Byron King
Analyst and Editor of
Outstanding Investments
Pittsburgh, PA
Exxon-Mobil (XOM) World's most technically competent, integrated oil company. Known for crisp execution of astonishingly difficult projects. Share price has held up relatively well in the past three months, falling from $87 to about $74. Not bad, considering... Cash rich. Dividend yield is 2.1%. But expect lower earnings to accompany lower crude oil prices.
If you own XOM, you should hold it. If you don't own XOM, there's no hurry to buy. But eventually you will want to take advantage of the drop in share price to build a position.
Transocean (RIG) Dominant deep-water drilling company. There are few competitors in this technically difficult field. The deepwater drilling business works in timeframes of many years, even decades. So RIG's rigs are leased out for many years going forward. Still, in the past few weeks the share price has dropped from $130 to the low $80s. A lot of the sellers were hedge funds that were tossing things over the side to meet redemptions and margin calls.
If you won RIG, you should hold it. If you don't own RIG, consider nibbling at shares at current prices. Begin to build a position. This company ought to do well for many years going forward.
National Oilwell Varco (NOV) NOV is a great company, and one of the premier oil service providers in the worldwide oil patch. But its share price has tumbled from near $90 to the low $30s within the past two months. NOV has been hit hard. But there's probably more bad news from the trading pits in the coming weeks and months.
If you own NOV, there is still some down-side to this stock. If you have a long time frame -- two years and more -- then hang on. Otherwise, and if you need the funds any time soon, consider selling out. If you don't own NOV, keep watching for more weakness. Eventually, you will want to own a solid position in this great company.
UN-CUT Extended Grease Interview WBBM's Regine Schlesinger talks with Grease co-creator Jim Jacobs and Actress Allie Schulz in this extended interview.
Complete Tax
An online tax preparation and e-filing service for do-it-yourself taxpayers
Sponsored Links:
WBBM-AM 780 has been the consistent all news radio voice in Chicagoland for over 35 years and is now streaming online for free. Listen online to Chicago news as it happens around the clock, along with Chicago traffic, Chicago weather, Chicago sports and Chicago business. Subscribe to WBBM's free podcasts for additional Chicago business and Chicago community reports and listen to Chicago news on demand. WBBM news radio is also the home for Chicago Bears, Chicago Auto Show and Chicago Air & Water Show. www.wbbm780.com
E-Mail Story
Print Story
