On Oct 17, Zacks Investment Research upgraded
GulfMark Offshore Inc.
) to a Zacks Rank #1 (Strong Buy).
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EXTERRAN HLDGS (EXH): Free Stock Analysis
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Why the Upgrade?
The marine service provider for the offshore oil and gas industry
has delivered positive earnings surprises in the last 2 quarters
with an average beat of 100.4%. The long-term earnings growth of
the company is 15%.
GulfMark Offshore registered a positive earnings surprise of
25.71% in the second quarter. This has prompted the management to
revise its full year revenue expectation to $450 million to $465
million from $425 million to $455 million provided earlier. The
company expects third quarter revenue in the range of $118
million to 123 million.
The company's robust capital expenditure program will help it to
develop more vessels and allow it to serve a wider customer base.
GulfMark Offshore has plans to invest $198 million by 2015 and
complete the construction of 11 vessels. This indicates
increasing offshore drilling in the forthcoming years.
The strong performance enables the company to reward its
shareholders through regular dividend payments. In September the
company paid a quarterly dividend of 25 cents to its
The Zacks Consensus Estimate for 2013 increased 9% in the last 90
days to $2.66 per share, reflecting year-over-year growth of
241.28%. For 2014, the consensus increased 8% over the same time
period to $4.73 per share, reflecting growth of 77.81%.
Other Stocks to Consider
Besides GulfMark Offshore, other companies in the sector are also
performing well and have a favorable Zacks Rank. These stocks
include Zacks Ranked #2 (Buy)
Exterran Holdings, Inc.
Core Laboratories NV