# Halliburton (HAL.US)

Canonical: https://gigainvestors.com/s/HAL

Analysis as of: 2026-10-16T07:28:56.963Z. Financial observations: FY1996–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $32.89 per share; close as of 2026-10-15.

Estimated value: low $29.19 per share, central $32.95 per share, high $37.96 per share. Buy at or below the central value $32.95 per share. Valuation as of 2026-10-16T07:28:56.963Z; scenarios are not confidence intervals.

Expected annual return: 10.0% at the stated quote. About 10.0% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: fail

- 4 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- operating margin variation exceeds 0.35

- Financial history: 10 years

- Years with declining revenue: 4

- Years with a net loss: 3

- Operating margin variation: 1.23×

Chart: Operating margin; fiscal year observations.

- FY2017: 0.07×

- FY2018: 0.10×

- FY2019: -0.02×

- FY2020: -0.17×

- FY2021: 0.12×

- FY2022: 0.13×

- FY2023: 0.18×

- FY2024: 0.17×

- FY2025: 0.10×

- LTM to Jun 2026: 0.11×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: 14.5%

- ROIC, second-lowest year: -2.5%

- Typical minus recent gross margin: -1.0 pp

- Typical gross margin (annual median): 14.1%

- Recent gross margin (lower of latest and 3-year median): 15.1%

- Years with nonpositive capital: 0

- Capital spending / revenue: 5.8%

- ROIC including acquisitions, ten-year median: 8.0%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2017: 6.3%

- FY2018: 15.0%

- FY2019: -2.5%

- FY2020: -18.4%

- FY2021: 16.3%

- FY2022: 17.5%

- FY2023: 31.2%

- FY2024: 21.5%

- FY2025: 12.3%

- LTM to Jun 2026: 14.0%

### economics: pass

- Owner earnings / net income, 5-yr: 0.96×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: $9.1B

- Net income, five-year total: $9.5B

- Return on incremental invested capital: >100%

- Working capital / revenue, annual change: -0.5 pp

- Working capital / revenue, change between three-year averages: -2.9 pp

- Working capital / revenue, final three-year average: 21.6%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.07×

- FY2022: 1.00×

- FY2023: 1.00×

- FY2024: 0.85×

- FY2025: 0.91×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 6.3% vs 21.5%

- Per-share earnings: -0.79 to 2.83 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 0.0%

- Ordinary dilution, 5-year annual growth: -0.6%

- Market cap gain: -$23B

- Cumulative retained earnings: $895M

- Diluted shares, 10-year annual growth: 0.0%

- Diluted shares, 5-year annual growth: -0.6%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value change: $3.62

- Per-share value, starting three-year median: -$0.79

- Per-share value, ending three-year median: $2.83

- Buybacks concentrated in cheaper years (correlation): 0.65

- Average buyback yield: 1.5%

- Buyback history: 10 years

- Debt-funded buybacks: No

- Acquisition spending: $1.1B

- Cumulative net income, 10 years: $805M

- ROIC, first three-year median: 6.3%

- ROIC, last three-year median: 21.5%

Chart: Earnings per share; fiscal year observations.

- FY2016: -$6.69

- FY2017: -$0.53

- FY2018: $1.89

- FY2019: -$1.29

- FY2020: -$3.34

- FY2021: $1.63

- FY2022: $1.73

- FY2023: $2.92

- FY2024: $2.83

- FY2025: $1.50

### accounting: pass

- Sloan accruals: -6.6%

- Receivables to sales index (DSRI): 1.00×

- Restructuring years, last five: 2

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 2.28×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.28×

Chart: Sloan accruals; fiscal year observations.

- FY2016: -15.0%

- FY2017: -11.7%

- FY2018: -5.8%

- FY2019: -14.1%

- FY2020: -23.3%

- FY2021: -2.0%

- FY2022: -2.9%

- FY2023: -3.3%

- FY2024: -5.3%

- FY2025: -6.6%

## Holders

- [Richard Pzena](https://gigainvestors.com/PIM): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 22% since Apr 2026 · "Halliburton Q2 2025 earnings: CEO warns of softer oilfield market" (finance.yahoo.com, Jul 2026) · sales +0.9%

Story as of 2026-10-16T09:58:51.567Z; price observation 2026-10-15.

Price needs cash profits to grow 0.9% a year for ten years

- 2025-04-22: Halliburton first-quarter profit falls on North America drilling weakness ([ca.finance.yahoo.com](https://ca.finance.yahoo.com/news/halliburton-first-quarter-falls-north-105521723.html))

- 2025-07-22: Halliburton forecasts steep full-year revenue decline on softer demand ([investing.com](https://www.investing.com/news/stock-market-news/halliburton-quarterly-profit-falls-on-weak-north-america-drilling-demand-4145484))

- 2025-10-16: Halliburton awarded multiple contracts by Petrobras ([finance.yahoo.com](https://finance.yahoo.com/news/halliburton-awarded-multiple-contracts-petrobras-121156328.html))

