Weatherford rises after third-quarter results beat estimates

What happened

Weatherford (WFRD) rose 2.9% on October 20, 2026, because the company reported third-quarter 2026 results that beat estimates. The market value was $5.45 billion at the close and trading volume was 1.9 times its 20-day average. The company reported quarterly earnings of $1.66 per share versus $1.33 expected, 24.8% above estimates, according to GlobeNewsWire and Zacks Investment Research.

How big was the move

The session’s 2.9% gain was 1.2 times a typical daily move for this stock and 2.9 percentage points better than the Energy sector median, which was unchanged on the day. The S&P 500 rose 0.3% on the session; over the last five sessions the index fell 1.2% while Weatherford rose 2.8%. Market sensitivity remains elevated, with a beta of 1.39, so the stock tends to move more than the market.

The technical picture

The stock closed 0.1% above its 20-day moving average and 7.7% below its 50-day moving average, while it was 14.8% below its 200-day moving average. The 50-day average is below the 200-day average, a sign of a weak longer-term trend. The Relative Strength Index (14 days) was 47, in a neutral range, and the share price was 29.9% below the 52-week high. Over one month the stock fell 3.5% and over three months it fell 8.9%, but it rose 27.4% over one year, 11.6 percentage points ahead of the S&P 500. Volatility was 38% annualized over 60 days, lower than 81% of its own readings over five years.

Those indicators paint a mixed picture. Short-term momentum is tepid, with the RSI in the middle of its range and the stock slightly above its 20-day average. Longer-term technicals remain weak, given the 50-day average sits below the 200-day average and the stock remains well under its 52-week high. At the same time, one-year performance outpaced the market by double digits, underscoring that recent weakness follows a period of stronger gains.

Fundamentals and valuation

For the four quarters through September 30, 2026, revenue was $4.69 billion, a decline of 5.7% from a year earlier, while diluted earnings per share were $5.61, up 1.6% year over year. Gross margin widened to 61.4% from 48.5% a year earlier, though operating margin narrowed to 12.4% from 15.2% a year earlier. Free-cash-flow margin was 13.3% and return on invested capital was 13.6%; the balance sheet showed net debt of 0.1 times EBITDA.

The stock trades at 14.1 times trailing earnings and 16.0 times expected earnings, with a free-cash-flow yield of 11.4%. Its current valuation is lower than 62% of its own readings over the past five years, compared with a five-year median of 16.7 times earnings. Those figures underline an attractive value signal measured against the company’s recent history while margins and cash flow show operational improvement despite lower revenue.

PromtFinance scores reinforce that contrast: Value 96 (Exceptional) and Quality 78 (Positive) sit alongside Momentum 37 (Weak) and Stability 33 (Weak). Revisions are strong at 82 (Strong) and Growth is neutral at 47 (Neutral), reflecting a mix of attractive valuation and uneven near-term operational trends.

Earnings and analyst expectations

Weatherford’s October 20, 2026, report showed quarterly earnings of $1.66 per share versus $1.12 a year earlier and beating the Zacks Consensus Estimate of $1.21 per share, according to GlobeNewsWire and Zacks Investment Research. The company provided non-GAAP financial measures and reconciliations in its release. This was the first consecutive quarter beating estimates and the average surprise over the last four reports was 15.2% above estimates; the typical two-day reaction after recent reports was that the stock rose 2.7%.

Analysts covering the stock number 39, with 64% rating the stock Buy or Strong Buy and a consensus rating of Buy. The consensus price target is $136.00, which is 71.4% above the closing price. The next report is scheduled for February 9, 2027.

What to watch

• October 20, 2026: quarterly earnings per share of $1.66 versus $1.33 expected, 24.8% above estimates.
• Next report: February 9, 2027.
• Consensus price target: $136.00, 71.4% above the closing price.
• Balance sheet metric: net debt of 0.1 times EBITDA.
• Valuation: 14.1 times trailing earnings and a free-cash-flow yield of 11.4%.