stocks rallied, driven by a 1% rise in WTI crude oil prices to a 2.5-month high. Earlier, on Nov. 7, 2024, Halliburton reported its Q3 earnings, causing the stock to fall 3.1%. The company posted revenue of $5.7 billion, missing analysts' expectations of $5.83 billion, marking a 1.8% year-over-year decline. Adjusted operating income totaled $987 million for the quarter.
The consensus opinion on HAL stock is moderately bullish, with an overall “Moderate Buy” rating. Out of the 25 analysts covering the stock, 17 recommend a “Strong Buy,” one advises a “Moderate Buy,” and seven suggest a “Hold.”
HAL's average analyst price target is $36.82, indicating a potential upside of 32.8% from the current levels.
