SLB N.V. SLB
SLB remains a hold after a rally that has lifted the stock to $57.15, trading at 27.48x trailing P/E — a 59% premium to the peer median of 17.28x. Q2 2026 revenue grew approximately 5% YoY to $8.97B with a 7.6% earnings beat, but FY2025 saw EPS decline 24% to $2.35 and operating margin compress to 15.3% from 17.4%, leaving full-year profitability well below prior levels.
The $3.4B Kelvion acquisition provides a credible strategic pivot into AI data-center cooling, yet it adds integration risk and capital outlay at a rich valuation. CEO Olivier Le Peuch's string of open-market sales at $52.55–$60.00 in late August and early September, combined with a slightly negative smart-money score of -0.0064, argues against chasing the move.
What could go wrong
- Oil price downturn. SLB's core oilfield-services business remains levered to upstream capital spending cycles; a sustained drop in crude prices would pressure the Reservoir Performance and Well Construction divisions that anchor revenue.
- Kelvion integration. The $3.4B cash acquisition adds balance-sheet and execution risk; integration of a thermal-management business may take multiple quarters to realize targeted synergies.
- Valuation compression. At a 59% P/E premium to the peer median, any disappointing quarter or guide-down could trigger a sharp multiple re-rating lower.
- Insider selling signal. The CEO's cluster of open-market sales at $52.55–$60.00 in late August through early September 2026, alongside net insider selling of approximately $33.78M over the trailing 24 months, suggests limited confidence in near-term upside.
What would change my mind
Where this comes from: peer_relative · quarterly_results · earnings_surprises · fundamentals and derived_metrics. Orin's read on SLB; not advice.
Twelve months actual closes to 2026-09-24 · actual filings
50-day average 200-day average · volume below
On file
All SLB filingsLargest holders · 13F Q2 2026
Money flow| Filer | Position | Of fund |
|---|---|---|
| Vanguard Capital Management | $4.5B | 0.1% of fund |
| State Street | $4.3B | 0.1% of fund |
| Vanguard Portfolio Management | $3.5B | 0.2% of fund |
| Price T Rowe Associates /Md/ | $2.9B | 0.3% of fund |
| Charles Schwab Investment Management | $2.2B | 0.3% of fund |
| Capital World Investors | $2.2B | 0.3% of fund |
116 filers · quarter ended Q2 2026 · positions, not flows
Insiders, last 24 months: 116 Form 4 filings, net −$33.8M. Of the 50 on hand, 0 were open-market purchases and 16 sales— the rest are grants, option exercises and tax withholding.
Ask Orin about SLB
Orin answers questions about SLB from its filings, transcripts and numbers — with the source behind every claim. Your own desk starts with 3 free days, card required.
Start 3 free days →Where it trades
| Metric | Now | Own median | Sector |
|---|---|---|---|
| P/E | 24.7× | 17.6× | 51.1× |
| EV/EBITDA | 12.1× | 11.0× | — |
| P/S | 2.10× | 1.83× | — |
| P/B | 3.0× | 2.8× | — |
Its P/E sits above all 5 of the last 5 years (+1.75σ from its own mean).
5.3%
free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $4.5B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.
What Wall Street published
$65
$54 – $75 · +25% against today's price
- 56 buy or overweight
- 6 hold
- 4 underweight or sell
The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.
Against the companies it is compared to
| Company | Market cap | P/E | EV/EBITDA | Gross | Net | ROE |
|---|---|---|---|---|---|---|
| SLBSLB N.V. | $76B | 24.7× | 12.1× | 16.5% | 8.5% | 12% |
| BKRBaker Hughes Company | $57B | 18.2× | 12.1× | 23.6% | 11.2% | 16% |
| EOGEOG Resources, Inc. | $76B | 11.1× | 5.6× | 70.2% | 25.7% | 22% |
| KMIKinder Morgan, Inc. | $70B | 20.0× | 12.6× | 54.9% | 19.3% | 11% |
| PSXPhillips 66 | $103B | 14.5× | 9.3× | 9.8% | 4.6% | 24% |
The median is of the 4 peers listed above and nothing else — check it against the column. This company trades 51.0% above it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.
What it has traded at
What its sector has traded at
Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.
Discounted cash flow
| Model | Fair value | Against | Computed |
|---|---|---|---|
| Standard DCF | $63 | $56.22 · +12% | 2026-06-10 |
| Levered DCF | $60 | $56.22 · +8% | 2026-06-10 |
The vendor’s intrinsic-value models. Treat them as a low-growth anchor — for a fast grower the market routinely pays well above a DCF. These were computed against the price in the “against” column, not today’s.
Every estimate on one scale
The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.