Bear of the Day: KLX Energy (KLXE)
Oil stocks enjoyed a wonderful run last year. With most industries coming under pressure, oil was one of the few areas where you could make money. The good times and the bad times never last forever. In this case, the energy sector has been the worst performing sector over the course of the last 30 days. The sector is down over 7% over that period of time.
Today’s Bear of the Day is a stock within that sector. I’m talking about Zacks Rank #5 (Strong Sell) KLX Energy (KLXE). KLX Energy Services Holdings, Inc. provides drilling, completions, production, and well intervention services and products to the onshore oil and gas producing regions of the United States. The company operates through three segments: Southwest, Rocky Mountains, and Northeast/Mid-Con. It provides directional drilling services; and downhole navigational and rental tools businesses and support services, including well planning, site supervision, accommodation rentals, and other drilling rentals.
The reason for the unfavorable Zacks Rank is that analysts have been cutting their estimates for the current year and next year. The bearish moves have dropped our Zacks Consensus Estimates for the current year from $5.19 to $3.22 while next year’s number is off from $6.37 to $3.25.
KLXE is in the Oil and Gas -Field Services industry which ranks in the Bottom 19% of our Zacks Industry Rank. There are a few stocks within this industry that are in the good graces of our Zacks Rank. These include Zacks Rank #1 (Strong Buy) Weatherford International WFRD and Zacks Rank #2 (Buy) Archrock AROC.
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Archrock, Inc. (AROC) : Free Stock Analysis Report
KLX Energy Services Holdings, Inc. (KLXE) : Free Stock Analysis Report
Weatherford International PLC (WFRD) : Free Stock Analysis Report
