NEW YORK (TheStreet) -- Halliburton Co. (HAL) - Get Report stock is increasing 2.66% to $35.95 in late morning trading on Wednesday after oil prices jumped despite a build-up in domestic crude stockpiles.
WTI crude is rising 2.51% to $39.24 per barrel on the New York Mercantile Exchange, while Brent crude is up 2.45% to $40.10 per barrel on the Intercontinental Exchange this morning.
U.S. commercial crude oil inventories increased by 2.3 million barrels to 534.8 million barrels last week, but production is slowly declining, according to data from the U.S. Energy Information Administration.
Domestic crude oil production averaged 9.02 million barrels per day for the week ended March 25, compared with 9.04 million barrels per day for the previous week.
Shares of Halliburton are also rising after Citigroup analysts said the Houston-based oilfield service provider's stock could increase about 50% after oil prices stabilize over the next year.
"Halliburton's portfolio trails few in quality, especially if frac is considered a value add segment given their differentiated performance," analysts added, according to Barron's. "Moreover, the market under-appreciates how the value add lines operating abroad are providing the cash flow to invest in enhancing frac service efficiency."
Separately, Halliburton has a "hold" rating and a letter grade of C at TheStreet Ratings because of the company's strengths, such as solid financial position based on certain debt and liquidity measures, and its weaknesses, including disappointing return on equity, poor profit margins and weak operating cash flow.
You can view the full analysis from the report here: HAL
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.