National-Oilwell Varco (NYSE:NOV) had its price target and EPS estimates raised by Global Hunter Securities on increased rig orders.
Global noted, "We are increasing our price target to $90 and our 2011 and 2012 EPS estimates to $4.47 and $5.20, respectively, up from $3.67 and $4.40. There has been a recent influx of offshore rig orders (24 this quarter alone, which does not include options and the four drillships Ocean Rig, a subsidiary of DryShips Inc. (Nasdaq:DRYS), recently announced expectations to construct), and subsequent discussions with offshore drilling contractors suggests more rig orders will be placed.
"We are now forecasting orders of $1.5 billion this quarter, $5.1 billion in 2011 and $4.0 billion in 2012, which compares to our prior estimate of $600 million, $4.1 billion and $3.6 billion, respectively."
Global Hunter Securities maintains a "Buy" rating on National-Oilwell Varco, which was trading at $66.24, down $0.07, or 0.11 percent, as of 12:02 PM EST. Global raised their price target on them from $68 to $90.
No comments:
Post a Comment