Halliburton’s stock price compared to the industry
Halliburton’s (HAL) one-week stock price was 2.5% higher until January 12, 2018. Since January 5, 2018, the Energy Select Sector SPDR ETF (XLE) has increased 3.3%. XLE represents the broader energy industry ETF. The VanEck Vectors Oil Services ETF (OIH) saw 4.6% one-week returns. So, Halliburton has underperformed XLE and OIH in the past week. The returns from the Dow Jones Industrial Average (DJIA-INDEX) were 2% in the past week until January 12, 2018. Since January 5, 2018, the SPDR S&P 500 ETF (SPY) has underperformed Halliburton. SPY has produced 1.6% returns during this period.
Crude oil price and rigs
On January 12, 2018, the West Texas Intermediate crude oil price was 4.7% higher than the previous week. Led by crude oil price’s strength, the US rig count rose by 15 in the past week until January 12, 2018. To learn more, read Is the Crude Oil Price Rally Sustainable in 2018? and Top 5 OFS Companies Based on 2017 Returns.
Halliburton’s outlook in 4Q17
- Halliburton’s D&E (drilling and evaluation) division’s revenue might increase by low-single digits in international operations.
- In the D&E division, North America revenue might change in line with the average land rig count.
- In the C&P (completion and production) division, North America revenue might outperform the average change in the US land rig count.
- In the C&P division, international revenue might increase by low-single digits.
In this series
In this series, we’ll look at the short interest in Halliburton and its correlation with crude oil. Next, we’ll discuss Halliburton’s stock price forecast.