- 2026-01-21: Halliburton Shares Rise After Q4 Beat, Venezuela Restart Plans Highlighted ([finance.yahoo.com](https://finance.yahoo.com/news/halliburton-shares-rise-q4-beat-191646933.html))

- 2026-04-13: YPF Awards Halliburton Multibillion-dollar Long-term Unconventional Completions Contract in Argentina ([finance.yahoo.com](https://finance.yahoo.com/sectors/energy/articles/ypf-awards-halliburton-multibillion-dollar-105000815.html))

- 2026-08-26: Halliburton Wins BP Contract for Bumerangue Field Appraisal ([finance.yahoo.com](https://finance.yahoo.com/energy/articles/halliburton-wins-bp-contract-bumerangue-150300628.html))

### Sales · FY2025–2026

sales +0.9%; source https://www.sec.gov/Archives/edgar/data/45012/000004501226000015/hal-20251231.htm; observed 2026-02-06.

- FY2017: $21B 

- FY2018: $24B 

- FY2019: $22B 

- FY2020: $14B 

- FY2021: $15B 

- FY2022: $20B 

- FY2023: $23B 

- FY2024: $23B 

- FY2025: $22B 

- FY2026: $22B 

### Gross margin · FY2026

gross margin 15.1%; source https://www.sec.gov/Archives/edgar/data/45012/000004501226000015/hal-20251231.htm; observed 2026-02-06.

- FY2017: 11.0% 

- FY2018: 12.4% 

- FY2019: 10.2% 

- FY2020: 7.2% 

- FY2021: 13.2% 

- FY2022: 16.0% 

- FY2024: 18.7% 

- FY2025: 15.7% 

- FY2026: 15.1% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in oil & gas equipment & services; annual sales are USD 22.2 billion.

- Source: https://www.sec.gov/Archives/edgar/data/45012/000004501226000015/hal-20251231.htm (filed 2026-02-06); FY2025: revenue 22184000000; grossProfit 3484000000; margin = grossProfit / revenue.

### Why customers stay

Margins ranged from 15.7% to 100% during 2023–25; it earns 14.5% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); FY2023: grossProfit / revenue = 100%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); FY2024: grossProfit / revenue = 18.7%.

- Source: https://www.sec.gov/Archives/edgar/data/45012/000004501226000015/hal-20251231.htm (filed 2026-02-06); FY2025: grossProfit / revenue = 15.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); 10-year return on capital observations [[2017,0.0627441337642265],[2018,0.14986256979201396],[2019,-0.024763504058214387],[2020,-0.1842803792013789],[2021,0.16296966953372566],[2022,0.17465745389704845],[2023,0.3120128381476387],[2024,0.21512476815616738],[2025,0.1225829609214125],[2026,0.1396893366409297]]; median 0.14477595321647183. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years; bought back USD 1 billion of shares.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); FY2018: growth capex 420000000; upkeep 1606000000; owner earnings 1656000000. Growth capex / owner earnings = 0.2536231884057971.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); FY2021: growth capex 0; upkeep 799000000; owner earnings 1562000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); FY2022: growth capex 71000000; upkeep 940000000; owner earnings 1572000000. Growth capex / owner earnings = 0.045165394402035625.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); FY2023: growth capex 381000000; upkeep 998000000; owner earnings 2638000000. Growth capex / owner earnings = 0.1444275966641395.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); FY2024: growth capex 0; upkeep 1442000000; owner earnings 2138000000. Growth capex / owner earnings = 0.

- Source: https://www.sec.gov/Archives/edgar/data/45012/000004501226000015/hal-20251231.htm (filed 2026-02-06); FY2025: growth capex 0; upkeep 1254000000; owner earnings 1165000000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); Dividend observations: [[2016,620000000],[2017,626000000],[2018,630000000],[2019,630000000],[2020,278000000],[2021,161000000],[2022,435000000],[2023,576000000],[2024,600000000],[2025,579000000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://www.sec.gov/Archives/edgar/data/45012/000004501226000015/hal-20251231.htm (filed 2026-02-06); FY2025: cash repurchases 1007000000 USD.

### Are managers owners

Insiders own 0.4% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); HAL.US SharesStats.PercentInsiders = 0.40099999999999997 percentage points; cache date 2026-10-16.

### What could break it

FORWARD-LOOKING INFORMATION The Private Securities Litigation Reform Act of 1995 provides safe harbor provisions for forward-looking information.

- Source: https://www.sec.gov/Archives/edgar/data/45012/000004501226000015/hal-20251231.htm (filed 2026-02-06); Risk Factors. FORWARD-LOOKING INFORMATION The Private Securities Litigation Reform Act of 1995 provides safe harbor provisions for forward-looking information. Forward-looking information is based on projections and estimates, not historical information.

