Go back a year, and offshore drillers like Noble (NE), Rowan (RDC), Transocean (RIG) and Atwood Oceanics (ATW) had been all but written off–until they weren’t anymore. Since then, investors have been rewarded for picking winners in the group from the losers, as Atwood Oceanics has more than doubled, Transocean has gained 34%, and Rowan has risen 42%, while Noble and Diamond Offshore Drilling (DO) have dropped 13%.
Agence France-Presse/Getty Images
But are the days of picking stocks among offshore drillers over? Consider: Today, Jefferies analyst Eduardo Royes and team upgraded Noble to Buy and cut Rowan to Hold, clearly favoring one over the other. They explain why:
Given where we sit in the cycle, we cannot favorably recommend the group. That said, we can still see relative value (or lack thereof) in shares. We upgrade Noble to Buy as we view it as the ‘safest’ way to play offshore drilling exposure at the moment we see modest upside to shares on a DCF and relative valuation basis. Meanwhile we downgrade Rowan to Hold as despite still generating healthy free cash flow, we see risk that medium-term earnings disappoint (we’re >30% below ’18 Street EBITDA) as the ‘turn’ in jackups and ultra-deep-water markets is likely challenged from a profitability standpoint. Outside of Rowan and Noble, we skew favorably to Hold-rated Ensco (ESV) and Transocean.
Top 5 Safest Stocks To Invest In 2018: Knowles Corporation(KN)
- [By Jack Delaney]
A deal with Facebook Inc. (Nasdaq: FB) brought the little-known Knowles Corp. (NYSE: KN) to investors’ attention today, boosting Knowles Corp. stock by 2.3% as of 12:30 p.m. today (Oct. 30, 2017).
- [By Lisa Levin]
Shares of Knowles Corporation (NYSE: KN) got a boost, shooting up 15 percent to $12.83 as the company reported Q1 results.
SVB Financial Group (NASDAQ: SIVB) shares were also up, gaining 19 percent to $305.90 following strong quarterly results.
Top 5 Safest Stocks To Invest In 2018: Athene Holding Ltd. (ATH)
- [By Lisa Levin]
Edwards Lifesciences Corp (NYSE: EW) announced plans to buy Valtech Cardio for $340 million in cash and stock. The company also announced a $1 billion buyback plan.
Epizyme Inc (NASDAQ: EPZM) disclosed that it has received Fast Track designation for tazemetostat.
Athene Holding Ltd. (NYSE: ATH) reported that it has priced its 23.8 million share IPO between $38 per share and $42 per share.
Lannett Company, Inc. (NYSE: LCI) reported the approval for its Metaxalone Tablets USP, 800 mg.
Top 5 Safest Stocks To Invest In 2018: McClatchy Company (MNI)
- [By Douglas A. McIntyre]
Several large newspaper chains will face the largest increases in newsprint prices in absolute dollars. These are Gannett (NYSE: GCI), tronc (NASDAQ: TRNC), hedge fund owned Digital First Media, which just laid off dozens of people in Denver and on the West Coast, Hearst, Advance Media, McClatchy (NYSE: MNI) and Gatehouse Media. Among them, they own most of the large newspapers in America and hundreds of newspapers in aggregate. Each of these companies has newsprint demand much larger than that of The Tampa Bay Times.
Top 5 Safest Stocks To Invest In 2018: Vera Bradley Inc.(VRA)
- [By WWW.THESTREET.COM]
Earnings of note in the coming week include Analogic (ALOG) and Ascena Retail (ASNA) on Monday; Bojangles (BOJA) , H&R Block (HRB) , and Dick’s Sporting Goods (DKS) , Michaels (MIK) , and Urban Outfitters (URBN) on Tuesday; Ciena (CIEN) , Bankrate (RATE) , Express (EXPR) , Vera Bradley (VRA) , and Bob Evans Farms (BOBE) on Wednesday; El Pollo Loco (LOCO) , Hugo Boss (BOSSY) , Party City (PRTY) , Signet Jewelers (SIG) , and Verifone Systems (PAY) on Thursday; and Kirkland’s (KIRK) , and Vail Resorts (MTN) on Friday.
- [By Matt Hogan]
Finbox.io fair value data (as of January 4) shows that there are only five US manufacturing stocks that have 25% or more margin of safety: Vera Bradley, Inc. (NASDAQ: VRA), Cooper Tire & Rubber Co (NYSE: CTB), Farmer Brothers Co. (NASDAQ: FARM), Allergan plc Ordinary Shares (NYSE: AGN) and Motorcar Parts of America, Inc. (NASDAQ: MPAA).
- [By Lisa Levin]
Shares of Vera Bradley, Inc. (NASDAQ: VRA) got a boost, shooting up 29 percent to $11.13 as the company posted better-than-expected Q3 earnings and raised its FY 2018 earnings guidance.
- [By Peter Graham]
A long term performance chart shows Coach Incin somewhat of an uptrend for almost two yearsnow while small capVera Bradley, Inc (NASDAQ: VRA) and mid capMichael Kors Holdings Ltd (NYSE: KORS) have largely fallen off during that time, but have moved a bit higher in recent months:
Top 5 Safest Stocks To Invest In 2018: VistaGen Therapeutics, Inc. (VTGN)
- [By Money Morning News Team]
For instance, VistaGen Therapeutics Inc. (Nasdaq: VTGN) shot up 177%, from $0.92 to $2.55, on Dec. 6, when it announced it won a patent for its CNS treatment.
- [By Money Morning Staff Reports]
For instance, VistaGen Therapeutics Inc. (Nasdaq: VTGN) shot up from $0.92 to $2.55 on Dec. 6. Since then, the stock pulled back to $1.07. Investors who bought at $2.55 are sitting on a 58% loss today (Jan. 8).
- [By William Romov]
VistaGen Therapeutics Inc. (Nasdaq: VTGN) is among the top penny stocks to watch this week after climbing 135% in just three trading sessions last week.