Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, energy services giant Halliburton (NYS: HAL) has earned a respected four-star ranking.
With that in mind, let's take a closer look at Halliburton and see what CAPS investors are saying about the stock right now.
Oil and gas equipment and services
Chairman/CEO David Lesar
Return on Equity (Average, Past 3 Years)
$2.0 billion / $4.8 billion
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 95% of the 3,482 members who have rated Halliburton believe the stock will outperform the S&P 500 going forward.
Halliburton is facing some headwinds with low natural gas prices, high guar prices, and tempering rig counts. However, the company has transformed itself into an integrated solutions provider -- almost like the IBM (NYS: IBM) of the oil services industry -- where it becomes embedded in its customers' well sites. Its revenue is therefore sticky and that helps build lasting relationships. New business tends to center around unconventional wells which are much more service intensive and oil companies who are looking to avoid reputation risk due to heightened regulatory scrutiny will probably prefer to do business with fewer servicers for easier to track accountability. These secular trends play to [Halliburton's] strengths.
If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, Halliburton may not be your top choice.
We've found another energy play we are incredibly excited about -- excited enough to dub it "The Only Energy Stock You'll Ever Need." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.
Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.
The article 4-Star Stocks Poised to Pop: Halliburton originally appeared on Fool.com.
Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of Halliburton and IBM. Motley Fool newsletter services recommend Halliburton and IBM. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.