Offshore drilling stocks
In the week ended January 5, 2018, all offshore drilling stocks traded in the green. Noble Corporation (NE) was the best performer among its offshore drilling peers.
In this article, we’ll take a look at offshore drilling stocks’ returns, and in the next article, we’ll see why these stocks were trading in the green.
Below are the returns of offshore drilling companies from August 18, 2017, to a week ago.
- Transocean (RIG) rose 8.7%.
- Noble Corporation rose 11.9%.
- Diamond Offshore Drilling (DO) rose 2.4%.
- Rowan Companies (RDC) rose 9%.
- Ensco (ESV) rose 13.5%.
The VanEck Vectors Oil Services ETF (OIH), which has 22.3% of its holdings in oil and drilling stocks, rose 7.3% during the same week.
The US offshore rig count for the week ended January 5, 2018, was 17—down by one from the previous week. The rig count was also seven rigs lower than during the same period last year.
The total US rig count, including both oil and natural gas rigs, was 942 for the week ended January 5. This number was five lower than the previous week, but it was significantly higher than the 665 rigs reported during the same period in 2017. The total number of US oil rigs recorded was 742—down five from the previous week.
In the next part of the series, we’ll see why offshore drilling stocks were trading in the green last week. Later on, we’ll see an update for Rowan Companies for last week. In the last article, we’ll see how Citigroup and Jefferies have revised their recommendations and target prices for offshore drilling stocks.