SLB (SLB) PT Raised to $55 at BofA Securities

BofA Securities analyst Chase Mulvehill raised the price target on SLB (NYSE: SLB) to $55.00 (from $50.00) while maintaining a Buy rating.

The analyst comments "As we noted in our Year Ahead report (see our: 2026 Outlook: Some good, less bad, & (hopefully) no ugly 12 Jan 2026), we're not out of the woods yet on oil macro, but rate of change in upstream spending is improving. And for ’26, this improvement is most visible in INTL, and particularly Middle East (esp. Saudi Arabia). SLB (echoing HAL) noted on its 4Q25 call that 2026E INTL revenue is expected to “slightly” increase YoY; we note that rate of change (improvement) should continue to improve through 2026, with 2H26 Total/INTL revenue likely +2%/+4% vs. 2H25, setting up for low/mid-single digit-% YoY growth in revenue in 2027E (we’re currently modeling +3.2%). Importantly, while pricing pressure is still a modest headwind, SLB w/ CHX synergies (1/2 of $400mm i.e. $200mm to be realized by YE26, vs. $30mm in 2025) & accretive Digital growth should be able to hold margin flat YoY in 2026E. We raise 2026E/27E EBITDA by 1%/2% to $8.87/$9.47bn & lift our DCF-based PO by $5 to $55 (implies 10.1x/9.5x 2026E/27E EBITDA). Reit. Buy."

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