Halliburton shares climb on Morgan Stanley upgrade

[flashl]

NEW YORK (Reuters) - Shares of Halliburton Co (HAL.N: Quote, Profile, Research), the No. 2 oilfield services group, jumped more than 5 percent in early Friday trade after Morgan Stanley upgraded the company to "overweight" from "equal-weight."

Morgan Stanley analysts Ole Storer and Paulo Loureiro also raised their price target on the shares to $45 from $49.

Halliburton's lower price-to-earnings ratio compared with its peers, the likelihood of sector mergers and acquisitions, and rising spending by national oil companies should all contribute to a higher stock price for the company, the analysts said in a note to investors.

However, Halliburton and the rest of the sector still face the threat of a possible prolonged recession that could drive down energy spending, they said. Halliburton also could see weakness in margins at its North American pressure pumping business, they added.

Reuters

[FreakinDJ]

1. I work at a oil refinery

threat of a possible prolonged recession that could drive down energy spending

Lately it has been anything except gasoline. The tanks are full and consumption is down, (no one can afford to fill their car) so they are refineing any thing BUT gasoline now

[Bozita]

2. Bush is negotiating a long-term US military commitment in Iraq w/ the Iraqi govt.

Wondering if that's got anything to do with this upgrade.

[TalkingDog]

3. Of course they did.

:sarcasm:



My Favorite Master Artist: Karen Parker GhostWoman Studios