This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

5 Oil and Gas Equipment Stocks to Watch

NEW YORK ( TheStreet) -- ION Geophysical (IO - Get Report), Global Geophysical Services (GGS), Dawson Geophysical (DWSN), OYO Geospace (OYOG) and Geokinetics (GOK) are five high-growth stocks within the scientific and technical instruments space that doubled in the last one year and have potential upside of 10%-42%. Being analysts' favorites, most of these stocks have no sell ratings.

Geoscientists use seismic data for exploring and developing oil and gas resources and to map potential/recognized hydrocarbon-bearing formations and geologic structures that are contiguous. A seismic survey is crucial for oil and gas exploration. The survey involves arranging several thousands of channels of acquisition equipment in a grid. In tandem, a fleet of vibrator trucks or a dynamite crew returns vibrations on the surface that pass into the formation or the acquisition equipment. The acquisition equipment intercepts and records these vibrations. On analysis, the acquired data provides 3-D images of the subsurface profile and indicates prospective reserves of oil or gas.

Demand for seismic equipment companies' services directly correlates to oil and gas explorers' capital spending, which, in turn, depends on oil and natural gas prices. With the onset of the global economic crisis in the final quarter of 2008, oil prices plunged from record highs reached earlier as the global economic slowdown impacted consumption. As a result, capital spending reduced by 18% during 2009 from 2008 levels, according to a global data report titled Oil & Gas Capital Expenditure Outlook 2011.

Going forward, capital expenditure in the oil and gas industry is expected to witness strong growth in 2011, at 15%. Improved seismic and drilling technologies and depleting reserves in shallow waters are the key drivers of drilling activities, according to the report.
1 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
GGS $0.11 -3.08%
DWSN $4.30 0.00%
IO $0.62 -6.50%
AAPL $118.03 -0.71%
FB $105.41 -0.31%


Chart of I:DJI
DOW 17,813.39 +1.20 0.01%
S&P 500 2,088.87 -0.27 -0.01%
NASDAQ 5,116.1430 +13.3350 0.26%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs