Go back a year, and offshore drillers like Noble (NE), Rowan (RDC), Transocean (RIG) and Atwood Oceanics (ATW) had been all but written off–until they weren’t anymore. Since then, investors have been rewarded for picking winners in the group from the losers, as Atwood Oceanics has more than doubled, Transocean has gained 34%, and Rowan has risen 42%, while Noble and Diamond Offshore Drilling (DO) have dropped 13%.
Agence France-Presse/Getty Images
But are the days of picking stocks among offshore drillers over? Consider: Today, Jefferies analyst Eduardo Royes and team upgraded Noble to Buy and cut Rowan to Hold, clearly favoring one over the other. They explain why:
Given where we sit in the cycle, we cannot favorably recommend the group. That said, we can still see relative value (or lack thereof) in shares. We upgrade Noble to Buy as we view it as the ‘safest’ way to play offshore drilling exposure at the moment we see modest upside to shares on a DCF and relative valuation basis. Meanwhile we downgrade Rowan to Hold as despite still generating healthy free cash flow, we see risk that medium-term earnings disappoint (we’re >30% below ’18 Street EBITDA) as the ‘turn’ in jackups and ultra-deep-water markets is likely challenged from a profitability standpoint. Outside of Rowan and Noble, we skew favorably to Hold-rated Ensco (ESV) and Transocean.
Top Safest Stocks To Watch Right Now: Twitter, Inc.(TWTR)
- [By Lisa Levin]
Twitter Inc (NYSE: TWTR) reported stronger-than-expected earnings for its first quarter on Wednesday.
Twitter said it earned $0.11 per share in the first quarter on revenue of $548.25 million; Analysts were expecting the company to earn one cent per share on revenue of $511.91 million.
- [By Chris Dier-Scalise]
Regarding the president-elect, Tchir zeroed in on Trump's recent Twitter Inc (NYSE: TWTR) habit of singling out and admonishing specific companies’ business decisions. Tchir questioned whether that tactic would continue to be effective after receiving some push back from Toyota Motor Corp (ADR) (NYSE: TM), his most recent target. "He came out and tweeted against Toyota and knocked Toyota's stock down. If you look through what is going on Twitter and traditional media, Toyota is pushing back, and the Japanese government is pushing back." He's had carte blanche until now, where when he says something, things happen, he gets his way."
- [By Chris Lange]
Twitter Inc. (NYSE: TWTR) first-quarter results are scheduled for Wednesday. The consensus forecast is $0.01 in EPS on $511.91 million in revenue. Shares were last seen at $14.63. The consensus price target is $14.05. The 52-week trading range is $13.73 to $25.25.
- [By Spencer Israel]
That backfired occasionally, with the team taking losses in stocks like Advanced Micro Devices, Inc. (NASDAQ: AMD) and Facebook, Inc. (NASDAQ: FB). But they also had winning trades in stocks like Twitter Inc (NYSE: TWTR) and Philip Morris International Inc (NYSE: PM), thanks to their use of far out out-of-the-money calls. They made almost $1 million on the last day of the competition.
- [By Jack Delaney]
Now, if Snap is going to compete with Facebook Inc. (Nasdaq: FB) and Twitter Inc. (NYSE: TWTR) to win social media users, it needs all hands on deck.
- [By ]
Musk jumped on Twitter Inc. (TWTR) , saying: “For example, an American car going to China pays 25% import duty, but a Chinese car coming to the US only pays 2.5%, a tenfold difference…Also, no U.S. auto company is allowed to own even 50% of their own factory in China, but there are five 100% China-owned EV auto companies in the U.S.”
Top Safest Stocks To Watch Right Now: Lithium X Energy Corp. (LIXXF)
- [By SEEKINGALPHA.COM]
The other producing lithium miners, and soon to be producers. I have discussed these previously in detail here, here and here. Needless to say, the top 3 producers are non-pure plays (SQM (NYSE:SQM), Albemarle (NYSE:ALB), and FMC Corp. (NYSE:FMC)). The top pure play currently producing miners are Orocobre (ASX:ORE) (OTCPK:OROCF), Tianqi Lithium (SHE:002466), Jiangxi Ganfeng Lithium, Galaxy Resources, Mineral Resources [ASX:MIN] (OTC:MALRF), and Neometals [ASX:NMT] (OTC:RRSSF). The near-term producers include Altura Mining [ASX:AJM] (OTCPK:ALTAF), Pilbara Minerals (ASX:PLS) (OTC:PILBF), Kidman Resources (ASX:KDR), Critical Elements, Nemaska Lithium (OTCQX:NMKEF) [TSX:NMX], Lithium Americas (OTCQX:LACDF) [TSX:LAC], Lithium X (OTCQX:LIXXF) (TSXV:LIX), Neo Lithium, and Bacanora Minerals (OTC:BCRMF) [TSXV:BCN], Advantage Lithium (OTCQB:AVLIF) [AAL], European Metals (OTCPK:MNTCF, ASX:EMH, AIM:EMH) and Pure Energy (OTCQB:PEMIF) [PE].
- [By Tom Bishop]
Lithium X Energy NPV (LIXXF) owns 50% of the Sal de los Angeles lithium brine project in the prolific “Lithium Triangle” in mining friendly Salta province, Argentina.
Top Safest Stocks To Watch Right Now: Hudson Technologies, Inc.(HDSN)
- [By WWW.THESTREET.COM]
Finally, Cramer said Hudson Technologies (HDSN) was a great stock to own in 2016, when shares soared 170%, but this year, he cannot recommend this high-flying refrigeration company.
- [By Lisa Levin]
Hudson Technologies, Inc. (NASDAQ: HDSN) shares dropped 13 percent to $6.55 amid concerning guidance. The company said it is expecting Q3 EPS of $0.03-$0.05 versus an analyst consensus estimate of $0.10. Sales are expected to be around $25 million versus the analyst estimate of nearly $41 million.
Top Safest Stocks To Watch Right Now: Tanger Factory Outlet Centers Inc.(SKT)
- [By Paul Ausick]
Tanger Factory Outlet Centers Inc. (NYSE: SKT) traded down nearly 10% Wednesday and posted a new 52-week low of $21.14 after closing Tuesday at $23.47. The stock’s 52-week high is $34.76. Volume was around 6.9 million, nearly five times the daily average. The companr reported results after markets closed Tuesday.
- [By WWW.THESTREET.COM]
In the Lightning Round, Cramer was bullish on Palo Alto Networks (PANW) , Cisco Systems (CSCO) , Tanger Factory Outlet Centers (SKT) and Consolidated Edison (ED) .
- [By Shauna O’Brien]
Jefferies announced on Wednesday that it has cut its rating on Tanger Factory Outlet Centers Inc. (SKT).
The firm has downgraded SKT from “Buy” to “Hold,” and has lowered the company’s price target from $40 to $35. This price target suggests an 8% upside from the stock’s current price of $32.22.
Analyst Omotayo Okusanya commented: “We expect near-term headwinds for the mall and outlet mall segment as tenant sales growth appears to be slowing.”
“At SKT, development yields on two projects have also been reduced. Further, rising interest rates negatively impact our DDM-derived PT. Our lowered PT of $35 represents a 10% total return over the next-twelve-months (NTM); we are downgrading to Hold,” added the analyst.
Tanger Factory Outlet shares were mostly flat during pre-market trading Wednesday. The stock is up more than 5% YTD.