Weatherford cut to Sell at Societe Generale in oil services shuffle

|By:, SA News Editor

Weatherford (WFT -0.4%) is only modestly lower after Societe Generale downgrades shares to Sell from Buy, as analyst Edward Muztafago says current U.S. challenges and the recent stock market drop create risk to WFT's asset divestiture plans, and "stumbles may not be well received."

In the oil services space, Muztafago recommends rotating more fully into offshore and reducing U.S. land exposure, and thinks U.S. activity is poised for constrained growth following an anticipated recovery from the current frac malaise while offshore activity appears set to inflect.

The analyst also downgrades Halliburton (HAL -0.4%) to Hold from Buy but upgrades Ensco (ESV +1.8%), Noble Corp. (NE +4.8%) and Oceaneering (NYSE:OII) to Buy from Hold.

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