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Investing.com - Piper Sandler has raised its price target on Halliburton (NYSE:HAL) to $27.00 from $25.00 while maintaining a Neutral rating on the stock. According to InvestingPro data, the stock currently appears fairly valued, trading at a P/E ratio of 11.9x with a healthy EBITDA of $4.4 billion.
The oilfield services company saw its shares climb more than 10% recently, significantly outperforming the Oil Services ETF (OIH), which gained approximately 1%. The stock performance was driven by strong operational execution and the announcement of a collaboration with VoltaGrid to develop international data center solutions. InvestingPro analysis shows Halliburton maintains a strong financial position with a current ratio of 2.0, indicating liquid assets exceed short-term obligations.
Halliburton delivered an 8% earnings beat, with its recent cost-cutting efforts of $100 million per quarter accounting for one-third to half of the outperformance. The remainder came from better-than-feared conditions in U.S. land markets, which Piper Sandler attributes to Halliburton’s differentiated fracturing offerings and alignment with technical-minded customers. The company has demonstrated consistent profitability with a return on equity of 18% and has maintained dividend payments for an impressive 55 consecutive years.
Looking ahead, Halliburton’s North American revenue is expected to decline 12-13% quarter-over-quarter due to seasonality and idled equipment. However, international revenue is projected to grow 3-4% in the same period, with Completion & Production decrementals contained at 25%.
Piper Sandler has increased its 2026 EBITDA estimate for Halliburton by 7% to $4.1 billion, compared to the consensus estimate of $3.9 billion, citing the higher starting point for the company’s financial performance.
In other recent news, Halliburton has seen several positive developments following its third-quarter 2025 performance. The company exceeded expectations with its earnings before interest, taxes, depreciation, and amortization (EBITDA), prompting Stifel to raise its stock price target to $32 from $27 while maintaining a Buy rating. Similarly, Evercore ISI increased its price target to $28, citing Halliburton’s resilience and strong cost control measures during the quarter. HSBC also upgraded Halliburton’s stock rating from Hold to Buy, raising the price target to $30 due to better-than-expected margin guidance.
RBC Capital upgraded Halliburton’s rating to Outperform, with a new price target of $31, reflecting confidence in the company’s strong third-quarter results. TD Cowen joined the trend by raising its price target to $38 from $35, following Halliburton’s earnings beat and optimistic guidance for the fourth quarter. These adjustments highlight the company’s ability to perform well despite market challenges, with analysts from various firms expressing a more positive outlook on its future performance.
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