Dodge & Cox Reduces SLB Holdings by 6.8% in Q2 2023

Dodge & Cox has decreased its stake in SLB Limited (NYSE: SLB) by 6.8% during the second quarter of 2023. According to a recent filing with the Securities and Exchange Commission (SEC), the fund sold 41,125 shares, bringing its total holdings to 566,284 shares valued at approximately $19,140,000 at the end of the quarter. This move reflects a broader trend as other institutional investors adjust their positions in the oil and gas company.

Several hedge funds have also made changes to their investments in SLB. For instance, Twin Peaks Wealth Advisors LLC acquired a new stake in SLB worth around $25,000 during the second quarter. In the first quarter, Atlas Capital Advisors Inc. purchased shares valued at $33,000. Additionally, Atticus Wealth Management LLC obtained a stake worth $29,000 in the same period. Notably, Thurston Springer Miller Herd & Titak Inc. increased its holdings in SLB by an impressive 55.3%, owning 983 shares valued at $33,000 after acquiring an additional 350 shares. NewSquare Capital LLC also raised its stake by 51.4%, now owning 1,004 shares valued at $34,000.

Institutional investors hold a substantial majority of SLB stock, with approximately 81.99% of shares owned by hedge funds and other entities.

Insider Transactions and Stock Performance

Recent insider trading activity has also drawn attention. On November 13, 2023, Chief Financial Officer Stephane Biguet sold 38,447 shares at an average price of $36.75, totaling $1,412,927.25. Following this transaction, Biguet holds 175,690 shares, valued at around $6,456,607.50, representing a 17.95% decrease in his position. This transaction was disclosed in a legal filing accessible through the SEC.

Additionally, insider Dianne B. Ralston sold 39,727 shares on September 12, 2023, at an average price of $36.08, amounting to $1,433,350.16. Following this sale, Ralston owns 202,201 shares valued at approximately $7,295,412.08, reflecting a 16.42% reduction in her holdings. In total, insiders have sold 143,674 shares of SLB stock over the past 90 days, valued at $5,304,687. Corporate insiders currently own 0.22% of the company’s stock.

Recent Earnings and Dividends

SLB’s stock opened at $38.50 on the market, with a fifty-day moving average of $35.41 and a two-hundred day moving average of $34.94. The company has a 52-week low of $31.11 and a high of $44.66. SLB has a market capitalization of $57.52 billion, a price-to-earnings ratio of 14.86, and a beta of 0.73.

In its latest earnings report released on October 17, 2023, SLB announced earnings per share (EPS) of $0.69, surpassing analysts’ estimates of $0.67 by $0.02. The company reported a net margin of 10.34% and a return on equity of 18.97%. Revenue for the quarter reached $8.93 billion, slightly below analysts’ expectations of $8.99 billion. Year-over-year, the firm’s revenue decreased by 2.5%.

In addition, SLB announced a quarterly dividend of $0.285 per share, scheduled for payment on January 8, 2024. Shareholders of record on December 3, 2023, will receive this dividend, translating to an annualized dividend of $1.14 and a yield of 3.0%. The company’s dividend payout ratio stands at 44.02%.

SLB Limited continues to play a significant role in the global energy industry, providing technology and services across various sectors. The company operates through four divisions: Digital & Integration, Reservoir Performance, Well Construction, and Production Systems. SLB is focused on field development, hydrocarbon production, carbon management, and the integration of adjacent energy systems, among other services.