HALLIBURTON EPS BEATS ESTIMATES STOCK SINKS ON GUIDANCE
Halliburton is currently trading at 36.77-lower by about 2.02% as compared to the previous closing. In Pre-market trading on Monday, the stock was trading as high as 3.65%. The stock has cut some of its earlier gains after the opening bell.
Halliburton’s quarterly profit edged past market estimates on Monday. However, issuing its forward guidance, the company indicated that it is seeing demand for its services cool as producers cut down on spending and delay completions due to pipeline bottlenecks in the Permian basin of Texas and New Mexico.
Halliburton disclosed that revenue from North America, its biggest market, rose 18.2% to $3.74 billion from a year earlier. International revenue rose 5% from the second quarter to $2.4 billion.
Net profit attributable to Halliburton rose to $435 million, or 50 cents per share, in the third quarter from $365 million, or 42 cents per share, a year earlier.
The company reported EPS (excluding items) of 50 cents-above the market expectation of 49 cents per share. The company’s revenues for Q3 were $6.17 billion- above the market expectation of $6.11 billion.
On the technical front, the RSI is currently at 25.01% and suggests that the market can move in the downward direction. The current price is below the MA5. The current price is below the lower band of the Bollinger bands and is heading downwards.
Overall Bias is mixed/negative and short-term trades can be initiated with tight Stop Loss and Profit targets.
TRADE SUGGESTION-LIMIT SELL AT 36.95 TAKE PROFIT AT 36.20 STOP LOSS AT 37.35