Valued at a market cap of $74.7 billion, SLB N.V. (SLB) is one of the world's largest energy technology companies. The Houston, Texas-based company provides products, software, and services that help oil and gas companies discover, drill, develop, and produce energy resources more efficiently.
SLB has emerged as one of the energy sector's standout performers over the past year. Shares of SLB have soared 37.4% over this time frame, while the broader S&P 500 Index ($SPX) has gained 14.8%. The rally has continued in 2026, with the stock up 27.6% year to date, well ahead of the benchmark's 6.9% gain.
Zooming in further, SLB has also surpassed the State Street SPDR S&P Oil & Gas Exploration & Production ETF (XOP), which has climbed 30.6% over the past year.
On Jul. 24, SLB delivered a better-than-expected second-quarter performance, sending its shares 2.3% higher as the company demonstrated its resilience despite operational disruptions in the Middle East. Strong international demand and a recovery in North America more than offset the regional headwinds, driving 5% year-over-year revenue growth to $8.97 billion. Adjusted EPS came in at $0.55, topping Wall Street estimates, while the company generated a robust $1.36 billion in operating cash flow and $716 million in free cash flow.
SLB also continued to execute on its long-term growth strategy, expanding its digital capabilities through the acquisition of reservoir modeling software company Tachyus Corp., returning capital to shareholders with a $648 million share repurchase, and boosting its quarterly dividend to $0.295 per share. Looking ahead, management projected 3% to 4% sequential revenue growth in the third quarter, banking on a gradual recovery in Middle East operations to further support momentum.
For the current fiscal year, ending in December, analysts expect SLB’s EPS to decline 15% year over year to $2.49. The company’s earnings surprise history is promising. It exceeded the consensus estimates in each of the last four quarters.
Among the 26 analysts covering the stock, the consensus rating is a “Strong Buy,” which is based on 19 “Strong Buys,” four "Moderate Buys,” one “Hold,” and two “Strong Sell” ratings.
The configuration is bullish than one month ago when the stock had 18 “Strong Buy” suggestions.
On Jul. 27, Morgan Stanley analyst Joe Laetsch raised his price target on SLB to $55 from $54 while maintaining an "Overweight" rating, citing the company's broad second-quarter earnings beat and constructive guidance for the second half of 2026.
The mean price target of $63.11 indicates a 28.9% potential upside from the current levels, while its Street-high price target of $82 suggests a 67.5% potential upside from the current levels.
