Thursday, April 12, 2012

Land, Sea, Oil Or Gas - National Oilwell Varco Wins

How significant is National Oilwell Varco (NYSE:NOV) in the world of rig equipment? You can look at the company's over 60% market share for rig equipment, the fact that roughly 90% of rigs have some NOV equipment on them or you can just look at the company's nickname - "No Other Vendor." This makes NOV something of an all-comers pick for energy investors. Worried about whether you should invest in oil or gas? NOV's equipment serves both markets, and likewise for onshore and offshore - though offshore looks like the best growth opportunity for the company right now.

Rinse and Repeat
NOV has a habit of not only generating respectable cash flows, but also using it to build the business, as the rough $6.2 billion in goodwill on the balance sheet might indicate. It has been good about its M&A, though, using it to build share and drive efficiencies in the acquired businesses.

Click here for more:
http://stocks.investopedia.com/stock-analysis/2012/Land-Sea-Oil-Or-Gas--National-Oilwell-Varco-Wins-NOV-PBR-RIG-WFT0412.aspx

1 comment:

Unknown said...

Great write-up. Could you reveal where you got the info on NOV market share and customer satisfaction? One can't pull that from Yahoo Finance! :)