Amazon (AMZN) beat market analysts’ expectations for both revenue and earnings per share during its most recent earnings report on Thursday. The company’s stock price soared to record highs as a result, settling 14% higher. I Know First wrote a bullish article on Amazon on February 9th, which can be read here, predicting the stock price would climb. Since that time, it has increased 18.92% as the article argued it would.
Google (GOOG) is by far the most popular search engine for users in the US and most of the world. The tech giant’s most recent earnings report, released January 29th, fell short of expectations. The disappointing revenue and earnings per share figures came at a time when there was general pessimism about the future of the company. The pessimism was driven by the overall shift of the market to mobile, where ads are cheaper and where users prefer to search through apps over browser-based engines. The most concerning aspect of Google’s future outlook was its declining cost-per-click rates. For several quarters in a row, CPC rates have fallen as consumers shift to mobile devices. Last quarter saw a further 8% drop in average CPC rates on Google sites, which is concerning, but the company did see growth in paid clicks of 14%, including 25% on sites it owned and operated.
The oil services industry has experienced months of losses due to falling oil prices and will offer rebound opportunities.
Halliburton will be the top stock in this industry because it enters in a strong position and will emerge even stronger.
A DCF valuation of the company’s finances show it is currently undervalued, further evidence it is a top idea for this market.
According to the I Know First algorithm, the company will rebound in the short term, but the real long-term opportunity will not present itself until the end of the year.
Company Information
Founded in 1919, Halliburton Company (NYSE:HAL) is one of the world's largest providers of products and services to the energy industry. Halliburton provides energy services, engineering, and construction services, as well as manufactures products for the energy industry. The company offers services and products and integrated solutions to customers in the exploration, development, and production of oil and natural gas.
Recent News
In the company's most recent earnings report, Halliburton reported total revenue of $32.9 billion for the full year of 2014, a 12% increase over 2013. The increased revenue was driven by growth in North America, with 16% revenue growth and 23% adjusted operating income growth compared to 2013.
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