U.S. Markets open in 7 hrs 38 mins
  • S&P Futures

    -10.25 (-0.31%)
  • Dow Futures

    -87.00 (-0.32%)
  • Nasdaq Futures

    -53.00 (-0.48%)
  • Russell 2000 Futures

    -5.10 (-0.34%)
  • Crude Oil

    -0.09 (-0.23%)
  • Gold

    +4.30 (+0.23%)
  • Silver

    +0.23 (+0.93%)

    -0.0012 (-0.1058%)
  • 10-Yr Bond

    0.0000 (0.00%)
  • Vix

    +1.95 (+7.55%)

    -0.0014 (-0.1076%)

    +36.24 (+0.35%)
  • CMC Crypto 200

    -13.02 (-5.52%)
  • FTSE 100

    -202.76 (-3.38%)
  • Nikkei 225

    +40.90 (+0.18%)

Halliburton (HAL) Stock Sinks As Market Gains: What You Should Know

Zacks Equity Research

In the latest trading session, Halliburton (HAL) closed at $16.15, marking a -0.86% move from the previous day. This change lagged the S&P 500's 0.36% gain on the day. Meanwhile, the Dow lost 0.21%, and the Nasdaq, a tech-heavy index, added 0.76%.

Coming into today, shares of the provider of drilling services to oil and gas operators had gained 9.33% in the past month. In that same time, the Oils-Energy sector gained 0.84%, while the S&P 500 gained 6.9%.

HAL will be looking to display strength as it nears its next earnings release, which is expected to be October 19, 2020. The company is expected to report EPS of $0.08, down 76.47% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $3.11 billion, down 44% from the prior-year quarter.

HAL's full-year Zacks Consensus Estimates are calling for earnings of $0.54 per share and revenue of $14.45 billion. These results would represent year-over-year changes of -56.45% and -35.53%, respectively.

Any recent changes to analyst estimates for HAL should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. HAL currently has a Zacks Rank of #2 (Buy).

Investors should also note HAL's current valuation metrics, including its Forward P/E ratio of 30.07. Its industry sports an average Forward P/E of 30.07, so we one might conclude that HAL is trading at a no noticeable deviation comparatively.

Meanwhile, HAL's PEG ratio is currently 4.6. 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. The Oil and Gas - Field Services was holding an average PEG ratio of 4.88 at yesterday's closing price.

The Oil and Gas - Field Services industry is part of the Oils-Energy sector. This industry currently has a Zacks Industry Rank of 83, which puts it in the top 33% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Halliburton Company (HAL) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research