Weatherford International (NASDAQ: WFRD) has been downgraded by Raymond James from “Strong Buy” to “Outperform,” with a revised price target of $69, down from $73. This shift comes amid heightened concerns over the company’s exposure to the Mexican market, where weakening activity from state-owned oil firm Pemex has started to weigh on performance.
🌐 The analyst cited broader geopolitical and economic uncertainties—particularly unresolved tariff issues—that are clouding the outlook for Weatherford in the near term. These headwinds have led to a more cautious stance, even though the company remains fundamentally solid.
💼 Despite the downgrade, the firm’s operational base remains resilient. But analysts are tempering expectations due to region-specific risks that could cap short-term upside.
💰 Dividend Fundamentals
💵 Weatherford currently offers a forward dividend yield of about 1.42%, translating to an annual dividend of $1.00 per share. The payout ratio is notably low at 10.81%, suggesting a well-covered dividend that leaves ample room for reinvestment and flexibility.
📅 The most recent ex-dividend date was February 21, 2025, with the dividend distributed on March 19. Although the yield isn’t high, it provides an additional layer of appeal for shareholders focused on total return.
⚠️ In essence, while Weatherford continues to maintain financial discipline, especially with its dividends, investors should be mindful of external risks tied to geopolitical and regional market dynamics that are currently driving this revised outlook.