Research from Atrium Research, Atrium Research Corporation

Atrium Research

Research from Atrium Research

Atrium Research Corporation

Atrium Research provides institutional quality issuer paid research on public equities in North America. Our investment philosophy takes a 3-5 year view on equities currently being overlooked by the market. Our research process emphasizes understanding the key performance metrics for each specific company, trustworthy management teams, unit economics, and an in-depth valuation analysis. 

Our research product includes in-depth initiation reports, research notes, thematic research pieces, and company fact sheets.

Thematic (Sector/Industry)

<ul>
<li>We anticipate oil prices to remain within the US$80-$90 range, which will sustain the current uptick in E&amp;P capital expenditure and foster a strong environment for oilfield services firms.</li>
<li>Our peer group continues to trade at deep-value multiples; currently at 4.5x/4.0x 2024E/2025E EBITDA.</li>
<li>We highlight a few of our favourite small-cap names that we believe have significant upside as we move into H2/24.</li>
</ul>


We anticipate oil prices to remain within the US$80-$90 range, which will sustain the current uptick in E&amp;P capital expenditure and foster a strong environment for oilfield services firms.
Our peer group continues to trade at deep-value multiples; currently at 4.5x/4.0x 2024E/2025E EBITDA.
We highlight a few of our favourite small-cap names that we believe have significant upside as we move into H2/24.


<ul><li>We expect oilfield service stocks to continue to outperform in 2023 and beyond based on supportive oil price fundamentals, rising capex levels amongst E&amp;Ps, and pricing power leading to margin expansion </li><li>Despite the sector’s strong fundamental tailwinds and the probability for a multi-year commodity supercycle, oilfield service companies are still trading at trough-level multiples In order to end the oil supply deficit, additional rigs are required to be deployed; providing organic growth and pricing power for oilfield service names.</li><li>This will create another year of margin expansion for oilfield service stocks as they take advantage of operating leverage.</li></ul>

We expect oilfield service stocks to continue to outperform in 2023 and beyond based on supportive oil price fundamentals, rising capex levels amongst E&amp;Ps, and pricing power leading to margin expansion Despite the sector’s strong fundamental tailwinds and the probability for a multi-year commodity supercycle, oilfield service companies are still trading at trough-level multiples In order to end the oil supply deficit, additional rigs are required to be deployed; providing organic growth and pricing power for oilfield service names.This will create another year of margin expansion for oilfield service stocks as they take advantage of operating leverage.

Oilfield Services: Another Great Year Ahead

High Quality Stock Setups, Weekly Stock Bull Finder

Weekly Stock Bull Finder

High Quality Stock Setups

Finding high potential stock setups on quality companies

<ul><li>While market commentary and cable business media talking heads were focused on arguing about the definition of a recession and whether the US economy is currently in one this week, there were notable developments in the back half of the week that came from DC that have significant market implications moving forward. </li><li>The arguments back and forth of whether or not we are in a recession is classic noise that investors should be tune out as GDP figures released this past week are backwards looking and the labeling is simply used as signaling for political points. </li><li>First, Federal Reserve Chair Jay Powell delivered the expected 75bps of interest rate increase this past meeting, but his comments were interpreted by many that the period of significant outsized hikes of 75bps are now behind us and that lower hikes will soon follow for the remainder of the year.</li></ul>

While market commentary and cable business media talking heads were focused on arguing about the definition of a recession and whether the US economy is currently in one this week, there were notable developments in the back half of the week that came from DC that have significant market implications moving forward. The arguments back and forth of whether or not we are in a recession is classic noise that investors should be tune out as GDP figures released this past week are backwards looking and the labeling is simply used as signaling for political points. First, Federal Reserve Chair Jay Powell delivered the expected 75bps of interest rate increase this past meeting, but his comments were interpreted by many that the period of significant outsized hikes of 75bps are now behind us and that lower hikes will soon follow for the remainder of the year.

Canada

STEP Energy Services Ltd. operates as an oilfield service company. The Company offers coiled tubing and hydraulic fracturing, chemical laboratory, and fluid pumping solutions. STEP Energy Services serves customers in Western Canada and South Texas.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Step Energy Services (STEP CN)

Oilfield Services: Still Way Too Cheap

We anticipate oil prices to remain within the US$80-$90 range, which will sustain the current uptick in E&P capital expenditure and foster a strong...

Atrium Research

Oilfield Services: Another Great Year Ahead

We expect oilfield service stocks to continue to outperform in 2023 and beyond based on supportive oil price fundamentals, rising capex levels...

Atrium Research

Weekly Stock Bullfinder - Week of 8/1

The arguments back and forth of whether or not we are in a recession is classic noise that investors should be tune out as GDP figures released...

Weekly Stock Bull Finder

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)