Jefferies Raises price Target on Schlumberger Ltd. (SLB) with Increased Confidence; Reiterates Hold

Jefferies maintained a Hold rating on Schlumberger (NYSE: SLB), and raised the price target to $80.00 (from $71.00), despite cutting estimates. Estimates for 2016/2017/2018 have been cut to $1.10/$1.95/$4.00 from $1.90/ $2.95/$4.65. However, Jefferies has increased confidence in the company's ability for a spending recovery.

Analyst Brad Handler commented, "We lower estimates for 2016/2017/2018 to $1.10/$1.95/$4.00 from $1.90/ $2.95/$4.65. Yet we raise our PT to $80 from $71 on greater confidence in eventual cyclical upstream spending recovery and, more importantly, on SLB's ability to convert its integrated solutions and use of its balance sheet to higher through-cycle earnings (we maintain our $6 Normalized EPS). We maintain our Hold on SLB shares on valuation."

For an analyst ratings summary and ratings history on Schlumberger click here. For more ratings news on Schlumberger click here.

Shares of Schlumberger closed at $79.93 yesterday.

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