Tuesday, November 13, 2012

Investopedia: Will Core Labs Get Much Cheaper?

Energy sector investors have learned to expect that a handful of stocks never get that cheap, and specialized service provider Core Laboratories (NYSE:CLB) is definitely one of them. Unlike many energy service companies, Core Labs has a surprisingly consistent record of not only positive free cash flow, but free cash flow growth coupled with double-digit returns on invested capital. While rivals such as Schlumberger (NYSE:SLB) are trying to capture some of Core Labs' business, its strong competitive position seems very much intact. The real question for investors is whether they can get comfortable paying nearly twice the normal premium for a services company.

To read the full article, please click here:
http://www.investopedia.com/stock-analysis/2012/Will-Core-Labs-Get-Much-Cheaper-CLB-SLB-HAL-BHI1113.aspx

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