5-Star Stocks Poised to Pop: Weatherford

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Based on the aggregated intelligence of 135,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, oilfield services specialist Weatherford International (NYSE: WFT) has earned a coveted five-star ranking.

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

Weatherford facts

Headquarters (founded)

Zug, Switzerland (1972)

Market Cap

$14.07 billion

Industry

Oil and Gas Equipment and Services

Trailing-12-Month Revenue

$9.66 billion

Management

Chairman/CEO Bernard Duroc-Danner (since 1998)

CFO Andrew Becnel (since 2006)

Return on Equity (average, last three years)

15.7%

Competitors

Schlumberger (NYSE: SLB)

Halliburton (NYSE: HAL)

CAPS Members Bullish on WFT Also Bullish on

Transocean (NYSE: RIG)

Chesapeake Energy (NYSE: CHK)

CAPS Members Bearish on WFT Also Bearish on

Ford Motor (NYSE: F)

Peabody Energy (NYSE: BTU)

Sources: Capital IQ (a division of Standard & Poor's), and Motley Fool CAPS.

Over on CAPS, 761 of the 783 members who have rated Weatherford -- some 97% -- believe the stock will outperform the S&P 500 going forward. These bulls include sweetjames and TSIF, both of whom are ranked in the top 3% of our community.

Three weeks ago, sweetjames offered some infield insight into Weatherford's potential: "Gaining a tremendous amount of market share vs. Halliburton and Schlumberger. They have been around forever, but I am noticing Weatherford more and more in the field."

In a pitch from one week later, TSIF also taps Weatherford as a wonderful bet to weather the storm:

It's possible if oil prices stay inflated that some of the oil service companies will come back into favor. Weatherford International is one of the most undervalued ones that I could find to start with. While I don't see the green sprouts growing as fast as others, I do see some improvement in the economy. … The cut-back in exploration and development the last year may help keep oil prices up enough to get development going. Weatherford also does well in repairs, supplies, equipment, well closure, pipelines, and the full gambit of services. Domestic natural gas is also increasing, although prices have it depressed. With margins even in the recession at greater than 10%, P/B at 1.8, High debt, but very good cash flow and solid assets, Weatherford International stands to do well even in a slightly depressed climate.

What do you think about Weatherford, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 135,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

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Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Chesapeake is a Motley Fool Inside Value recommendation. The Fool's disclosure policy always gets a perfect score.

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Related Tickers

11/30/2009 4:01 PM
WFT $16.70 Up +0.27 +1.64%
Weatherford Intern… CAPS Rating: *****
F $8.89 Up +0.16 +1.83%
Ford Motor Company CAPS Rating: **
RIG $85.39 Up +0.48 +0.57%
Transocean, Inc. CAPS Rating: *****
SLB $63.89 Up +0.96 +1.53%
Schlumberger, Limi… CAPS Rating: *****
BTU $44.46 Down -0.10 -0.22%
Peabody Energy Cor… CAPS Rating: ****
CHK $23.92 Down -0.25 -1.03%
Chesapeake Energy… CAPS Rating: *****
HAL $29.36 Up +0.27 +0.93%
Halliburton Compan… CAPS Rating: ****

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