logo
  Join        Login             Stock Quote

RBC Capital Lowers EPS Estimate On Schlumberger (NYSE:SLB)

 April 02, 2012 12:37 PM
 


RBC Capital Markets lowered its 2012 EPS estimate by 6 percent on oilfield services company Schlumberger Ltd. (NYSE: SLB), saying NAM headwinds overwhelms tailwinds.

Despite NAM headwinds, there are plenty of reasons to remain constructive, the brokerage wrote. 

SLB has improved its leading GOM market share position by 10 percentage points post moratorium. RBC estimates offshore rig count CAGR over the next two years of 37 percent in US GOM and 10 percent in International markets.

SLB sees positive momentum in seismic and in International/Offshore markets, though this will be offset by the near-term drag from NAM, RBC said.

[Related -Intel Corporation (INTC) and 5 Other Stocks That Could Pop on Earnings This Week]

"We estimate the stock is discounting about 30 percent - 40 percent reduction in consensus EPS estimates - unlikely in our view," the brokerage wrote. "While Street estimates should move lower, we think revisions represent a headwind, but not incremental risk to share price given valuation."

RBC, which has a "Outperform" rating on the stock, reduced 2012 EPS estimate to $4.15 from $4.40.

The Houston, Texas-based Schlumberger supplies technology, information services and integrated project management that optimize reservoir performance for customers working in the oil and gas industry. The company comprises two business segments. Its Oilfield Services segment supplies including, formation evaluation through directional drilling, well cementing and stimulation. The company's WesternGeco segment provides advanced acquisition and data processing services.

[Related -Schlumberger Limited. (SLB): Best-In-Class Giant]

SLB shares, which have been trading between $54.79 and $95.53 over the past year, advanced 1.24 percent to trade at $70.80 on Monday.

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageHealth Net, Inc. (HNT): Potential to Be Huge Winners Says Bank of America

As of this keystroke, Health Net, Inc. (NYSE: HNT) shares are up around 4% on the day. The managed health read on...

article imageHomeAway, Inc. (AWAY) Q2 Earnings Preview: Top and Bottom Line Bullish Surprise?

HomeAway, Inc. (NASDAQ:AWAY) will report its financial results for the second quarter ended June 30, 2014 read on...

article imageAmazon.com, Inc. (AMZN) Q2 Earnings Preview: Missing on the Top and Bottom Lines, Again?

Amazon.com, Inc. (NASDAQ:AMZN) will release its second quarter financial results after market close on read on...

article imageFord Motor Company (F) Q2 Earnings Preview: Light on the Top Line?

Ford Motor Company (NYSE:F) will release its preliminary second quarter 2014 results at 6:30 a.m. EDT read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.