Last year at this time, I opined that Noble's
For all the havoc unleashed by a more-than-$100 swing in oil prices, Noble's business is remarkably buoyant. Unlike ENSCO
If you think about it, the latter is not too surprising of a result. The deflationary drag on oilfield suppliers like Baker Hughes
Anyway, drilling operations generated $548 million in net cash, which once again more than doubled capital spending in the quarter. Last year, Noble decided to pay out a special dividend. This time around, the firm focused on paying down its debt, resulting in a svelte sub-12% debt-to-capitalization ratio. Noble also bought back a modest amount of shares under its repurchase program.
The future looks good for Noble as well. The driller's $10.6 billion backlog exceeds that of rig shop National Oilwell Varco
Noble may have swapped sandy beaches for ski slopes in its redomestication from the Caymans to Switzerland, but I'm hardly neutral on this solid stock.