Earnings Preview: Schlumberger Ltd

Schlumberger (SLB) is expected to report Q2 earnings before market open Friday, July 18,  with a conference call scheduled for 9:00 am ET.

Guidance

Analysts are looking for a profit of $1.12 on revenue of $6.48B. The consensus range is $1.06 to $1.16 for EPS, and revenue of $6.31B to $6.71B, according to First Call.

Analyst Views

Although Schlumberger rose to over $106 a share after reporting its Q1 results, the stock has since cooled off and is now trading just below $97 a share, about 2.6% above where it was last quarter before it reported.

There have been a number of recent bullish calls from analysts, including JP Morgan adding Schlumberger to its Focus List, saying the Q2 conference call will be a positive catalyst, and maintaining its Overweight rating. Morgan Stanley is also bullish, saying it believes Schlumberger will outperform expectations this quarter, and it would be a buyer of shares ahead of the earnings report. Morgan Stanley raised its target on the company to $155 from $145. Additionally, Jefferies believes Schlumberger's entire sector is oversold going into Q2 results.

Comments

[anaconda]

The company is doing well, not because there isn't a lot of oil out there, but because there IS a lot of oil to be discovered on the continental margin -- right where democrats are preventing oil discovery. The rest of the world is exploring the continental margin -- what's wrong with us?

Oil is an abiotic mineral . <a
Href=“http://oilismast... “> Oil Is Mastery.

The people involved with deepwater, deep-drilling know oil is abiotic.