12 Best Energy Stocks to Invest In According to Billionaires

7. Schlumberger Limited (NYSE:SLB)

Number of Billionaire Holders: 16

Schlumberger Limited (NYSE:SLB) is the world’s leading provider of technology for reservoir characterization, drilling, production, and processing to the global energy industry. The company’s clients include major oil and gas producers worldwide.

Schlumberger Limited (NYSE:SLB) had a strong Q4 2024 as its adjusted EPS of $0.92 outperformed expectations by $0.02. The company’s revenue of $9.28 billion was also up 3.27% YoY and above estimates by almost $103 million. SLB is also benefiting from its global scale, highlighted by 12% international revenue growth in its full year 2024. The oilfield services company generated an operating cash flow of $2.39 billion and a free cash flow of $1.63 billion in the fourth quarter. It also entered into accelerated share repurchase (ASR) transactions to repurchase $2.3 billion of its stock and raised its quarterly dividend by 3.6% to $0.285 per share. The company plans to return a minimum of $4 billion to its shareholders in 2025.

Shares of Schlumberger Limited (NYSE:SLB) have surged by over 6% since the beginning of the year. SLB was also included in our list of the 12 Most Undervalued Large Cap Stocks to Buy Now.

Ariel Investments stated the following regarding Schlumberger Limited (NYSE:SLB) in its Q4 2024 investor letter:

“Also in the quarter, we initiated a position in Schlumberger Limited (NYSE:SLB), the largest oilfield services company in the world by revenue. SLB provides equipment, services, and digital tools to help oil and gas producers operate more efficiently, including reservoir characterization, rig and well construction and production enhancement. We believe the company’s scale and technical expertise serves as a key differentiator. Weak near-term demand, an oil glut, falling commodity prices and concerns about future spending amid a global shift to renewable energies presented an attractive entry point. We believe there are tailwinds supporting rising demand over the medium-term, as national oil companies invest in long-cycle projects to grow capacity and address the natural decline of production. Additionally, we expect SLB will continue to evolve their capabilities to help clients with rising energy needs going forward.”