Just when you think the outlook can't get any brighter for National Oilwell Varco
By now, we should be up to speed on the deepwater story. Oil producers such as Petrobras
We knew all of this already, so National Oilwell's tremendous quarterly financial results didn't surprise anyone. Operating profit rose 33%, and the operating margin held firm, despite the quarter's sponge-up of Grant Prideco. Per-share earnings erupted 42% higher. Same old, same old.
What is new is the company's renewed enthusiasm for the land-drilling market in the lower 48. If you've been watching the perky share prices of Nabors Industries
There are two things going on, really. One, natural gas prices have followed oil up to princely levels. Second, producers such as XTO Energy
So it looks as though we're on the brink of a fresh building binge, and that keeps me bullish on this beast.