Investors Purchase Large Volume of Call Options on Schlumberger (NYSE:SLB)

Schlumberger Limited (NYSE:SLB) was the target of some unusual options trading on Tuesday. Traders acquired 38,335 call options on the company. This represents an increase of 57% compared to the typical volume of 24,393 call options.

Schlumberger Price Performance

Shares of SLB traded up $1.47 during mid-day trading on Tuesday, reaching $35.59. The stock had a trading volume of 6,544,228 shares, compared to its average volume of 13,459,311. The business has a fifty day moving average of $34.28 and a 200 day moving average of $38.53. The company has a debt-to-equity ratio of 0.49, a quick ratio of 1.11 and a current ratio of 1.45. The firm has a market cap of $48.40 billion, a price-to-earnings ratio of 11.46, a PEG ratio of 10.10 and a beta of 1.01. Schlumberger has a 12 month low of $31.11 and a 12 month high of $50.94.

Schlumberger (NYSE:SLB) last released its earnings results on Friday, April 25th. The oil and gas company reported $0.72 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.73 by ($0.01). Schlumberger had a return on equity of 21.90% and a net margin of 12.29%. The business had revenue of $8.49 billion for the quarter, compared to analysts’ expectations of $8.64 billion. During the same quarter in the prior year, the business posted $0.75 EPS. The business’s revenue for the quarter was down 2.5% compared to the same quarter last year. Equities analysts predict that Schlumberger will post 3.38 EPS for the current year.

Schlumberger Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, July 10th. Stockholders of record on Wednesday, June 4th will be paid a dividend of $0.285 per share. The ex-dividend date is Wednesday, June 4th. This represents a $1.14 annualized dividend and a dividend yield of 3.20%. Schlumberger’s dividend payout ratio is currently 38.64%.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on SLB shares. Stifel Nicolaus reduced their price target on Schlumberger from $58.00 to $54.00 and set a “buy” rating for the company in a research report on Monday, April 28th. Piper Sandler lowered their price objective on Schlumberger from $46.00 to $44.00 and set a “neutral” rating for the company in a research report on Tuesday, April 29th. Barclays reduced their target price on Schlumberger from $53.00 to $48.00 and set an “overweight” rating on the stock in a research note on Friday, April 25th. Jefferies Financial Group lowered their price objective on shares of Schlumberger from $60.00 to $59.00 and set a “buy” rating for the company in a report on Thursday, March 27th. Finally, Morgan Stanley reduced their target price on shares of Schlumberger from $50.00 to $45.00 and set an “overweight” rating on the stock in a research report on Friday, May 16th. Four research analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, Schlumberger currently has a consensus rating of “Moderate Buy” and a consensus price target of $52.38.

Insider Activity at Schlumberger

In related news, Director La Chevardiere Patrick De sold 5,000 shares of the stock in a transaction that occurred on Thursday, May 22nd. The stock was sold at an average price of $33.58, for a total transaction of $167,900.00. Following the completion of the sale, the director now directly owns 23,525 shares of the company’s stock, valued at approximately $789,969.50. This trade represents a 17.53% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Aparna Raman sold 25,133 shares of Schlumberger stock in a transaction on Friday, March 28th. The stock was sold at an average price of $42.28, for a total value of $1,062,623.24. Following the sale, the insider now owns 31,031 shares in the company, valued at $1,311,990.68. The trade was a 44.75% decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.26% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Schlumberger

A number of hedge funds and other institutional investors have recently bought and sold shares of SLB. Price T Rowe Associates Inc. MD grew its stake in Schlumberger by 7.4% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 75,986,195 shares of the oil and gas company’s stock valued at $2,913,312,000 after purchasing an additional 5,225,828 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its position in Schlumberger by 478.8% during the first quarter. Charles Schwab Investment Management Inc. now owns 47,719,476 shares of the oil and gas company’s stock worth $1,994,674,000 after purchasing an additional 39,474,501 shares in the last quarter. Geode Capital Management LLC grew its stake in Schlumberger by 4.8% in the 4th quarter. Geode Capital Management LLC now owns 29,985,360 shares of the oil and gas company’s stock valued at $1,146,195,000 after acquiring an additional 1,377,134 shares during the period. Deutsche Bank AG increased its holdings in Schlumberger by 12.2% in the 4th quarter. Deutsche Bank AG now owns 28,737,703 shares of the oil and gas company’s stock worth $1,101,804,000 after acquiring an additional 3,119,543 shares in the last quarter. Finally, First Eagle Investment Management LLC lifted its holdings in Schlumberger by 1.2% during the fourth quarter. First Eagle Investment Management LLC now owns 27,836,555 shares of the oil and gas company’s stock valued at $1,067,254,000 after purchasing an additional 343,261 shares in the last quarter. Hedge funds and other institutional investors own 81.99% of the company’s stock.

About Schlumberger

Schlumberger Limited engages in the provision of technology for the energy industry worldwide. The company operates through four divisions: Digital & Integration, Reservoir Performance, Well Construction, and Production Systems. The company provides field development and hydrocarbon production, carbon management, and integration of adjacent energy systems; reservoir interpretation and data processing services for exploration data; and well construction and production improvement services and products.