### What the price says

The price assumes cash profits grow 0.9% yearly over ten years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-06); Ten-year compound average after fade. Initial solved rate -0.0003673169939180654. Price 32.89; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share -1.1957796014067996 → FY2025 1.3657678780773739. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-10: $46.00 per share

- 2016-11: $53.09 per share

- 2016-12: $54.09 per share

- 2017-01: $56.57 per share

- 2017-02: $53.46 per share

- 2017-03: $49.21 per share

- 2017-04: $45.88 per share

- 2017-05: $45.19 per share

- 2017-06: $42.71 per share

- 2017-07: $42.44 per share

- 2017-08: $38.97 per share

- 2017-09: $46.03 per share

- 2017-10: $42.74 per share

- 2017-11: $41.78 per share

- 2017-12: $48.87 per share

- 2018-01: $53.70 per share

- 2018-02: $46.42 per share

- 2018-03: $46.94 per share

- 2018-04: $52.99 per share

- 2018-05: $49.74 per share

- 2018-06: $45.06 per share

- 2018-07: $42.42 per share

- 2018-08: $39.89 per share

- 2018-09: $40.53 per share

- 2018-10: $34.68 per share

- 2018-11: $31.43 per share

- 2018-12: $26.58 per share

- 2019-01: $31.36 per share

- 2019-02: $30.69 per share

- 2019-03: $29.30 per share

- 2019-04: $28.33 per share

- 2019-05: $21.29 per share

- 2019-06: $22.74 per share

- 2019-07: $23.00 per share

- 2019-08: $18.84 per share

- 2019-09: $18.85 per share

- 2019-10: $19.25 per share

- 2019-11: $20.99 per share

- 2019-12: $24.47 per share

- 2020-01: $21.81 per share

- 2020-02: $16.96 per share

- 2020-03: $6.85 per share

- 2020-04: $10.50 per share

- 2020-05: $11.75 per share

- 2020-06: $12.98 per share

- 2020-07: $14.33 per share

- 2020-08: $16.18 per share

- 2020-09: $12.05 per share

- 2020-10: $12.06 per share

- 2020-11: $16.59 per share

- 2020-12: $18.90 per share

- 2021-01: $17.63 per share

- 2021-02: $21.83 per share

- 2021-03: $21.46 per share

- 2021-04: $19.56 per share

- 2021-05: $22.45 per share

- 2021-06: $23.12 per share

- 2021-07: $20.68 per share

- 2021-08: $19.98 per share

- 2021-09: $21.62 per share

- 2021-10: $24.99 per share

- 2021-11: $21.59 per share

- 2021-12: $22.87 per share

- 2022-01: $30.74 per share

- 2022-02: $33.53 per share

- 2022-03: $37.87 per share

- 2022-04: $35.62 per share

- 2022-05: $40.50 per share

- 2022-06: $31.36 per share

- 2022-07: $29.30 per share

- 2022-08: $30.13 per share

- 2022-09: $24.62 per share

- 2022-10: $36.42 per share

- 2022-11: $37.89 per share

- 2022-12: $39.35 per share

- 2023-01: $41.22 per share

- 2023-02: $36.23 per share

- 2023-03: $31.64 per share

- 2023-04: $32.75 per share

- 2023-05: $28.65 per share

- 2023-06: $32.99 per share

- 2023-07: $39.08 per share

- 2023-08: $38.62 per share

- 2023-09: $40.50 per share

- 2023-10: $39.34 per share

- 2023-11: $37.03 per share

- 2023-12: $36.15 per share

- 2024-01: $35.65 per share

- 2024-02: $35.07 per share

- 2024-03: $39.42 per share

- 2024-04: $37.47 per share

- 2024-05: $36.70 per share

- 2024-06: $33.78 per share

- 2024-07: $34.68 per share

- 2024-08: $31.09 per share

- 2024-09: $29.05 per share

- 2024-10: $27.74 per share

- 2024-11: $31.86 per share

- 2024-12: $27.19 per share

- 2025-01: $26.02 per share

- 2025-02: $26.37 per share

- 2025-03: $25.37 per share

- 2025-04: $19.82 per share

- 2025-05: $19.59 per share

- 2025-06: $20.38 per share

- 2025-07: $22.40 per share

- 2025-08: $22.73 per share

- 2025-09: $24.60 per share

- 2025-10: $26.84 per share

- 2025-11: $26.22 per share

- 2025-12: $28.26 per share

- 2026-01: $33.52 per share

- 2026-02: $36.00 per share

- 2026-03: $38.99 per share

- 2026-04: $42.30 per share

- 2026-05: $38.85 per share

- 2026-06: $33.95 per share

- 2026-07: $32.25 per share

- 2026-08: $36.85 per share

- 2026-09: $31.80 per share

- 2026-10: $32.89 per share

## Annual estimated value (USD per share)

- FY2016: low $14.06 per share, central $15.41 per share, high $17.21 per share

- FY2022: low $19.00 per share, central $21.32 per share, high $24.42 per share

- FY2023: low $23.60 per share, central $26.58 per share, high $30.55 per share

- FY2024: low $28.91 per share, central $32.56 per share, high $37.42 per share

- FY2025: low $28.55 per share, central $32.21 per share, high $37.07 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:34:39.687Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/45012/000004501226000015/hal-20251231.htm); period 2025-12-31, filed 2026-02-06.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.