Sign In  |  Register  |  About Los Altos  |  Contact Us

Los Altos, CA
September 01, 2020 1:26pm
7-Day Forecast | Traffic
  • Search Hotels in Los Altos

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Zacks Analyst Blog Highlights: Halliburton, Schlumberger and Logitech

Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Halliburton (NYSE: HAL), Schlumberger (NYSE: SLB) and Logitech (Nasdaq: LOGI).

See the latest posts to the Analyst Blog by visiting: http://at.zacks.com/?id=2673

Here are highlights from Fridays Analyst Blog:

Halliburton Spin-Off Positive

The KBR spin-off and an increased push in the Eastern Hemisphere through a headquarters in Dubai are both positive developments for Halliburton (NYSE: HAL). The spin-off of the high volume, low margin KBR business removes distractions, improves operational focus, and makes Halliburton a pure-play on the oilfield service market.

We believe this will aid valuation by narrowing down, if not altogether eliminating, its valuation discount relative to Schlumberger (NYSE: SLB) and other large-cap peers. Our Buy recommendation remains unchanged as we continue to view Halliburton as a core oilfield service holding.

Management is targeting industry-leading revenue, earnings, and returns performance metrics over the next few years, highlighting the breadth and depth of the company's oilfield franchise. Our unchanged price objective of $44 is based on 2007 P/E and EV/EBITDA [enterprise value-to-earnings before interest, taxes, depreciation and amortization] multiples of 17.0x and 9.2x, still below most of its large-cap peers.

Product Portfolio Strong at Logitech

Logitech (Nasdaq: LOGI) reported a mixed first quarter of 2008, with revenues below our estimates but earnings in-line with our expectations. This was impressive, given the unexpected decline in webcam sales experienced in Europe during the quarter, which hindered growth. Despite this, the company was still able to improve its gross margin due to a more-favorable product mix.

While we were disappointed with the weak webcam sales, we were surprised by the continued strength in the rest of the company's product portfolio, which was up 19% year over year, excluding the video business. We continue to rate shares of LOGI a Buy.

After adjusting our model, we now expect the company to earn $1.34 per share in fiscal 2008, which includes stock-based compensation, and we believe shares of LOGI should trade at $33.50 over the next six months based on our 10-year discounted cash flow model. This gives us a forward P/E of 25x our fiscal 2008 earnings estimate, which we now believe is reasonable despite the weakness in the webcam market.

See the latest posts to the Analyst Blog by visiting http://at.zacks.com/?id=2645

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today by visiting http://at.zacks.com/?id=2674.

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he could find patterns in stock market data that would lead to superior investment results. Amongst his many accomplishments was the formation of his proprietary stock picking system; the Zacks Rank, which continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.

Contacts:

Zacks.com
Terry Ruffolo
Media Relations
312-630-9880, ext. 213
Visit: www.zacks.com

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 LosAltos.com & California Media Partners, LLC. All rights reserved.