It is good to be in Oil at the moment. Here is a way in which you can exploit the oil bonanza in an indirect way. Hunting PLC is an international Oil Service company providing various service solutions to some of the world's largest Oil and Gas operators.
Having been through a tough 2001-2002, things seem to be on the up with the market Hunting operates in being bouyant.

The latest results were good:
Turnover 1,195m (2002: 951m) +25.6%
Total operating profit 25.2m (2002: 24.4m) +3.3%
Pre-tax profit 21.1m (2002: 19.1m) +10.5%
Basic earnings per share 6.4p per share (2002: 4.1p) +56.1%
Ordinary dividend per share 3.50p (2002: 3.0p) +16.7%

Oil and gas prices are sky high so expect a drilling bonanza. Hunting is well placed globally, and especially for Canada’s tar sands.

Vital stats:
Market value: 129m
Historic PE: 20
Prospective PE for 2004: 11
Prospective PE for 2005: 10
Dividend yield: 2.75%
NMS: 5,000
Spread: 3.8%

Solid trading statement released a couple of weeks ago.

This week disposed some loss-making assets that generated $45m.

The chart is enticing.

The stock is demonstrating good strength with the price now moving into a gap from 1.25 to 1.70 and then quickly to 2. This was the fall in June/July 2002 which came after the market realised Hunting was to be hit with the then decline in international oil exploration and drilling activity.

Things are now very different however and the price could move ahead very quickly from here.

Hunting has not been getting much press, but is a great way to play the recent surge in the Oil/Gas sector.

A good solid company...I am in it. Happy to be in it, and it rises.

I've been tracking HTG and also looking at Expro EXR. Here is a comparison (historic figures only) which I put on the Fool previously

............................HTG.........EXR
Share price.................137.5p......255p
M/cap.......................138.9M......168.7M
Turnover (latest FY)........1,195M......203M
Pretax (latest FY)..........21.1M.......20.0M*
eps (latest FY).............6.4p........22.1p*
Dividend (latest FY)........3.5p........10.9p

*pre goodwill and exceptionals

Hunting figures are for FY to 31.12.03. Latest trading is in-line and to internal budgets.

Expro figures are to 31.3.03. Subsequent H1 results and recent statements indicate a slight fall in turnover and profits not much better than half the above, in the year just ended. Next results are out Weds 2nd June

On the face of it HTG looks the better buy. Margins seem terribly low though. EXR has a fairly fixed cost base, very sensitive to turnover. EXR is high techie stuff including for offshore (don't ask me to explain it any more than that), should benefit from deepwater exploration/production. The EXR chart shows an interesting triangle since the big fall last spring, could be seen as a consolidation pattern with high breakout potential.

The oil services sector does seem to be hanging fire including in the USA. Oh well, I expect I shall buy one or the other, but I think you have to take a 2 year view at least

Up she goes!........

just hold steady there HTG - ready for the next push for 150 then 170 then 200

RNS Number:0861Z
Capital Group Companies Inc
26 May 2004
FORM SAR 5

Lodge with Company Announcements Office and Newstrack, if appropriate, and the
Takeover Panel. A copy must also be sent to the company the shares of which are
sold.

Date of disclosure 25 May 2004

DISCLOSURE UNDER NOTE 3 ON RULE 5 OF THE RULES GOVERNING SUBSTANTIAL
ACQUISITIONS OF SHARES ("SARs")

Date of sale 25 May 2004

Sale of Hunting Plc

(1) Class of voting shares Number of shares/rights over shares sold If rights over shares sold, as
opposed to the shares themselves,
(eg ordinary shares) specify nature of rights

658,000 shares

Ordinary shares 0 rights N/A


(2) Resultant total holding of Resultant total holding of rights over Total percentage
voting shares (and % of total voting shares (and % of total voting shares in
shares in issue) issue)

15,696,450 (15.54%) 0 (0.00%) 15.54%


(3) Party making disclosure The Capital Group Companies, Inc.

(4) (a) Name of person selling shares or rights over shares
......................................................

and, if different, beneficial owner
The Capital Group Companies, Inc.

(b) Names of any other persons acting by
agreement or understanding

N/A

Signed, for and on behalf of the party named in (3) above
_____________________________________

(Also print name of signatory) Liliane Corzo

Telephone and extension number Contact Vivien Tan (213) 615-0469

______________________________________

For full details of the SARs disclosure requirements, see Rules 3 and 5 of the
SARs. If in doubt, contact the Panel on Takeovers and Mergers, Monitoring
Section, Tel. No: 020 7638 0129.

really testing resistance again

Ok so what is a realistic target price for it short term?

