itstargetnews
Halliburton Company (NYSE:HAL) actions are trading down on Wednesday.
Goldman Sachs analyst Neil Mehta reiterated a buy rating on the stock, with a projected price of $36.
Halliburton reported a 2.3% year-over-year drop in fourth-quarter revenue to $5.61 billion. the $5.63 billion consensus is missing. Completion and production revenue fell 4.2% year over year to $3.2 billion, with operating income of $629 million.
The analyst noted that the softer revenue was primarily due to a decline in completion and production, partially offset by drilling and appraisal. Revenue in North America was 7% below analyst estimates, while international revenue was 3% higher.
Read also: Oracle’s AI Moonshot: Why Project Stargate Could Push ORCL Stocks Higher
Mehta writes that free cash flow for the quarter was $1.104 billion, beating the analyst estimate of $930 million and the consensus of $1.045 billion. This pace was attributed to better working capital and lower capital expenditures ($426 million vs. analysts’ estimate of $454 million).
During the quarter, the company repurchased approximately $309 million of common stock, in line with analyst estimates of $310 million.
The analyst is uncertain about 2025 revenue growth by region and seeks clarity on expectations for activity in the international market, particularly in the Middle East.
Mehta has questions about how investors should view long-term margin expansion, especially in an environment of flat activity.
Additionally, the analyst is ambiguous about Halliburton’s future involvement in the energy space, including its partnership with VoltaGrid. Finally, there is uncertainty about how capital returns should be focused in 2025, the analyst points out.
Price action: Shares of HAL traded down 1.51% to $29.09 during the last check on Wednesday.
Read Next:
Photo by Ground Picture on Shutterstock.
|
date |
firm |
action |
from |
A |
|---|---|---|---|---|
|
January 2022 |
Morgan Stanley |
keep |
overweight |
|
|
January 2022 |
JP Morgan |
Updates |
neutral |
overweight |
|
January 2022 |
Morgan Stanley |
Updates |
same weight |
overweight |
See more analyst ratings for HAL
Check out the latest analyst ratings
Next: Transform your business with Benzinga Edge’s unique market trading ideas and tools. Click now to access unique insights that can get you ahead in today’s competitive market.
Get the latest Benzinga stock analysis?
This article Halliburton’s soft revenue falls short of estimates, Goldman Sachs analyst seeks clarity on 2025 activities originally appeared Benzinga.com
© 2025 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
