Offshore drilling has missed the rally in the oil sector this year. Now with plenty of fresh profits on the books in the oil sector, portfolio managers may lighten up on the winners and go bargain hunting in the discount aisle of the oil sector. Given all of the fundamental issues with rig pricing and weak estimates for earnings, the whole sector is low right now. DO is turning up from a base and has decent support right in this area from long term value buyers. Buy with 53-55 target in the next 1-2 months, versus 48.06 last.
Comments
LEONES
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Agree 100% again
A-shot
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Does not seem to be doing well - any update on your view Tim?
LEONES
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I'm out of all the oil and gas stocks...
timwest
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DO has been building here quietly. I still think it looks good and would consider publishing a new chart on it to highlight this trade setup.
A-shot
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Now would be a great time. it seems to be changing direction