Morgan Stanley upgrades oilfield services industry's outlook to attractive

NOV

18/04/2024 12:04

** Morgan Stanley says strong oil prices and liquefied
natural gas related activity have made it change the oilfield
services' industry outlook to attractive 
    ** Brokerage says OFS stocks are trading at a very steep
discount to broader market relative to normal historial ranges
    ** Says there is potential for short-term catch up for
global service stocks that over-reacted to Saudi Arabia's
capacity growth pullback 
    ** Adds North America activity is nearing a cyclical trough
and international onshore and offshore are still in the upcycle
    ** "We think we may be nearing a point where it's time to
lean back into North America stocks" - Morgan Stanley 
    ** Raises PT of the following OFS companies - 
    
 Company Name        PT Change
 Baker Hughes        $43 from
  BKR.O              $40
 Halliburton         $50 from
  HAL.N              $45
 NOV  NOV.N          $25 from
                     $24
 
    

 (Reporting by Sourasis Bose in Bengaluru)
 ((Sourasis.bose@thomsonreuters.com))