SLB (SLB, Financial) has announced its intention to exceed its goal of returning over 50% of its free cash flow to shareholders by 2025. The company is poised to distribute at least $4 billion to investors this year through dividends and share repurchases. This strategy reflects SLB's confidence in its capacity to maintain robust cash flow despite economic uncertainties.
The company acknowledges that shifting priorities in the global economy, commodity price volatility, and tariff changes could influence investment in the upstream oil and gas sector. These factors might impact the demand for SLB's products and services. However, SLB remains committed to safeguarding its profit margins and delivering consistent value to both customers and shareholders over the coming years.
With these initiatives, SLB aims to sustain financial stability and ensure substantial returns to its shareholders, even as the industry faces potential challenges. The company is preparing to navigate the unpredictable economic landscape while focusing on strong financial performance and shareholder satisfaction.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 27 analysts, the average target price for Schlumberger Ltd (SLB, Financial) is $50.01 with a high estimate of $63.00 and a low estimate of $38.00. The average target implies an upside of 43.18% from the current price of $34.93. More detailed estimate data can be found on the Schlumberger Ltd (SLB) Forecast page.
Based on the consensus recommendation from 30 brokerage firms, Schlumberger Ltd's (SLB, Financial) average brokerage recommendation is currently 1.9, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Schlumberger Ltd (SLB, Financial) in one year is $60.10, suggesting a upside of 72.06% from the current price of $34.93. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Schlumberger Ltd (SLB) Summary page.
