Stifel's take on Oilfield Services - Oct 25
Posted: Mon Oct 25, 2021 10:26 am
Oilfield Services & Equipment - note from Stifel 10/25/2021
A Look Ahead with Week One of 3Q21 Earnings in the Books - Stephen Gengaro
There were a few key takeaways from the first week of 3Q21 Oil Service earnings season, including: 1) inflation, supply chain disruptions, and Hurricane Ida had varying impacts, but nobody seemed immune; 2) rising input costs for chemicals were a significant drag on BKR's OFS margins; 3) commentary appears to be settling around 20% U.S. upstream spending growth in 2022 and low double-digits international improvement; 4) U.S. pressure pumping pricing seems to be gaining momentum, and another announced merger can only help; and 5) BOOM's traction on price hikes for perforating products has been elusive, but confidence is growing.
A Look Ahead with Week One of 3Q21 Earnings in the Books - Stephen Gengaro
There were a few key takeaways from the first week of 3Q21 Oil Service earnings season, including: 1) inflation, supply chain disruptions, and Hurricane Ida had varying impacts, but nobody seemed immune; 2) rising input costs for chemicals were a significant drag on BKR's OFS margins; 3) commentary appears to be settling around 20% U.S. upstream spending growth in 2022 and low double-digits international improvement; 4) U.S. pressure pumping pricing seems to be gaining momentum, and another announced merger can only help; and 5) BOOM's traction on price hikes for perforating products has been elusive, but confidence is growing.