Schlumberger (SLB) Competitors

Schlumberger (NYSE:SLB) and Baker Hughes (NASDAQ:BKR) are both large-cap energy companies, but which is the superior investment? We will contrast the two companies based on the strength of their media sentiment, risk, valuation, profitability, analyst recommendations, dividends, earnings and institutional ownership.

Does the media favor SLB or BKR?

In the previous week, Schlumberger had 3 more articles in the media than Baker Hughes. MarketBeat recorded 30 mentions for Schlumberger and 27 mentions for Baker Hughes. Schlumberger's average media sentiment score of 0.83 beat Baker Hughes' score of 0.77 indicating that Schlumberger is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Schlumberger	19 Very Positive mention(s)	3 Positive mention(s)	2 Neutral mention(s)	3 Negative mention(s)	0 Very Negative mention(s)	Positive
Baker Hughes	14 Very Positive mention(s)	1 Positive mention(s)	7 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Is SLB or BKR more profitable?

Schlumberger has a net margin of 11.62% compared to Baker Hughes' net margin of 10.51%. Schlumberger's return on equity of 21.76% beat Baker Hughes' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Schlumberger	11.62%	21.76%	9.73%
Baker Hughes	10.51%	14.70%	6.47%

Do analysts prefer SLB or BKR?

Schlumberger currently has a consensus price target of $50.85, suggesting a potential upside of 45.38%. Baker Hughes has a consensus price target of $48.50, suggesting a potential upside of 24.07%. Given Schlumberger's stronger consensus rating and higher possible upside, equities analysts clearly believe Schlumberger is more favorable than Baker Hughes.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Schlumberger	0 Sell rating(s)	3 Hold rating(s)	15 Buy rating(s)	2 Strong Buy rating(s)	2.95
Baker Hughes	0 Sell rating(s)	2 Hold rating(s)	18 Buy rating(s)	0 Strong Buy rating(s)	2.90

Do institutionals & insiders have more ownership in SLB or BKR?

82.0% of Schlumberger shares are owned by institutional investors. Comparatively, 92.1% of Baker Hughes shares are owned by institutional investors. 0.3% of Schlumberger shares are owned by insiders. Comparatively, 0.3% of Baker Hughes shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Is SLB or BKR a better dividend stock?

Schlumberger pays an annual dividend of $1.14 per share and has a dividend yield of 3.3%. Baker Hughes pays an annual dividend of $0.92 per share and has a dividend yield of 2.4%. Schlumberger pays out 38.6% of its earnings in the form of a dividend. Baker Hughes pays out 31.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Schlumberger has increased its dividend for 5 consecutive years and Baker Hughes has increased its dividend for 4 consecutive years. Schlumberger is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Which has stronger valuation and earnings, SLB or BKR?

Schlumberger has higher revenue and earnings than Baker Hughes. Schlumberger is trading at a lower price-to-earnings ratio than Baker Hughes, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Schlumberger	$36.29B	1.31	$4.46B	$2.95	11.86
Baker Hughes	$27.83B	1.39	$2.98B	$2.93	13.34

Which has more volatility & risk, SLB or BKR?

Schlumberger has a beta of 1.01, suggesting that its stock price is 1% more volatile than the S&P 500. Comparatively, Baker Hughes has a beta of 0.91, suggesting that its stock price is 9% less volatile than the S&P 500.

Summary

Schlumberger beats Baker Hughes on 14 of the 20 factors compared between the two stocks.