Is oil equipment a better pick than oil?
Cameron International makes equipment for oil and gas exploration.
This week when I sorted on Barchart for the stocks hitting the most highs, Cameron International (CAM) rose to the top of my list. Cameron makes the equipment that oil and gas exploration companies use to explore for new fields.
Another plus for this company is something that scares me about playing around with oil prices. There is short interest in oil and gas contracts, and I've seen the effect that press releases can have on a stock when the shorts try to cover their positions to stop the bleeding in a rising stock market.
CAM has made 17 price advances in the past 20 trading sessions and is 5 for 5 recently. It has seen a nice price appreciation of 26.32% over the past 65 days. A dozen of Barchart's 13 technical indicators are signaling buy, for a 96% overall technical buy rating.
Wall Street Survivor readers give the stock a 5/5 Survivor Sentiment rating, and Motley Fool readers think the stock will out perform the market by a vote of 965 to 18, with the All Star members giving it a vote of 212 to 3. Even the Wall Street journalists Fool follows like the stock 15 to 0.
I've got some solid reasons to like it:
- The stock is hitting new highs better than 50% for the recent trading session.
- Fewer of the savvy short sellers are shorting this stock each month.
- Brokerages have buy recommendations out there without any major trash talking.
- Other major Internet sites seem to have confidence that this is a good investment.
Recommendation: I'm adding Cameron International (CAM) to my Wall Street Survivor portfolio around $44.50 with a stop loss at no lower than $40. I'll be moving that stop loss weekly.
At the time of this writing, Jim Van Meerten had no positions in CAM.
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
The Ukraine crisis festers and other fresh concerns boil to the surface, knocking down markets and giving volatility some life.
VIDEO ON MSN MONEY
Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.
Contributors include professional investors and journalists affiliated with MSN Money.
Follow us on Twitter @topstocksmsn.