## Weatherford International (WFRD) Earnings Preview: What to Expect on October 22nd
The market is eagerly awaiting Weatherford International’s (WFRD) upcoming earnings release on Tuesday, October 22nd. With analysts predicting an earnings per share (EPS) of $1.77, investors are hopeful for news of exceeding estimates and upbeat guidance for the next quarter. For new investors, it’s crucial to understand that guidance can significantly impact stock prices.
## Past Performance: A Look at Weatherford’s Track Record
In the past, Weatherford International’s earnings have been somewhat volatile, with the stock price reacting accordingly. Last quarter, the company missed EPS expectations by $0.08, resulting in a 9.15% drop in share price the following day. Let’s take a closer look at their past performance and the subsequent price changes:
| Quarter | EPS Estimate | EPS Actual | Price Change % |
|—|—|—|—|
| Q2 2024 | $1.74 | $1.66 | -9.0% |
| Q1 2024 | $1.44 | $1.50 | 6.0% |
| Q4 2023 | $1.4 | $1.9 | 7.0% |
| Q3 2023 | $1.22 | $1.66 | 1.0% |
## Tracking Weatherford’s Stock Performance
As of October 18th, Weatherford International shares were trading at $85.22. Over the last 52 weeks, shares are down 8.71%, which may have long-term shareholders feeling uneasy heading into this earnings release.
## What do Analysts Say?
For investors, understanding market sentiment and industry expectations is critical. The consensus rating for Weatherford International is “Buy” based on 6 analyst ratings. With an average one-year price target of $148.67, there’s a potential 74.45% upside. This suggests that analysts are generally optimistic about the company’s future prospects.
## Peer Comparisons: How Does Weatherford Stack Up?
To gain further insights, it’s helpful to compare Weatherford International to its peers. Let’s look at NOV, Cactus, and Archrock, prominent players in the industry, and their respective analyst ratings and price targets:
*
NOV:
Buy, with an average 1-year price target of $21.5, indicating a potential 74.77% downside.*
Cactus:
Buy, with an average 1-year price target of $58.67, indicating a potential 31.15% downside.*
Archrock:
Outperform, with an average 1-year price target of $24.14, indicating a potential 71.67% downside.## Key Findings: Peer Analysis Summary
Comparing key metrics like Revenue Growth, Gross Profit, and Return on Equity provides a valuable picture of these companies’ relative performance within the industry.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|—|—|—|—|—|
| Weatherford International | Buy | 10.28% | $514M | 10.78% |
| NOV | Buy | 5.88% | $590M | 3.58% |
| Cactus | Buy | -5.05% | $113.92M | 5.39% |
| Archrock | Outperform | 9.28% | $112.24M | 3.83% |
Key Takeaway:
Weatherford International ranks at the bottom for Revenue Growth among its peers. However, it sits in the middle for Gross Profit and Return on Equity, demonstrating decent profitability and efficient use of resources.## Weatherford International: Unveiling the Story
Weatherford International is a leading provider of diversified oilfield services across international markets for a wide range of oilfield types. They are recognized as a global leader in artificial lift and tubular running services. Other key product lines include cementing products, directional drilling, and wireline evaluation.
## Financial Performance: A Deeper Dive
Market Capitalization:
Weatherford International’s market capitalization is below industry benchmarks, reflecting a smaller scale relative to its peers. This could be attributed to factors such as growth expectations or operational capacity.Revenue Growth:
Over a period of 3 months, Weatherford International has shown significant revenue growth. As of June 30th, 2024, the company achieved a revenue growth rate of approximately 10.28%, indicating a substantial increase in top-line earnings. This growth rate surpasses the average among peers in the Energy sector.Net Margin:
The company’s net margin is a standout performer, exceeding industry averages. With an impressive net margin of 8.9%, Weatherford showcases strong profitability and effective cost control.Return on Equity (ROE):
Weatherford International boasts an impressive ROE of 10.78%, demonstrating effective use of equity capital and strong financial performance, exceeding industry averages.Return on Assets (ROA):
The company’s ROA is another standout performer, exceeding industry averages. With an impressive ROA of 2.45%, Weatherford demonstrates effective utilization of assets.Debt Management:
Weatherford International’s debt-to-equity ratio is below the industry average, with a ratio of 1.48. This indicates the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.## Stay Informed: Tracking Weatherford International’s Earnings Releases
To stay up-to-date on all earnings releases for Weatherford International, visit the earnings calendar on [insert your website or relevant platform].
This analysis aims to provide investors with comprehensive insights into Weatherford International’s upcoming earnings release. While historical data and analyst opinions provide valuable information, it’s essential to conduct thorough research and consider individual investment strategies before making any decisions.