National Oilwell Varco, Inc. (NOV)

Pilgreen12 (< 20) Submitted: 10/03/06 7:19 PM : Start Price: $26.61 NOV Score: 10.34

In 1849, it was the merchants who got rich NOT the gold prospectors. Life is no different today than in 1849, I like being the supplier. Unless oil falls below $40 BBL, the oil companies and natioanlized oil companies will keep drilling and NOV is their supplier. NOV follows the price of oil, but it really should not! If oil averages $50-$60 BBL over the next few years, NOV will get rich. That price sustains an awful lot of drilling and when there is lots of drilling there is a large demand for NOV's products.

All of the cash sloshing around int he oil companies may lead one of the majors to buyout NOV to control some of the supply chain. CEOs have egos and judge themselves by the size of their . . . company. Oil Company CEOs have lots of cash and NOV would seem like a natural buyout for a CEO bent on expanding his ego . . . eh . . . I mean company. Even without a buyout NOV will do well.

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