-=Halliburton (HAL) reported earnings on Mon 21 Oct 2019 (b/o)

Halliburton reports EPS in-line, misses on revs

Oct 21 (Reuters) - Oilfield services provider Halliburton Co reported a 32% slump in quarterly profit on Monday, hit by a slowdown in shale drilling in North America, its biggest market.

Net profit attributable to Halliburton fell to $295 million, or 34 cents per share, in the third quarter ended Sept. 30, from $435 million, or 50 cents per share, a year earlier.

Revenue fell 10% to $5.55 billion. 

Earnings this week : Oct 21 - 25, 19 (wk 43)

Monday (Oct 21)

• Morning: HAL LII PETS SAP
• Afternoon: ACC ELS HXL HMST LOGI AMTD  TACO

Tuesday (Oct 22)

• Morning: ABG BIIB CNC GATX HOG HAS JBLU KMB LMT MCD PCAR  PII PG DGX SERV  SHW TRV  TTS  UTX UPS
• Afternoon: BYD CMG CNI CSGP CSL DFS EEFT EQR FMBI FULT HA HCSG HIW IRBT LRN MANH MPWR MTH NAVI NBHC NBTB NTB SIX SKX SNAP TER TRMK TXN UCBI USNA WHR WRB

Wednesday (Oct 23)

• Morning: ABB ALKS ALXN ANTM APH AVY BA BANC BCO BKU BOKF BPOP BSX BX CADE CAT CLF CMC CSTM EVR FCFS FCX FSV GD GWW HLT HRI HTLD IVZ KNX LAD LLY MHO MKTX NDAQ NSC NTRS OC PB PNR RCI RES ROL SALT SCL SLAB SLGN TDY TMO TZOO UNF WGO WM
• Afternoon: AEM AKR ALGN AMP APY ARI ASGN BCOV BMRN BXMT CLB CLGX CMRE CP CUBI CUZ CVBF DHT EBAY ECHO EFX EGP EIG ESRT ESS EW F FBHS FFIV FR FTI GGG GL HNI ICLR ISBC KALU KNL KRA KRC LMAT LRCX LSTR LVS MKSI MSA MSFT MX NGVT NOW NTGR NXGN ORLY PKG PLXS PTC PYPL QEP RHI RJF RRC SAVE SEIC SLM SRPT STL SUI TRN TSLA UFPI VAR VMI WPG WSBC XLNX

Thursday (Oct 24)

• Morning: AAL AB ADS AEP AIMC ALLE ASPS AXTA AZN BAX BC BGCP CMCS.A CMS COLB COWN CRI CRS CTS CTXS DHR DOW ENTG FAF FCN GNC GPI GRA HBAN HEES HSY IART KIM LH LUV MMM MNRO MSM MTRN NOC NOK ODFL ONDK ORI PATK PDS PRLB PTEN ROP RS RTN SAH SCHN STM SWK TAL TECK TROW TRTN TSCO TWTR UBSI VC VLO VLY WST XEL
• Afternoon: AFL AJG ALGT ALK AMZN ANIK ASB AUY AVT BHE BJRI BOOM CERN CINF CLS COF COG CSLT CUBE CVA CXP CY DECK DLX EHTH EMN ENVA FET FHB FII FIX FLEX FSLR FTV FWRD GCAP GILD HLI ILMN INTC JNPR KN LOGM LPLA MHK MXL NTUS OIS OMCL OSIS PEB PFG PFPT POWI PRO RMD SBCF SIVB SPSC SWN TNET UHS V VCRA VRSN VVI WERN WRE 

Friday (Oct 125)

• Morning: ALV AON B BEN BUD CHTR GBX GRC GT GVA HUN ITW KEX LEA NRZ PFS PSX PSXP ROCK SBSI SJR TILE UFS VFC VRTS VTR VZ WETF WY YNDX

Reports this week:

• Monday: No economic data scheduled
• Tuesday: September Existing Home Sales (prior 5.49 mln) at 10:00 ET and $40 bln 2-yr Treasury note auction results at 13:00 ET
• Wednesday: Weekly MBA Mortgage Index (prior 0.5%) at 7:00 ET; August FHFA Housing Price Index (prior 0.4%) at 9:00 ET; weekly crude oil inventories (prior +8.0 mln) at 10:30 ET; and $41 bln 5-yr Treasury note auction results at 13:00 ET
• Thursday: Weekly Initial Claims (prior 214,000), Continuing Claims (prior 1.679 mln), September Durable Orders (prior 0.2%), and Durable Orders ex-transportation (prior 0.5%) at 8:30 ET; September New Home Sales (prior 713,000) at 10:00 ET; weekly natural gas inventories (prior +104 bcf) at 10:30 ET; and $32 bln 7-yr Treasury note auction results at 13:00 ET
• Friday: Final October Michigan Consumer Sentiment Survey (prior 96.0) at 10:00 ET

Notable earnings reports: 

