Weatherford International (NYSE:WFT) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Sunday, January 21st.
According to Zacks, “Weatherford International Ltd.’s price chart underperformed the broader market indices over the last year. The company’s debt-heavy balance sheet and inadequate cash balances are other concerns. The debt increased by nearly 30% during 2016 with little sign of reduction during the 2017 so far. Further, cash balance plunged by over 43% so far this year. This reflects the weakness of its balance sheet. Moreover, the credit ratings of the company’s bonds were downgraded by multiple credit rating agencies in 2016. Given high debt load and weak credit ratings we think that Weatherford might face difficulties in generating debt capital for financing future growth projects. Volatile gas prices also remain a drag. Under these headwinds, we expect shares of Weatherford to be under pressure in the near future.”
A number of other equities research analysts also recently commented on the company. Morgan Stanley decreased their target price on Weatherford International from $5.50 to $5.00 and set an “overweight” rating on the stock in a research report on Thursday, November 2nd. Sanford C. Bernstein upgraded Weatherford International from a “market perform” rating to an “outperform” rating in a research report on Friday, November 3rd. Citigroup downgraded Weatherford International from a “buy” rating to a “neutral” rating and set a $4.20 target price on the stock. in a research report on Monday, November 6th. Jefferies Group set a $5.00 price objective on Weatherford International and gave the company a “hold” rating in a research report on Thursday, October 5th. Finally, Royal Bank of Canada set a $5.00 price objective on Weatherford International and gave the company a “buy” rating in a research report on Thursday, December 21st. Six equities research analysts have rated the stock with a sell rating, six have given a hold rating, seventeen have given a buy rating and one has assigned a strong buy rating to the company’s stock. The stock currently has a consensus rating of “Hold” and an average target price of $5.48.
Shares of Weatherford International (NYSE WFT) traded down $0.02 during trading on Friday, hitting $2.74. The stock had a trading volume of 19,248,554 shares, compared to its average volume of 27,800,000. Weatherford International has a fifty-two week low of $2.62 and a fifty-two week high of $7.09. The stock has a market capitalization of $2,740.00, a P/E ratio of -1.65 and a beta of 2.07. The company has a quick ratio of 1.33, a current ratio of 2.04 and a debt-to-equity ratio of 5.44.
Weatherford International (NYSE:WFT) last posted its earnings results on Friday, February 2nd. The oil and gas company reported ($0.33) EPS for the quarter, missing analysts’ consensus estimates of ($0.21) by ($0.12). The firm had revenue of $1.49 billion during the quarter, compared to analysts’ expectations of $1.50 billion. Weatherford International had a negative return on equity of 75.02% and a negative net margin of 49.36%. Weatherford International’s quarterly revenue was up 6.0% on a year-over-year basis. During the same quarter in the prior year, the firm posted ($0.32) earnings per share. analysts forecast that Weatherford International will post -0.61 earnings per share for the current year.
In other Weatherford International news, VP Douglas M. Mills sold 7,500 shares of the company’s stock in a transaction on Wednesday, December 20th. The stock was sold at an average price of $3.75, for a total transaction of $28,125.00. Following the completion of the sale, the vice president now owns 271,625 shares in the company, valued at $1,018,593.75. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, VP Douglas M. Mills sold 15,223 shares of the company’s stock in a transaction on Thursday, January 18th. The stock was sold at an average price of $4.07, for a total value of $61,957.61. Following the sale, the vice president now owns 256,402 shares of the company’s stock, valued at approximately $1,043,556.14. The disclosure for this sale can be found here. In the last three months, insiders sold 46,726 shares of company stock worth $193,648. 1.16% of the stock is owned by insiders.
Institutional investors have recently bought and sold shares of the business. Larson Financial Group LLC purchased a new stake in Weatherford International during the fourth quarter worth $104,000. Investors Research Corp purchased a new stake in Weatherford International during the fourth quarter worth $105,000. Quantitative Systematic Strategies LLC purchased a new stake in Weatherford International during the third quarter worth $123,000. Balentine LLC lifted its holdings in Weatherford International by 68.5% during the third quarter. Balentine LLC now owns 36,706 shares of the oil and gas company’s stock worth $168,000 after buying an additional 14,922 shares during the period. Finally, Private Advisor Group LLC lifted its holdings in Weatherford International by 63.2% during the second quarter. Private Advisor Group LLC now owns 39,207 shares of the oil and gas company’s stock worth $146,000 after buying an additional 15,178 shares during the period.
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Weatherford International Company Profile
Weatherford International Ltd. (Weatherford) is one of the largest multinational oilfield service companies providing innovative solutions, technology and services to the oil and gas industry. The Company operates in over 90 countries and has a network of approximately 860 locations, including manufacturing, service, research and development, and training facilities and employs approximately 29,500 people.
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