Hunting PLC
20 December 2005


20th December 2005

Hunting PLC
('Hunting', the 'Company')

Pre-close trading update


Hunting's results for the full year to 31 December 2005 will be announced on 2
March 2006.

Dennis Proctor, Hunting's Chief Executive, said: 'Current trading is strong. Our
results will be ahead of current market expectations and with strong commodity
prices, a healthy order book and production backlog, we expect the momentum to
continue in 2006. With forecast demand rising combined with Oil and Gas
Companies' budgeting significant E & P increases, Hunting is well positioned to
benefit from its broad product and service assets.'



-Ends-

The shares have been relatively quiet in the last couple of weeks (a spike up to 320p at the beginning of this week quickly evaporated). However expect a very nice run up leading to the results announcement on the 2nd March.

It's a bargain at these levels.

The spectacular performance of Schlumberger on Wall Street yesterday (shares up $7 on a day when the index was down over 200 points) confirms that the oil services sector is in splendid health (no surprise there !!). Schlumberger has forecast that business is continuing to boom ahead in this financial year - rather similar to the Hunting pre-close update that I posted above.

I have a feeling that Hunting could be good for a run up to 4 ish ahead of the results (and IMO they are good value even at that price !!)

GREAT CHART!!!

GREAT CHART!!!

From today's Guardian:

http://business.guardian.co.uk/speculator/story/0,,1692549,00.html

But the first pick among the possibles is Hunting, an oil services business. The big winner in the US reporting season was Schlumberger, the giant of that industry. Hunting is worth just 400m but should be enjoying the same diet of high oil prices and record levels of exploration by the oil majors. It could be an interesting week.

http://business.guardian.co.uk/story/0,,1691614,00.html

Among the small caps, Hunting the oil field services group, gained 4p to 308p on talk that it could be a takeover target for one of its US rivals. In a recent research note, ABN Amro noted that Hunting trades a 40% discount to its rivals.

Could Schlumberger be a possible bidder. its share price is up again today $3.75
As ABN Ambro states Hunting is trading at a 40% discount, with the result due on 2nd march and expected to be well ahead of market expectation, Sp has a lot of catching up to do.

Compared to Schlumberger it is obvious that Hunting is somewhat of a bargain.

It has ticked up a few pence today but, IMO, still a long long way to go.

HI there. A couple of points. I like this share but to quote your words if the results in 5 weeks are "expected to be better than market expectations" then this is already expected. It depends on what EPS and growth the analysts have pencilled in for it. Also, how do you think it compares to the other oil service providers, eg. petrofac , expro, sondex etc.

I believe that the market expectations will be surpassed by a long way and cause a pleasant surprise similar to Schlumberger on Wall Street last Friday. The whole oil services industry is experiencing a boom time and, like the oil and gas exploration companies, much of the success is down to a continuingly strong oil price. However whilst much of the investment focus remains, unsurprisingly, with the explorers, the oil services sector remains IMO a very under researched and undervalued subsector. If a giant like Schlumberger can surprise Wall Street like it did on Friday just imagine the potential that the far smaller UK listed have to provide a similar, if not better, surprise.
All of the companies mentioned in the above post have their qualities and investment potential.
For me Hunting appeals as the most attractive in a quality bunch.

It is really motoring today......................................

Bought in this morning at 326p on the back of a point and figure chart buy signal (triple top breakout) having been monitoring for a while. Big fan of the oil support sector and the fundamentals look stroong with decent growth prospects

Fundy,

top man.

the share price has recently been held back by Fidelity cutting down their stake to less than 10%.

However I am now reliably informed that this is out of the way so the SP can begin to behave 'normally'.

Without the Fidelity nonsense I think we would already be at 4 and this remains the target for me during this month.

From today's Guardian:


Hunting, the oil field services group, was the best performer in the FTSE 250 yesterday. Its shares gained 22p to 342, lifted by the clearance of an overhang and inevitably takeover speculation. According to analysts Hunting's mixture of businesses - oil services, trading and transportation - could be attractive to its rivals, most of whom have higher stock market ratings. That said, Hunting should benefit from the fact that spending on new oil and gas exploration projects is set to soar in the next couple of years.