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What Are Analysts Targeting for SLB, HAL, FTI, and BHI?

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Analysts’ targets

In this final part of our series, we’ll look at Wall Street analysts’ targets for our select oilfield services (or OFS) stocks. Analysts expect all four companies to deliver positive returns over the next 12 months.

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Why Halliburton has the highest ‘buy’ recommendations

Approximately 84% of the analysts tracking Halliburton (HAL) have recommended a “buy” or equivalent. Approximately ~14% recommend a “hold,” and the rest recommended a “sell.” Analysts’ consensus target price for HAL is ~$52. HAL is currently trading near $43. This implies a 21% return over the next 12 months.

Halliburton, now freed from Baker Hughes’ deadweight merger, is one of the analysts’ top picks in the OFS industry.

Recommendations for Schlumberger and Baker Hughes

Approximately 78% of analysts tracking Schlumberger (SLB) have recommended a “buy” or equivalent. Approximately 17% recommend a “hold,” and the rest recommend a “sell.” Analysts’ consensus target price for SLB is ~$92.90. SLB is currently trading at ~$79.60. This implies a 16.6% return over the next 12 months.

Approximately 61% of the analysts tracking Baker Hughes (BHI) have recommended a “buy” or equivalent. Approximately 36% recommend a “hold,” and the rest recommend a “sell.” Analysts’ consensus target price for BHI is $52. BHI is currently trading near $47. This implies a 10% return over the next 12 months.

Why analysts are skeptical about FMC Technologies

Only ~37% of analysts tracking FMC Technologies (FTI) have recommended a “buy” or equivalent, and 60% have recommended a “hold.” Approximately 3% have rated it a “sell.” Analysts’ consensus target price for FTI is near $31. FTI is currently trading near $25. This implies a ~25% return over the next 12 months.

Uncertainty over deepwater projects and a decline in rig count in North America remain FTI’s concerns. FTI makes up 3.5% of the iShares US Oil Equipment & Services (IEZ).

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