Any mention is good?Hard to believe a guy who doesn't own but hey , it fell just a couple of days ago.
Rise in oil prices to boost oilfield services stocks: Analyst
Iva Poshnjari, BNN Bloomberg
A sustained rise in the price of oil could benefit oilfield services and reward investors who pick up these stocks while they remain undervalued, according to one analyst.
Speaking with BNN Bloomberg’s Amber Kanwar on Monday, Cole Pereira, vice president of equity research at Stifel, said the oilfield services industry tends to benefit from market activity once investors see gas prices improve.
He believes the rise in oil prices will continue long enough for many of these companies to pay down all their debt and strengthen their balance sheets.
“The earnings profiles for these companies are quite a bit stronger than folks are thinking – and despite that they trade at historic valuation lows,” he said.
He recommended Trican Well Service Ltd. (TCW), Enerflex Ltd. (EFX) and Precision Drilling Corp. (PD) as his top picks within the oilfield services sector.
He, his family and his firm do not own any shares in the companies mentioned above, however, his investment banking clients do.