Schlumberger’s scale, market leadership and pricing power make it defensible amidst low oil prices. Action Alerts PLUS Portfolio Manager Jim Cramer and Research Director Jack Mohr discuss why they recently initiated a position in Schlumberger in the face of a weak oil environment. They find shares extremely attractive at these levels, especially considering SLB is the largest oil service company in the world, yet continues to gain market share and generate top-tier full cycle returns. Jim and Jack expect SLB to maintain its market supremacy and see increased opportunity for market share gains over the next three years as the company's competitive advantages are truly exemplary. For some context, its annual R&D budget is larger than the entire market cap of most of its competitors. Because of this, the company continues to successfully develop products that save costs for customers while often increasing recovery rates. As such, it is able to command premium prices and earn superior margins.