Oilfield services losers
Having looked at the percentage gainers this week, we’ll now move on to the percentage losers from the oilfield services (or OFS) sector in the United States from September 25 to 27. To compile our list of the top oilfield service losers, we used the oilfield services companies with market capitalizations greater than $100 million and average volume greater than 100,000 shares last week.
Flotek Industries: The top losing stock
This week, Flotek Industries (FTK) recorded the biggest fall among the stocks in the oilfield services sector. So far this week, FTK fell from $5.36 to $4.90—a fall of ~9%. FTK was down more than 7% on Tuesday as the market opened after the company provided an update on its 3Q17. On Monday, after the market closed, FTK had announced that—due to disruptions from hurricanes Harvey and Irma—it now expects $5 million lower revenues than previously announced. FTK also expects its costs to rise $1 million due to storm-related disruptions.
To judge the medium-term trend, we need to look at weekly metrics. The overall trend in FTK is extremely bearish. FTK’s stock price reflects a pattern of lower highs and lower lows since February 2017. On September 27, FTK’s 50-week and 200-week moving averages stood at $15.83 and $9.95, respectively. So FTK is trading much lower than its 50-week and 200-week moving averages. Also, FTK’s 50-week moving average stands below its 200-week moving average—a particularly bearish technical indicator.
In our list of losers from the oilfield services sector, after FTK come Superior Energy Services (SPN) and Core Laboratories (CLB). These stocks are down 2.17% and 0.42% so far this week. SPN and CLB announced that they both would present their 3Q17 earnings on October 23 after the market closes.
In general, we’ve seen positive sentiment about oilfield services stocks this week, which is evident in a gain of 5.09% in the SPDR S&P Oil & Gas Equipment & Services ETF (XES)—which represents an index of stocks from the oilfield services industry. In comparison, the SPDR S&P 500 ETF (SPY) is up 0.25% this week.