Halosource CP S Share Discussion Threads

[grupo guitarlumber] 02/9/2004 18:45

CSFB upgrades oils; firm favors oilfield service stocks

By Lisa Sanders
Last Updated: 9/2/2004 12:18:18 PM



DALLAS (CBS.MW) - CS First Boston said Thursday it favors oilfield service stocks as it upgraded the oil sector and raised the ratings on Schlumberger and Noble Corp.

Schlumberger (SLB) shares rose by 61 cents to $63.58, and Noble (NE) stock gained 66 cents to last trade at $41.95. The Philadelphia Oil Service Index (OSX) was up 0.6 percent at 113.03, and the Merrill Lynch Oil Service HOLDRS (OIH) advanced 53 cents to $75.68.

It was the third time in four days that Wall Street firms put out bullish calls on oil-service stocks. Lehman Bros. on Monday and Merrill Lynch on Tuesday said they're encouraged about the prospects for the group because of commodity prices and the expectation of increased exploration and production spending. See Market Focus.

On Thursday, CSFB upgraded the oil sector to "5 percent overweight" from "benchmark," in line with new oil price forecasts to $28 a barrel from $21 a barrel.

"As before, our prime focus is on the beneficiaries of an increase in oil companies' spending," analyst Andrew Garthwaite wrote in a research report.

Halliburton (HAL) is a favorite, Garthwaite said. Schlumberger and Noble were upgraded to "outperform" from "neutral."

"Incremental upstream spending should be increasingly directed toward offshore and international projects, playing to Schlumberger's strengths," analyst Ken Sill wrote.

Noble's valuation and strengthening offshore drilling fundamentals led to an upgrade for that company's stock, he said.

"While recent share performance has been strong, the shares have lagged the Oil Service Index year-to-date and over the past 12 months, and we believe that there is substantial upside given accelerating offshore dayrates," Sill said.

On the integrated oil side, CSFB likes BP (BP) for its free cash flow and volume growth. From the exploration and production group, Devon Energy (DVN) is a top pick. CSFB upgraded the E&P group to "overweight" from "market weight."

"The shift...reflects our conviction that long-term commodity prices will remain strong and than an efficient market will eliminate the arbitrage between the merger and acquisition market and the share prices," analyst Phillip Pace wrote.

Separately, CSFB raised its rating on the integrated oil and gas group to "market weight" from "underweight."

"Factoring our view that oil prices will stay higher for longer into valuations, we now find that the integrated oil sector moves from trading at a 4 percent premium to fair value in absolute terms to a discount of 9.4 percent," analyst Mark Flannery wrote in explanation of the upgrade.

Flannery also raised his recommendation on Amerada Hess (AHC) to "outperform" from "neutral," primarily because of the upward revision to oil prices but also because of Amerada's progress in reorganizing its portfolio and positioning itself for the future.

[grupo guitarlumber] 18/8/2004 05:08

Halliburton hit


THE US army will withhold payment on 15 per cent of future invoices from Halliburton, the logistics support group which is feeding and housing its troops in Iraq and Kuwait.

Halliburton has been paid over US$4.3 billion (£2.3bn) under the contract. However, the US army says the group has been presenting improperly documented bills and overcharging.

[ariane] 25/7/2004 17:44

LONDON (AFX) - US private equity firm The Carlyle Group is reportedly
mulling an offer to buy the shipbuilding business of BAE Systems PLC, Britain's
largest defence company, The Sunday Telegraph reported without citing sources.
The paper said Carlyle, which specialises in buying defence businesses, will
face competition from DML, the company that runs the Devonport Royal Dockyard.
DML confirmed to the paper it was interested in bidding for the unit which
could be worth up to 400 mln stg.
DML is 51 pct-owned by US oil services firm Halliburton Co. Its other
shareholders include UK engineering firm Weir Group PLC and engineering and
construction group Balfour Beatty PLC.
Other firms thought to be interested include US group General Dynamics Corp,
Southampton, UK shipbuilder VT Group PLC, and French group Thales SA.
But there is uncertainty over the fate of BAE's nuclear submarine yard at
Barrow-in-Furness, Lancashire.
Though BAE would like to include the yard in any deal, the UK's Ministry of
Defence is believed to be insisting it should not fall into foreign hands, owing
to national security interests.
[e-mail]
rhb/jsa

[shirishg] 22/7/2004 22:55

Post removed by ADVFN

[grupo guitarlumber] 19/7/2004 23:13

Halliburton's Iran Business Subject to Criminal Probe (Update2)
July 19 (Bloomberg) -- Halliburton Co., the world's largest oilfield services company, said federal prosecutors subpoenaed documents in an investigation of whether the company violated U.S. sanctions by doing business in Iran.

A previously disclosed U.S. Treasury Department probe of the activities of a Cayman Islands subsidiary that operates in Iran has been transferred to the Justice Department, the Houston-based company said in a regulatory filing with the U.S. Securities and Exchange Commission. The company said it is cooperating with the probe.

``We look forward to answering any and all questions,'' spokeswoman Wendy Hall said in an e-mail statement. ``It is important to understand, especially in the current political environment, that this is not a condemnation of the company, but a method of further studying the facts.''

John Yembrick, a spokesman for the U.S. Attorney for the Southern District of Texas, who issued the grand jury subpoena, declined to comment.

Halliburton has said it complies with U.S. laws for doing business in Iran because all of its employees there are non-U.S. citizens and the subsidiary is incorporated outside the U.S.

Risks related to the business are minimal, the company said, because it has operated in the country for a half century and derives less than 1 percent of revenue and net income there. A company report prepared in October estimated 2003 revenue for the Iranian operations of the subsidiary, Halliburton Products and Services Ltd., was $39 million.

Halliburton also operates European units that manufacture goods destined for Iran or sell services in the country. An Aberdeen, Scotland-based unit, Halliburton Manufacturing & Services Ltd., makes oilfield tools to support operations in Iran, and a Halliburton-controlled joint venture does engineering work for energy installations in Iran.

Shares of Halliburton closed 24 cents lower at $31.26 on the New York Stock Exchange. They have risen 40 percent in the past year.

[gorget] 16/7/2004 07:40

Although it can be difficult to shift into high gear after spending so much time in reverse, get on the road to recovery with help of this impressive newsletter. Just register your email address and receive timely alerts when an undervalued share is about to move. Rev up for growth!! Remember, it's not how many ideas you have, it's how you make them happen. There is absolutely no cost for this newsletter. These shares are traded exclusively in the US markets.

[belabed] 02/6/2004 12:44

It may be jobs for the boys in Iraq but up here in Aberdeen they've just announced that 60 jobs are to go.

How much billion pound profits does this company have to make before they start thinking about loyalty to staff.