SLB N.V. SLB
Verdict: Hold. Fair value $46.81 against a price of $43.67 on 6 Jan 2026, 7% above the price.
In plain words
The case for: Narrow competitive moat provides durability. Market leadership enables pricing power. Industry tailwinds with growing market.
The case against: Intense competitive pressure could compress margins.
Main risks
- Decelerating annual revenue growth, from 22.5% in 2022 down to 9.5% in 2024.
- TTM revenue ($35.25B) is below the last full year's revenue ($36.29B), indicating a potential recent contraction or slowdown in the business.
- High cyclicality inherent to the Oil & Gas services industry; current strong performance is tied to the energy cycle which could reverse.
- Intense competitive environment
- Overhang: The 'long road ahead' for Venezuela's oil industry, while a potential long-term growth dri...