The PR machine is already in full operation. They are saying declines not as bad as feared. The manipulation is appalling. The news feeds show a bad story and then it is erased the next time I check. Reality seems to be what the money managers says it is instead of what it should be.. Spinning is winning.
Somebody must think they will be making money. I don't believe how the value of your company goes up as your sales go down. Even future sales will be down. The contraction in drilling comes from the diversity of oil sources. The middle east, Europe, and South America are pumping and fracking oil and gas as much as we can store. The hype seems way more than the reality. PE ratios are way out of historical norms.. I see I'm wrong in the stock price, but the fundamentals can't be correct. This market is out of control.
Seems like they are pulling teflon out of the ground instead of oil. Hard to believe how the market is down, oil is down, yet this stock keeps rising. I don't understand the numbers. JP Morgan got it right. Downgrade. Their PR department should be up for an award. Making money on termination fees can't be healthy in the long run.
I wonder how much Warren Buffett pays for PR. The company reports less, and guides down. China is still going down. Then UBS upgrades this company. What do they know that the company doesn't know? Can only guess Warren told UBS to write the report or said UBS will lose business if they report the truth instead of cowtowing to the Oracle of Omaha. Manipulation is appalling.
Maybe, just maybe there will be some reality coming today. There was only a small drawdown and Canadian production is just ramping up. Nigeria will eventually get going again and the Saudis, Iran, Venezuela continue to pump like mad. This company is contracting. It is not expanding. Expanding companies deserve to go up. Contracting ones should go down. At some point earnings are going to reflect idled rigs. Right now they represent termination deals.