Schlumberger Limited (SLB) Gets Initiated With a Buy Rating by Rothschild & Co Redburn

Schlumberger Limited (NYSE:SLB) is one of the best undervalued stocks to buy under $50. Schlumberger Limited (NYSE:SLB) was initiated with a Buy rating by Rothschild & Co Redburn on November 3 with a $48 price target.

Schlumberger (SLB) Dives 10.69% as Earnings Disappoint

The firm told investors that Schlumberger Limited (NYSE:SLB) has managed to reshape its business in recent years, even when its shares have “derated materially”, increasing exposure to less cyclical areas by acquiring ChampionX and disposing of “capital-intensive” assets.

Rothschild & Co Redburn cited several catalysts it sees driving a re-rating of the shares, including an increase in free cash flow and distributions and a return to earnings upgrades.

The same day as the rating update, Schlumberger Limited (NYSE:SLB) announced the launch of Tela™, a purpose-built agentic AI assistant specialized for the transformation of the upstream energy sector.

Management reported that Tela “leverages agentic AI to not only automate processes but transform workflows and drive better business outcomes”, and would be embedded in the company’s portfolio of platforms and applications. Users will be able to interact via a simple conversational interface, allowing the agentic AI to take on the role of a proactive collaborator.

Schlumberger Limited (NYSE:SLB) provides energy technology and operates through the following business segments: Digital and Integration, Reservoir Performance, Well Construction, and Production Systems.

While we acknowledge the potential of SLB to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than SLB and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.