Other stocks here
SLB sharp as sales rising faster
SLB Current 35 Target 46 + 30%
Jul 24, 2022
1 minute read
Sales jumped 14%
Last 5 quarters
8% 4% 6% -4% 14%
Costs down profit up
Last 5 quarters
-82% -80% -81% -89% -80%
Cashflow less negative
Last 5 quarters million dollars
869, 671, 1,298, -381, -119
Balance sheet net cash improved
Last 5 quarters million dollars
-25,167 -24,431 -23,086 -23,679 -23,386
Capital paid worsened , a 30% higher target price
Last 5 quarters million dollars
4,482, 4,694, 4,791, 5,192, 4,512
Jul 24, 2022
1 minute read
Sales jumped 14%
Last 5 quarters
8% 4% 6% -4% 14%
- Sales jumped 14% in the second quarter to 6,773 million dollars 10% above our 6,141 million dollars forecast.
- This brings the average to 5% growth.
- We predict average growth of 5% in this next 12 months to bring sales to 8,208 million dollars in the second quarter 2023.
Costs down profit up
Last 5 quarters
-82% -80% -81% -89% -80%
- The cash cost ratio went from -89% to -80% profit from 520 to 970 million dollars in the second quarter.
- The average cost ratio is at -83% now.
- We use a -82% cost ratio to predict a 1,075 million dollars profit in the second quarter 2023.
Cashflow less negative
Last 5 quarters million dollars
869, 671, 1,298, -381, -119
- Free cashflow went from -381 to -119 million dollars in the second quarter with -527 million dollars investment cashflow.
- Average quarterly Cashflow is at 367 million dollars now.
- We assume the same -527 million dollars investment spending which with higher sales gives -a 922 million dollars Cashflow in the second quarter 2023.
Balance sheet net cash improved
Last 5 quarters million dollars
-25,167 -24,431 -23,086 -23,679 -23,386
- Cash increased 2,649 to 2,816 million dollars in the second quarter.
- Liabilities declined 26,328 to 26,202 million dollars so net cash improved -23,679 to -23,386 million dollars .
- With our forecast cashflow & a -1,153 million dollars equity payout -2,079 million dollars liabilities payment net cash will be -21,307 million dollars in 12 months time.
Capital paid worsened , a 30% higher target price
Last 5 quarters million dollars
4,482, 4,694, 4,791, 5,192, 4,512
- SLB 14 quarter capital paid worsened 5,192 to 4,512 million dollars in the second quarter with -406 million dollars from liabilities -274 million dollars from equity but will be 7,745 million dollars in12 months time.
- At the current market value of 49,570 million dollars based on our forecasts it’s at 1.14 X assets with a 12 years payback & a 2% yield.
- Our cashflow forecast is 3,233 million dollars which means a 15 X valuation. A 20 X valuation gives a 30% higher target price 46 dollars.
