Traders Buy High Volume of SLB Call Options (NYSE:SLB)

Key Points

• SLB saw unusually heavy call option activity on Thursday, with 68,042 calls traded, more than double the average daily volume of 33,524. This suggests traders were positioning for a possible upside move.
• Investor attention has also been boosted by SLB’s digital expansion strategy, including a new AI-focused Digital Marketplace and management’s goal to double digital business revenue to as much as $2 billion by 2030.
• Wall Street remains broadly bullish on the stock, with multiple analysts raising price targets and SLB carrying a consensus “Moderate Buy” rating. The shares also recently fell 3.9% to $48.39 despite beating EPS estimates in the latest quarter.

SLB Limited (NYSE:SLB - Get Free Report) saw unusually large options trading activity on Thursday. Stock investors bought 68,042 call options on the stock. This is an increase of 103% compared to the average volume of 33,524 call options.

Key SLB News

Here are the key news stories impacting SLB this week:

• Positive Sentiment: SLB launched a new Digital Marketplace that offers AI tools and applications, expanding its digital ecosystem and supporting a higher-growth software revenue stream. SLB Expands Digital Reach With New AI Marketplace Platform
• Positive Sentiment: Management said it aims to double digital business revenue to as much as $2 billion by 2030, and expects an additional $10 billion in annual digital spending over that period, signaling a meaningful long-term growth opportunity. SLB aims to double digital business revenue up to $2B by 2030
• Positive Sentiment: SLB’s investor-day commentary and CEO appearance on CNBC kept attention on its technology-led transformation and long-term international oil-production exposure, which may help reinforce confidence in the story. SLB CEO Olivier Le Peuch goes one-on-one with Jim Cramer
• Neutral Sentiment: SLB was also highlighted as a trending stock by market-watch and research outlets, reflecting elevated investor interest rather than a clear new catalyst. Here is What to Know Beyond Why SLB Limited (SLB) is a Trending Stock

Wall Street Analyst Weigh In

SLB has been the topic of several recent analyst reports. Barclays lifted their price target on shares of SLB from $49.00 to $51.00 and gave the company an "overweight" rating in a report on Monday, April 27th. TD Cowen lifted their price target on shares of SLB from $55.00 to $66.00 and gave the company a "buy" rating in a report on Monday, April 27th. Piper Sandler lifted their price target on shares of SLB from $53.00 to $59.00 and gave the company an "overweight" rating in a report on Wednesday, April 15th. JPMorgan Chase & Co. raised their price objective on shares of SLB from $54.00 to $61.00 and gave the stock an "overweight" rating in a report on Monday, April 27th. Finally, Evercore restated an "outperform" rating and issued a $64.00 price objective on shares of SLB in a report on Monday, April 27th. Three research analysts have rated the stock with a Strong Buy rating, sixteen have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, SLB currently has an average rating of "Moderate Buy" and an average target price of $60.83.

Insider Buying and Selling at SLB

In related news, Director La Chevardiere Patrick De sold 2,000 shares of SLB stock in a transaction on Thursday, May 7th. The shares were sold at an average price of $54.33, for a total value of $108,660.00. Following the transaction, the director directly owned 16,953 shares of the company's stock, valued at $921,056.49. The trade was a 10.55% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, EVP Steve Matthew Gassen sold 53,379 shares of SLB stock in a transaction on Friday, May 1st. The stock was sold at an average price of $56.18, for a total transaction of $2,998,832.22. Following the completion of the transaction, the executive vice president directly owned 47,421 shares in the company, valued at approximately $2,664,111.78. The trade was a 52.96% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.16% of the stock is owned by insiders.

Institutional Trading of SLB

Institutional investors have recently made changes to their positions in the stock. Evergreen Advisors LLC bought a new stake in SLB during the 1st quarter worth approximately $26,000. MV Capital Management Inc. bought a new stake in SLB in the fourth quarter worth $28,000. Strategic Wealth Advisors LLC bought a new stake in SLB in the fourth quarter worth $30,000. Costello Asset Management INC increased its position in SLB by 93.3% in the first quarter. Costello Asset Management INC now owns 580 shares of the oil and gas company's stock worth $30,000 after purchasing an additional 280 shares during the last quarter. Finally, Thurston Springer Miller Herd & Titak Inc. bought a new stake in SLB in the fourth quarter worth $31,000. Hedge funds and other institutional investors own 81.99% of the company's stock.

SLB Stock Down 3.9%

Shares of NYSE:SLB traded down $1.94 during midday trading on Thursday, reaching $48.39. The company's stock had a trading volume of 11,576,529 shares, compared to its average volume of 17,649,426. The firm has a 50 day moving average of $54.81 and a 200-day moving average of $48.95. The firm has a market capitalization of $72.34 billion, a P/E ratio of 21.12, a PEG ratio of 2.15 and a beta of 0.70. The company has a quick ratio of 0.98, a current ratio of 1.34 and a debt-to-equity ratio of 0.35. SLB has a 12-month low of $31.64 and a 12-month high of $58.82.

SLB (NYSE:SLB - Get Free Report) last announced its quarterly earnings data on Saturday, April 25th. The oil and gas company reported $0.52 EPS for the quarter, beating the consensus estimate of $0.51 by $0.01. The company had revenue of $8.72 billion for the quarter, compared to the consensus estimate of $8.76 billion. SLB had a net margin of 9.26% and a return on equity of 15.54%. SLB's revenue for the quarter was up 2.7% on a year-over-year basis. During the same period in the prior year, the firm posted $0.72 EPS. On average, research analysts anticipate that SLB will post 2.62 earnings per share for the current year.

SLB Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, July 9th. Stockholders of record on Wednesday, June 3rd will be issued a dividend of $0.295 per share. This represents a $1.18 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date of this dividend is Wednesday, June 3rd. SLB's dividend payout ratio (DPR) is presently 51.53%.

SLB Company Profile

SLB NYSE: SLB, historically known as Schlumberger, is a leading global provider of technology, integrated project management and information solutions for the energy industry. Founded by Conrad and Marcel Schlumberger in 1926, the company develops and supplies products and services used across the exploration, drilling, completion and production phases of oil and gas development. Its offerings are intended to help operators characterize reservoirs, drill and complete wells, optimize production and manage field operations throughout the asset lifecycle.

SLB's product and service portfolio spans reservoir characterization and well testing, wireline and logging services, directional drilling and drilling tools, well construction and completion technologies, production systems, and subsea equipment.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.