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Schlumberger: Do Analysts Expect the Stock to Rise?

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Dec. 4 2020, Updated 3:53 p.m. ET

Recommendations for Schlumberger

In this series, we’re discussing analysts’ recommendations for oilfield services stocks. So far, we’ve discussed analysts’ recommendations for Halliburton (HAL), TechnipFMC (FTI), and Baker Hughes (BHGE). Among the 36 analysts surveyed by Reuters covering Schlumberger (SLB), seven rated it as a “strong buy,” 15 rated it as a “buy,” 13 rated it as a “hold,” and one rated it as a “sell.”

The mean target price for Schlumberger provided by the surveyed analysts is $70.9. The target price implies an upside potential of ~50% from Schlumberger’s current price.

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The above graph shows how analysts’ recommendations for Schlumberger have changed over 12 months. Fewer analysts rate the stock as a “buy” now than a year ago. The mean target price has also fallen from $83 in February to $70.9 currently. Despite the drop, the mean target price remains 50% above Schlumberger’s current price. Schlumberger has fallen ~32% year-to-date.

Schlumberger’s moving averages

Currently, Schlumberger is trading well below its 50-day and 200-day moving averages. Schlumberger’s 50-day average fell below its 200-day average in August—a bearish indicator. In the near term, Schlumberger’s 50-day average level might act as a resistance for the stock.

To learn about the company’s third-quarter performance, read International Operations Drive Schlumberger’s Q3 Growth.

Next, we’ll discuss analysts’ recommendations and target prices for National Oilwell Varco (NOV).

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