Weatherford International (NASDAQ:WFRD) Shares Gap Up - Time to Buy?

Key Points

• Weatherford International's stock gapped up from $61.56 to $64.20 at the opening, trading at $63.48 with nearly 475,000 shares changing hands.
• Analysts are generally optimistic about the stock, with nine giving it a "Buy" rating and a consensus target price of $99.70, despite Citigroup lowering its price target from $90.00 to $70.00.
• The company recently declared a quarterly $0.25 dividend, representing a 1.6% yield, with an ex-dividend date set for August 6th.

Weatherford International PLC (NASDAQ:WFRD - Get Free Report) gapped up prior to trading on Wednesday . The stock had previously closed at $61.56, but opened at $64.20. Weatherford International shares last traded at $63.48, with a volume of 474,959 shares trading hands.

Analyst Upgrades and Downgrades

Several brokerages have commented on WFRD. Melius Research began coverage on shares of Weatherford International in a report on Wednesday, August 20th. They set a "buy" rating and a $108.00 target price on the stock. Citigroup cut their price objective on shares of Weatherford International from $90.00 to $70.00 and set a "buy" rating for the company in a research report on Tuesday, May 13th. Raymond James Financial reaffirmed an "outperform" rating and issued a $70.00 price objective (up previously from $69.00) on shares of Weatherford International in a research note on Thursday, July 24th. Barclays decreased their target price on shares of Weatherford International from $77.00 to $73.00 and set an "overweight" rating for the company in a research report on Thursday, July 24th. Finally, Zacks Research upgraded Weatherford International from a "strong sell" rating to a "hold" rating in a report on Monday. Nine investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. Based on data from MarketBeat, Weatherford International presently has an average rating of "Moderate Buy" and a consensus target price of $99.70.

Weatherford International Stock Performance

The company has a market capitalization of $4.53 billion, a P/E ratio of 9.80, a price-to-earnings-growth ratio of 1.79 and a beta of 0.77. The business has a 50 day moving average of $55.09 and a 200 day moving average of $52.50. The company has a quick ratio of 1.63, a current ratio of 2.21 and a debt-to-equity ratio of 1.03.

Weatherford International (NASDAQ:WFRD - Get Free Report) last issued its quarterly earnings results on Tuesday, July 22nd. The company reported $1.87 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.97 by $0.90. The firm had revenue of $1.20 billion during the quarter, compared to analyst estimates of $1.19 billion. Weatherford International had a return on equity of 34.87% and a net margin of 9.35%.Weatherford International's quarterly revenue was down 14.3% compared to the same quarter last year. During the same period last year, the company earned $1.66 EPS. On average, sell-side analysts predict that Weatherford International PLC will post 5.89 earnings per share for the current year.

Weatherford International Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 4th. Stockholders of record on Wednesday, August 6th will be issued a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 1.6%. The ex-dividend date of this dividend is Wednesday, August 6th. Weatherford International's payout ratio is 15.48%.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in WFRD. Holocene Advisors LP increased its position in shares of Weatherford International by 712.8% during the second quarter. Holocene Advisors LP now owns 1,646,034 shares of the company's stock worth $82,812,000 after purchasing an additional 1,443,512 shares in the last quarter. Federated Hermes Inc. lifted its position in shares of Weatherford International by 1,005.3% during the second quarter. Federated Hermes Inc. now owns 1,056,407 shares of the company's stock worth $53,148,000 after purchasing an additional 960,832 shares during the last quarter. Millennium Management LLC increased its stake in shares of Weatherford International by 429.2% in the first quarter. Millennium Management LLC now owns 1,103,067 shares of the company's stock valued at $59,069,000 after purchasing an additional 894,636 shares during the period. Norges Bank acquired a new position in Weatherford International in the 2nd quarter worth approximately $41,542,000. Finally, Balyasny Asset Management L.P. raised its holdings in shares of Weatherford International by 1,084.6% during the 2nd quarter. Balyasny Asset Management L.P. now owns 686,010 shares of the company's stock valued at $34,513,000 after purchasing an additional 628,100 shares in the last quarter. 97.23% of the stock is currently owned by institutional investors and hedge funds.

Weatherford International Company Profile

Weatherford International plc, an energy services company, provides equipment and services for the drilling, evaluation, completion, production, and intervention of oil, geothermal, and natural gas wells worldwide. The company operates through three segments: Drilling and Evaluation; Well Construction and Completions; and Production and Intervention.

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