Oddo BHF Maintains "Outperform" Rating on SLB, Adjusts Target Price to $42

Oddo BHF maintains its "outperform" rating on SLB, adjusting its target price from $45 to $42. The broker considers Q2 results solid, with adjusted EPS of $0.74 and revenue of $8.55bn, slightly above expectations. Despite uncertainty in the oil market, SLB remains well positioned, with nearly $3bn returned to shareholders this year, representing a high 10% return for an oil services company.

Schlumberger Limited (NYSE: SLB), a leading provider of oilfield services, has released its second-quarter 2025 financial results, demonstrating resilience and growth amidst global market uncertainties. The company reported a 1% increase in revenue to $8.55 billion, with earnings per share (EPS) rising to $0.74, supported by improved EBITDA margins. Despite the challenges posed by the global oil market, Schlumberger has managed to maintain a strong position, driven by its diversified portfolio and broad market exposure.

The company's adjusted EBITDA margin improved to 24%, reflecting its operational efficiency and cost management. Schlumberger's Chief Executive Officer, Olivier Le Peuch, highlighted the company's ability to navigate market dynamics and maintain steady revenue growth. The company's revenue from international markets increased by 2%, driven by robust growth in several regions, including the Middle East, Asia, Europe, and North Africa. This growth more than offset declines in select key markets.

Schlumberger's digital segment, which includes platforms, applications, and digital operations, also contributed to the company's strong performance. The segment reported double-digit sequential revenue growth, which was partially offset by lower sales of exploration data following a strong first quarter. The company's strategic acquisition of ChampionX has further bolstered its position in the production chemicals and digital markets, offering promising growth prospects.

Analysts remain optimistic about Schlumberger's future trajectory. Oddo BHF, for instance, maintains its "outperform" rating on SLB, adjusting its target price from $45 to $42. The brokerage considers the Q2 results solid, with adjusted EPS of $0.74 and revenue of $8.55 billion, slightly above expectations. Despite uncertainty in the oil market, Schlumberger remains well positioned, with nearly $3 billion returned to shareholders this year, representing a high 10% return for an oil services company.

The company's strong financial performance and strategic moves underscore its ability to navigate market challenges and maintain a competitive edge. Schlumberger's differentiated technology and global footprint position it well to continue delivering positive results for its customers and shareholders.

References:
[1] https://www.gurufocus.com/news/2988318/schlumberger-slb-highlights-strong-q2-2025-performance-and-strategic-expansion
[2] https://investorcenter.slb.com/news-releases/news-release-details/slb-announces-second-quarter-2025-results