Halliburton Company (NYSE: HAL) saw a notable spike in options trading on Monday, with investors purchasing a staggering 37,290 call options. This figure marks an increase of approximately 27% over the company’s average daily volume of 29,456 call options. The uptick in activity comes amid a series of analyst upgrades, suggesting a growing optimism around the company’s performance.
Analysts Adjust Price Targets
Several analysts have recently reassessed their outlook on Halliburton. On November 3, 2023, Redburn Partners initiated coverage of the firm, setting a price target of $35.00 and issuing a “buy” rating. This sentiment was echoed by Rothschild & Co, which also gave Halliburton a “buy” rating with the same target price.
Earlier in October, Stifel Nicolaus set a target price of $32.00, while Barclays raised its price objective from $25.00 to $30.00, maintaining an “equal weight” rating. Overall, two analysts have assigned a “strong buy” rating, fifteen have rated it as a “buy,” and six analysts have given it a “hold.” According to data from MarketBeat, Halliburton currently holds an average rating of “moderate buy” with a price target of $32.05.
Recent Financial Performance
Halliburton reported its quarterly earnings on October 21, 2023, revealing earnings per share of $0.58, exceeding the consensus estimate of $0.50 by $0.08. The company recorded revenue of $5.60 billion, surpassing analysts’ expectations of $5.39 billion. Despite this, the firm’s revenue showed a decline of 1.7% year-over-year, down from $0.73 earnings per share reported in the same quarter last year.
Analysts project Halliburton will achieve an earnings per share of 2.64 for the current fiscal year, reflecting cautious optimism regarding its performance in the energy sector.
Dividend Information and Insider Trading
In a recent announcement, Halliburton declared a quarterly dividend of $0.17 per share, paid on December 24, 2023, to shareholders of record as of December 3, 2023. This dividend represents an annualized amount of $0.68, yielding approximately 2.1%. The company’s payout ratio currently stands at 45.03%.
In related news, insider Mark Richard sold 160,000 shares of Halliburton on November 12, 2023, at an average price of $27.77, totaling $4,443,200. Following this transaction, Richard retained 452,374 shares, valued at around $12,562,425.98, representing a 26.13% decrease in his ownership. Additionally, Executive Vice President Van H. Beckwith sold 8,854 shares on December 5, 2023, for $246,938.06, which reduced his ownership by 2.59%.
Institutional Investor Activity
Institutional investors have also been active in Halliburton’s stock. Notably, Vident Advisory LLC increased its stake by 66.4% in the first quarter, now holding 21,588 shares valued at $548,000. EP Wealth Advisors LLC raised its position by 58.5% during the same period, while AllianceBernstein L.P. increased its holdings by 3.0%. Approximately 85.23% of Halliburton’s stock is currently owned by institutional investors, indicating strong confidence in the company’s future.
Halliburton, headquartered in Houston, Texas, is a leading provider of products and services to the energy sector, with operations spanning the lifecycle of oil and gas reservoirs from exploration to production. Founded in 1919, Halliburton continues to play a vital role in oilfield services globally, serving upstream operators with a comprehensive portfolio.
