Started buying a few shares of National-Oilwell Varco, Inc. [[NOV]] here.
Lots of questions about the future in energy services as E&P capex is getting cut. The market is pricing in a 50% drop in oil service earnings. I think that’s an overshot. Global oil demand would have to go back to the malaise of 1974-75 or 1980-83 for the numbers to be as bad as analysts are expecting.
I expect that there will be a rally in service stocks going into Q1, as earnings surprise, before profit taking takes hold.
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