Halliburton Company (HAL) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+61.1%

$56.18

vs $34.88 price

Levered DCF

$47.63

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

3.57

Safe zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	18.72×	9.61×	12.34×	22.61×	14.03×	-5.66×	-18.97×	14.06×
P/B	2.27×	2.28×	3.46×	4.48×	3.04×	3.35×	2.67×	2.44×
P/S	1.07×	1.05×	1.41×	1.75×	1.33×	1.15×	0.96×	0.97×
EV / EBITDA	7.19×	6.02×	7.91×	10.69×	10.43×	15.24×	9.82×	7.28×
Gross margin	15.7%	18.7%	18.9%	16.0%	13.2%	7.2%	10.2%	12.4%
Operating margin	10.2%	16.7%	17.7%	13.3%	11.8%	-16.9%	-2.0%	10.3%
Net margin	5.8%	10.9%	11.5%	7.7%	9.5%	-20.4%	-5.0%	6.9%
Current ratio	2.04×	2.05×	2.06×	2.05×	2.31×	2.14×	2.3×	2.32×
Debt / equity	0.78×	0.83×	0.94×	1.13×	1.52×	2.18×	1.42×	1.09×
Interest coverage	6.42×	10.83×	7.06×	5.5×	3.4×	-4.49×	-0.76×	4.13×
Dividend yield	2.4%	2.5%	1.8%	1.2%	0.8%	1.7%	2.9%	2.7%
Payout ratio	45.1%	24.0%	21.8%	27.7%	11.1%	-9.4%	-55.7%	38.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	12.3%	23.8%	28.1%	19.8%	21.7%	-59.2%	-14.1%	17.4%
Return on invested capital	8.4%	14.7%	16.7%	11.3%	9.9%	-12.9%	-2.2%	10.6%
Return on assets	5.1%	9.8%	10.7%	6.8%	6.5%	-14.2%	-4.5%	6.4%
Free cash flow yield	7.1%	10.1%	6.4%	3.5%	5.5%	6.9%	4.3%	4.9%
Earnings yield	5.4%	10.4%	8.1%	4.4%	7.1%	-17.7%	-5.3%	7.1%
Enterprise value	$29.6B	$30.1B	$39B	$42.2B	$27.6B	$24.9B	$30.5B	$31.6B
Net debt / EBITDA	1.44×	1.23×	1.33×	1.67×	2.71×	5.06×	2.93×	1.92×
Cash conversion cycle (days)	78	78	79	79	88	99	87	80