01:10 PM EDT, 04/23/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

Our 12-month target of $41, up $3, reflects a 7.2x multiple of EV to projected 2025 EBITDA, below HAL's historical average. We believe a discount is merited due to HAL's above-peer average net debt-to-capital ratio of 34% (vs. the peer average of 25%). We cut our 2024 EPS view by $0.08 to $3.40 and keep 2025's at $3.96. Q1 EPS of $0.76 vs. $0.72, beat consensus by $0.02. Q1 revenue ($5.8B) grew 2% Y/Y and 1% sequentially, driven by HAL's North American segment (+5%). Q1 EBITDA margin (21.5%) was flat Y/Y, but fell 136 bps sequentially. For 2024, HAL noted it expects North American revenues to remain flat Y/Y, while expecting international revenues to grow in the low-double digits; however, should OPEC+ hold its expected production cuts through YE 2024, we think HAL's international revenue goal could fall short, given that its Middle East/Asia exposure accounts for over 20% of its total revenues (~25% in 2023). We see HAL with FCF in the range of $2.26B in 2024 (vs. $2.27B in 2023). Shares yield 1.8%.