Stock Analysis | Halliburton Outlook - Technical Weakness and Mixed Analyst Signals

1. Market Snapshot

Takeaway: Halliburton (HAL) is showing a weak technical profile with no bullish indicators and 3 bearish signals in the last 5 days. The stock carries an internal diagnostic score of 1.69 (0-10), signaling a "technical face-off" with downside risks. Meanwhile, fundamentals are mixed, and analyst views are diverging.

2. News Highlights

• Trump’s Tariffs and Global Trade: Recent reports suggest that U.S. tariffs on India could cut its exports by 40–50%, potentially affecting global energy dynamics. While not directly tied to Halliburton, the ripple effect on international trade could influence oilfield services demand.
• Energy Infrastructure Disruption: A Russian attack on a key gas compressor station in Odessa could disrupt European gas flows. Halliburton, as a key player in energy infrastructure, might see increased demand for maintenance and repairs in affected regions.
• FTX's Ethereum Staking: FTX's continued staking of Ethereum during its bankruptcy proceedings highlights ongoing crypto market turbulence. If the broader financial markets face further instability, it could indirectly affect investor sentiment toward energy firms like HAL.

3. Analyst Views & Fundamentals

Average Rating Score: The average analyst rating is 3.88. Weighted by historical performance, the score drops to 3.05, showing a bias toward caution among higher-performing analysts.

Rating Consistency: Analysts are highly divided, with ratings ranging from "Strong Buy" to "Neutral." The most active institutions include Wells Fargo (80.0% win rate) and Barclays (42.9% win rate).

Price vs. Analyst Consensus: While analysts are neutral-to-bullish, the recent price trend has been downward (-8.49%), indicating a potential misalignment between market sentiment and technical dynamics.

Key Fundamental Factors

• Price-to-Earnings (PE) Ratio: 36.70 (score: 2)
• Return on Assets (ROA): 2.69% (score: 3)
• Revenue-to-Market Cap (Revenue-MV): 1.22 (score: 3)
• Net Income-to-Revenue: -6.26% (score: 3)
• Operating Cycle: 142.68 days (score: 3)
• Cash-to-Market Cap (Cash-MV): 1.26 (score: 3)
• Net Profit YoY Growth: -48.59% (score: 1)
• Total Profit YoY Growth: -46.28% (score: 0)
• Interest Coverage Ratio: 6.15x (score: 3)
• Parent Net Profit Share (% of Net Profit): 98.98% (score: 3)

The internal diagnostic score for fundamentals is 7.35 (0-10), showing mixed signals: strong cash and revenue metrics but weak earnings growth.

4. Money-Flow Trends

Big Money vs. Retail: Halliburton has seen a negative overall fund-flow trend with 78.3% of analysts assigning a "good" flow score (7.83/10). However, large and extra-large institutional investors are split, with large funds showing a positive trend while extra-large ones are negative. Retail investors, on the other hand, have contributed to the overall negative trend (Small trend: negative, Small inflow ratio: 49.79%).

Block investors are also negative (block trend: negative), with a block inflow ratio of 49.54%, showing institutional caution despite a high overall inflow ratio of 49.64%.

5. Key Technical Signals

• Williams %R Overbought: Internal diagnostic score of 1 — historically weak with an average return of -0.31% and a 36.36% win rate.
• Williams %R Oversold: Internal diagnostic score of 3.06 — marginally positive with a 49.28% win rate and 0.33% average return.
• MACD Death Cross: Internal diagnostic score of 1 — clear bearish signal with a 30.0% win rate and -0.07% average return.

Recent Chart Signals (by Date):

• August 4: MACD Death Cross (bearish)
• July 29: WR Overbought (bearish)
• August 6: WR Oversold (neutral to slightly bullish)
• July 28: WR Overbought (bearish)
• August 7: WR Oversold (neutral to slightly bullish)

Trend Quality: The overall trend is weak and bearish with more bearish indicators (3) than bullish (0). The technical score is 1.69 (0-10), suggesting caution and a high likelihood of downward movement in the near term.

6. Conclusion

Halliburton is currently facing technical headwinds with a weak score of 1.69 and three bearish indicators in the last five days. Analysts are divided, but the price trend doesn’t align with the overall consensus. While fundamentals remain mixed with strong cash and revenue, earnings growth is sharply negative (-48.59% YoY).

Actionable Takeaway: Given the internal diagnostic scores and the divergence between analyst ratings and price behavior, it may be prudent to wait for a clearer breakout or earnings report before entering. Traders should closely monitor the MACD Death Cross and Williams %R signals for potential short-term volatility.