• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 6 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 7 days The United States produced more crude oil than any nation, at any time.
  • 1 day e-truck insanity
  • 7 days How Far Have We Really Gotten With Alternative Energy
  • 7 days China deletes leaked stats showing plunging birth rate for 2023
  • 8 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 5 days Bad news for e-cars keeps coming
Dan Dicker

Dan Dicker

Dan Dicker is a 25 year veteran of the New York Mercantile Exchange where he traded crude oil, natural gas, unleaded gasoline and heating oil…

More Info

Where Oil Price Bulls Should Be Looking

In today’s low priced oil climate, there is a lot of opportunity in many parts of the O&G market. This opportunity has led to a rush of cash from venture capitalists, private equity funds, and smart money across the investing world. But for oil price bulls, two areas of the industry are particularly depressed, and thus, more interesting; offshore drillers and shale exploration and production companies.

On the offshore drilling side, there has been tremendous growth in the rig count across the space over the last few years. This capacity eventually outgrew demand, and day rates in the market started to soften last year. Since that time, companies have begun stacking rigs, delaying new ones, and looking for any opportunity to keep their utilization levels up. Executives across the space expect a pretty weak 2015, but many hope that the business will start to stabilize in 2016.

There is no question then that the offshore market is a very tough one right now, but stock prices have largely reflected that reality. And that has led to some real bargains. Perhaps one of the worst-hit stocks in the space, Paragon Offshore, was spun-off from Noble Corporation last summer at a price of $12 a share. Today Paragon trades at between $1 and $2 per share, despite having beaten estimates on earnings (Q1 Earnings Per Share (EPS) of $0.47) and revenue ($430 million) according to its latest announcement last month.

At these levels, Paragon is essentially a call option on…




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News