Schlumberger (SLB - Free Report) closed at $40.67 in the latest trading session, marking a +1.24% move from the prior day. This change outpaced the S&P 500's 0.97% gain on the day. At the same time, the Dow added 1.09%, and the tech-heavy Nasdaq gained 1.08%.
Heading into today, shares of the world's largest oilfield services company had lost 4.29% over the past month, lagging the Oils-Energy sector's loss of 2% and the S&P 500's loss of 3.04% in that time.
Investors will be hoping for strength from SLB as it approaches its next earnings release, which is expected to be January 18, 2019. In that report, analysts expect SLB to post earnings of $0.37 per share. This would mark a year-over-year decline of 22.92%. Meanwhile, our latest consensus estimate is calling for revenue of $8.13 billion, down 0.54% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for SLB. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 10.46% lower. SLB currently has a Zacks Rank of #3 (Hold).
Looking at its valuation, SLB is holding a Forward P/E ratio of 21.58. This represents a premium compared to its industry's average Forward P/E of 14.53.
It is also worth noting that SLB currently has a PEG ratio of 3.18. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. SLB's industry had an average PEG ratio of 1.33 as of yesterday's close.
The Oil and Gas - Field Services industry is part of the Oils-Energy sector. This group has a Zacks Industry Rank of 196, putting it in the bottom 23% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.