Recs

14

5-Star Stocks Poised to Pop: Atwood Oceanics

Based on the aggregated intelligence of 130,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, offshore drilling contractor Atwood Oceanics (NYSE: ATW  ) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Atwood's business, and see what CAPS investors are saying about the stock right now.

Atwood facts

Headquarters (founded)

Houston, Tex. (1968)

Market Cap

$1.58 billion

Industry

Oil and Gas Drilling

TTM Revenue

$608.2 million

Management

CEO John Irwin (since 1993)

CFO James M. Holland (since 1988)

Return on Equity (average, last three years)

27.6%

Competitors

Transocean (NYSE: RIG  )

Noble (NYSE: NE  )

CAPS members bullish on ATW also bullish on

Vale (NYSE: VALE  )

Apple (Nasdaq: AAPL  )

CAPS members bearish on ATW also bearish on

Diamond Offshore (NYSE: DO  )

National Oilwell Varco (NYSE: NOV  )

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, fully 1,830 of the 1,846 members who have rated Atwood -- some 99% -- believe the stock will outperform the S&P 500 going forward. These bulls include All-Star wbinv2100, who is ranked in the top 20% of our community, and dvena.

Last week, wbinv2100 highlighted several of the stock's marvelous metrics:

[W]ith the new Obama nation, and its trillion dollar budget deficits, inflation is on the horizon. I don't see electric cars becoming viable any time soon. Because of [Atwood's] numbers (ROE = 32%, 5YrEPS = 89%, 5YrFutureEPS = 27%, P/E = 5), I am bullish on this company.

In a pitch from two weeks earlier, dvena drills down even further:

[Atwood] is not a pure energy play. They make money by leasing the rigs that drill for oil, sometimes at astronomical rates. It has fallen, however, with the price of oil. With the emerging middle class in both China and India, and the falling rates of return in all the world's known oilfields, the price of oil will be back up to $4 a gallon far sooner than any of us would like. When that happens [Atwood] goes with it.

What do you think about Atwood Oceanics, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 130,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Best Odds in the Universe!
If you're interested in a 98.79% chance at beating the market... and a 70.84% chance at DOUBLING the market's return – Motley Fool Supernova could be just what you're looking for. And get this: We arrived at these odds from 10,000 random back-tested portfolios composed of Motley Fool Co-founder David Gardner's personal stock picks.

It's why David recently handpicked a small team of world-class portfolio managers. You see, he thinks these odds can get even better! And he'd like to prove it to you...

Simply enter your email address. And the answer to the question everybody is asking will be delivered to your inbox!

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Atwood, Apple, and National Oilwell are Motley Fool Stock Advisor picks. The Fool's disclosure policy always gets a perfect score.


Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

DocumentId: 907285, ~/Articles/ArticleHandler.aspx, 2/14/2012 5:20:25 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 12,878.28 4.24 0.03%
S&P 500 1,350.50 -1.27 -0.09%
NASD 2,931.83 0.44 0.02%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

2/14/2012 4:00 PM
ATW $47.17 Down -1.31 -2.70%
Atwood Oceanics CAPS Rating: *****
NOV $83.93 Up +1.33 +1.61%
National Oilwell V… CAPS Rating: *****
RIG $48.44 Down -0.87 -1.76%
Transocean, Inc. CAPS Rating: *****
NE $38.59 Down -0.41 -1.05%
Noble Corp CAPS Rating: *****
AAPL $509.46 Up +6.86 +1.36%
Apple CAPS Rating: ***
DO $62.95 Up +0.59 +0.95%
Diamond Offshore D… CAPS Rating: ****

Advertisement