Halliburton provides a range of services and products to the upstream oil and natural gas industry worldwide. The company operates through two segments, Completion and Production, and Drilling and Evaluation. The company was founded in 1919 and is based in Houston, Texas.
HAL Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Halliburton Co. To summarize, we found that Halliburton Co ranked in the 44th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. In terms of the factors that were most noteworthy in this DCF analysis for HAL, they are:
Halliburton Co's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -8.23. This coverage rate is greater than that of only 9.27% of stocks we're observing for the purpose of forecasting via discounted cash flows.
The weighted average cost of capital for the company is 13. This value is greater than 65.03% stocks in the Energy sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
NS, NSFDF, HLX, OIS, and TCP can be thought of as valuation peers to HAL, in the sense that they are in the Energy sector and have a similar price forecast based on DCF valuation.
Source: Forbes Halliburton (HAL) reports earnings January 19th. Analysts expect $3.21 billion in revenue and EPS of $0.15. The revenue estimate implies an 8% increase sequentially. Investors should focus on the following key items. Revenue Could Gain Traction The pandemic practically brought business activity to a halt. The demand destruction...
Shock Exchange on Seeking Alpha | January 17, 2021
Halliburton (NYSE:HAL) is scheduled to announce Q4 earnings results on Tuesday, January 19th, before market open.The consensus EPS Estimate is $0.14 (-56.3% Y/Y) and the consensus Revenue Estimate is $3.21B (-38.2% Y/Y).Analysts expects Operating income of $304.2M.Over the last 2 years, HAL has beaten EPS estimates 88% of the time...