Here is the spot about VRC from marketwatch. Lets look at this snippit line by line. My words are >>>>
>>>>The reporter asks Hogan, a chief investment strategist.
Which oil companies do you like?
Hogan: We love Varco (VRC: news, msgs).
>>>Didn't know VRC was an oil company.
It's very undervalued and ignored,
>>>>Not ignored here? Undervalued? By what standard?
it's downstream,
>>>>downstream? I thought VRC made equipment for rigs and such...isn't that UPstream?
it's not Mobil (MOB: news, msgs), Amoco (BPA: news, msgs), or Chevron (CHV: news, msgs),
>>>>that is true and very observant!
but it's key to their doing business.
>>>>maybe so, but a stretch none the less
The stock's been ignored for the last 24 months.
>>>>I wouldn't say ignored, I would say sold due to bad business prospects. Selling isn't ignoring. It's selling.
In terms of the majors, they have gotten their bid because of consolidation. So, we like the drillers.
>>>>VRC is now a driller. Earlier it was an oil company.
There's probably more bang for your buck downstream. Schlumberger (SLB: news, msgs), Halliburton (HAL: news, msgs), Baker Hughes (BHI: news, msgs).
>>>>I really think he means upstream. The closer to the well head, the further upstream. The closer to your pickup's gas tank, the further downstream. Of course oil integrated oil companies run the whole river.
Kinda bored this PM, had to pick on SOMEone.
big
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