Stock Analysis on Net

SLB N.V. (NYSE:SLB)

$24.99

Price to Earnings (P/E)
since 2005

Microsoft Excel

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Calculation

SLB N.V., P/E, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of SLB N.V. Annual Report.


Share Price Trends
The share price exhibited notable volatility over the analyzed period. Initially, it rose from approximately $59.20 in 2006 to a peak near $89.33 in 2011, indicating a period of growth and optimism. Subsequently, there was a decline culminating in a low around $21.81 in 2021. After this trough, the share price showed recovery, climbing to about $56.25 by 2023, though it slightly retreated to $41.63 in early 2025. This pattern suggests cyclical market or company-specific factors affecting investor sentiment.
Earnings Per Share (EPS) Analysis
EPS generally increased from $1.87 in 2006, peaking at $5.15 in 2014, reflecting improving profitability. However, from 2015 onwards, EPS experienced substantial instability, including negative values in 2016 and 2017 of approximately -1.21 and -1.09 respectively, indicating losses during these years. The firm faced significant challenges around 2019 and 2020, with EPS plummeting to -7.32 and -7.55. Despite these, earnings began to recover after 2020, returning to positive territory and growing modestly to $3.18 in 2025. This trajectory points to periods of financial strain followed by gradual recovery.
Price-to-Earnings (P/E) Ratio Pattern
The P/E ratio showed a declining trend from a high of 31.7 in 2006 down to about 9.36 in 2009, coinciding with increasing EPS and fluctuating share prices. Post-2009, the ratio oscillated between roughly 17 and 29, with some missing data during years of negative EPS, as P/E is generally undefined when earnings are negative. Peaks in P/E, such as 39.75 in 2016, suggest market expectation divergence from actual earnings, possibly reflecting speculative valuation despite losses. In recent years, the ratio has declined steadily to a lower level near 13.07 by 2025, signalling a more conservative or realistic market valuation relative to earnings.
Overall Financial Insights
The company experienced a cycle of growth followed by significant financial challenges, reflected in EPS downturns and share price volatility. Recoveries in profitability and valuation metrics in recent years suggest effective corrective measures or improving market conditions. The inconsistency in P/E ratios emphasizes periods of market uncertainty or speculative investor behavior. Monitoring future EPS stability and the alignment of market price with underlying earnings will be crucial for assessing ongoing financial health.

Comparison to Industry (Energy)