• Halliburton (NYSE:HAL), SAP SE (NYSE:SAP) and TD Ameritrade (NASDAQ:AMTD) on October 21; 
• UPS (UPS), McDonald's (MCD), Procter & Gamble (PG), Travelers (NYSE:TRV), United Technologies (NYSE:UTX), Centene (NYSE:CNC), Chipotle (NYSE:CMG), Lockheed Martin (NYSE:LMT), Discover Financial Services (NYSE:DFS), Hasbro (NASDAQ:HAS) and Kimberly-Clark (NYSE:KMB) on October 22; 
• Boeing (BA), Caterpillar (CAT), Microsoft (NASDAQ:MSFT), Anthem (NYSE:ANTM), Blackstone (NYSE:BX), Boston Scientific (NYSE:BSX), Canadian Pacific (NYSE:CP), Cleveland-Cliffs (NYSE:CLF), eBay (NASDAQ:EBAY), Edwards Lifesciences (NYSE:EW), Eli Lilly (NYSE:ELY), Equifax (NYSE:EFX), F5 Networks (NASDAQ:FFIV), Ford (NYSE:F), PayPal (NASDAQ:PYPL), Tesla (TSLA) and General Dynamics (NYSE:GD) on October 23; 
• Intel (INTC), Visa (NYSE:V), Amazon (AMZN), Comcast (NASDAQ:CMCSA), Raytheon (NYSE:RTN), Southwest Airlines (NYSE:LUV), T-Mobile (NASDAQ:TMUS), Twitter (TWTR) and Northrop Grumman (NGC) on October 24; 
• Verizon (NYSE:VZ) and Anheuser-Busch InBev (NYSE:BUD) on October 25. 

Long trade : HAL +15% (9/17)

a.  8/31:  #28, 75; vol.  5.2M
b. 9/12  vol.  7.0M

  

HAL — is it a buy?

• 1/28/16:   #58

• Next few weeks:

Halliburton (HAL) reported 4Q earnings on Mon 25 Jan 2016 (before open)

** charts before earnings **

  

** charts after earnings **

  

Halliburton beats by $0.07, reports revs in-line :

• Reports Q4 (Dec) earnings of $0.31 per share, excluding non-recurring items, $0.07 better than the Capital IQ Consensus of $0.24; revenues fell 42.1% year/year to $5.08 bln vs the $5.13 bln Capital IQ Consensus. 
  • As a result of the downturn in the energy market and its corresponding impact on the company's business outlook, Halliburton recorded co-wide charges related primarily to asset write-offs and severance costs of ~$192 million, after-tax, or $0.22 Adjusted operating income was $473 mln in Q4, compared to adjusted operating income of $506 million in Q3.
• Completion and Production rev -12% QoQ to $2.8 bln, primarily driven by activity and pricing headwinds in all regions; operating income -12% QoQ to $144 mln.
• Drilling and evaluation rev -5% QoQ to $2.3 bln, driven primarily by decreased drilling activity and logging services in the United States, Latin America, and Europe/Africa/CIS, along with reduced project management activity and drilling services in Middle East/Asia; operating income flat QoQ at $399 mln.
• "For our international business, fourth quarter revenue and operating income declined sequentially by 5% and 10%, respectively, as a result of price concessions and activity declines. In addition, due to customer budget constraints, we did not see the typical benefit from year-end equipment and software sales... North America revenue declined 13% sequentially, led by reduced activity and pricing concessions in US Land. Operating margins improved by 160 basis points, driven by cost reduction efforts, and year-end completion tool sales in the Gulf of Mexico.
• "2016 is expected to be another challenging year for the industry."
• Fully committed to Baker Hughes acquisition. "We are continuing our discussions with competition authorities, and recently offered an enhanced set of divestitures in an effort to resolve competition-related concerns as soon as possible."

HAL — is it a buy?

• 10/21/15:  #28

• In the following months:

Great trade: HAL weekly calls up 495% in 3 days

The power of weekly options:

• bought weekly HAL $37 call on Mon 10/24 with 4 days till expiration, for $0.23.  
• Sold  3 days later for $1.37, i.e. $1.14 or 495% profit. (charts from Monday below)

 

bought - Mon Oct 24

10/24/11

Option

Buy Open

HAL Oct 28 '11 $37 Call w

Mkt

Day

Mkt

0.23

Executed

HAL Oct 28 '11 $37 Call w

0.25  +0.15  (+150.00%)

Bid (Size) 0.21 (83)

Ask (Size) 0.23 (183)

Volume   179

Open Interest 1,188

Real Time

10/24/11 1:52:00 PM ET

sold - Thur Oct 27

10/27/11  Option  Sell Close  HAL Oct 28 '11 $37 Call w  Mkt  Day  Mkt  1.37  Executed

HAL Oct 28 '11 $37 Call w

1.60  +1.41  (+742.11%)

Bid (Size) 1.44 (66)	Ask (Size) 1.51 (334)	Volume   51	Open Interest 1,415

Real Time

10/27/11 9:45:00 AM ET

HAL -  charts on Monday