Schlumberger is UNDERVALUED at 43.03 per share with modest projections ahead. Schlumberger appears to be very steady, given 1 month investment horizon.
Schlumberger NV owns Efficiency Ratio (i.e. Sharpe Ratio) of 0.22, which indicates the firm had 0.22% of return per unit of risk over the last month. Our standpoint towards measuring the volatility of a stock is to use all available market data together with stock specific
technical indicators that cannot be
diversified away. By inspecting
Schlumberger NV technical indicators you can presently evaluate if the expected return of 0.86% is justified by implied risk. Please operate Schlumberger Risk Adjusted Performance of 0.2079,
coefficient of variation of 484.3, and Semi Deviation of 2.05 to confirm if our risk estimates are consistent with your expectations.
Typically, a company's
financial statements are the reports that show the
financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Schlumberger income statement, its balance sheet, and the statement of cash flows. Potential Schlumberger investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Schlumberger investors may use each financial statement separately, they are all related. The changes in Schlumberger's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Schlumberger's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our
technical analysis and
fundamental analysis pages.
The goal of Schlumberger
fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Schlumberger performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Schlumberger shares is the value that is considered the true value of the share. If
the intrinsic value of Schlumberger is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Schlumberger. Please read more on our
fundamental analysis page.
How effective is Schlumberger in utilizing its assets?
Schlumberger NV reports assets on its Balance Sheet. It represents the amount of Schlumberger resources that either has an existing economic value or will provide some form of benefits in the future. By effectively utilizing its assets, Schlumberger aims to generate revenue, control costs, drive operational efficiency, and enhance profitability. Optimizing asset utilization helps maximize shareholder value and maintain a competitive position in the Oil & Gas Equipment & Services space. To get a better handle on how balance sheet or income statements item affect Schlumberger volatility, please check the breakdown of all its
fundamentals.
Are Schlumberger Earnings Expected to grow?
The
future earnings power of Schlumberger involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Schlumberger factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Schlumberger
stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Schlumberger
expected earnings.
And What about dividends?
A dividend is the distribution of a portion of Schlumberger earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Schlumberger dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Schlumberger one year expected dividend income is about USD0.6 per share.
The current year's
Dividend Payout Ratio is expected to grow to 0.34, whereas
Dividends Paid is projected to grow to (1.3
B).
Investing in dividend-paying stocks, such as Schlumberger NV is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Schlumberger must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Schlumberger. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.
Schlumberger Gross Profit
Schlumberger Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Schlumberger previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Schlumberger Gross Profit growth over the last 10 years. Please check Schlumberger's
gross profit and other
fundamental indicators for more details.
An Additional Perspective On Schlumberger NV
There are few distinct groups of Schlumberger stakehholders that the SEC considers insiders. Investors usually gain information through their work as corporate directors, officers, or employees. If these individuals share the information with a friend, family, or business partner and the person who receives the information exchanges stock in the company, he or shie is also an insider. Let's take a look at how the ownership of Schlumberger is distributed among investors.
Ownership Allocation
Schlumberger maintains a total of 1.39 Billion outstanding shares. The majority of Schlumberger NV
outstanding shares are owned by
institutional holders. These institutional investors are usually referred to as non-private investors looking to take positions in Schlumberger to benefit from reduced commissions. Consequently, institutions are subject to a different set of regulations than regular investors in Schlumberger NV. Please pay attention to any change in the institutional holdings of Schlumberger NV as this could imply that something significant has changed or about to change at the company. Remember, it does not matter who owns the company or if the company is currently
losing money. If the true value of the company is more than the market pays for it currently, you can still have a good investment opportunity.
| Retail Investors23.68% | | Institutions76.16% |
| Retail Investors | 23.68 |
| Insiders | 0.16 |
| Institutions | 76.16 |
Schlumberger technical analysis suggests possible relapse
The expected short fall is down to -3.12 as of today. Schlumberger NV currently demonstrates below-verage downside deviation. It has Information Ratio of 0.15 and Jensen Alpha of 0.68. However, we do advice investors to further question Schlumberger NV expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.
The Bottom Line
Whereas few other entities within the oil & gas equipment & services industry are still a little expensive, even after the recent corrections, Schlumberger may offer a potential longer-term growth to investors. On the whole, as of the 22nd of January 2021, our latest 30 days advice on the company is
Buy. We believe Schlumberger is currently
undervalued with
below average chance of bankruptcy for the next two years.
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Rifka Kats is a Member of Macroaxis Editorial Board. Rifka writes about retail product and service companies from the perspective of a regular consumer and sophisticated investor at the same time. She is passionate about corporate ethics and equality in the workforce.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Rifka Kats do not own shares of Schlumberger NV. Please refer to our
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