More Videos
- Portfolio Prep for Next Week: 'Don't Get Crazy'
- Strategists on Dubai: Avoid 'Rash Moves' Now
- Dubai Stock Market Fear Has 'Legs': Dennis Gartman
- Surprising Options Trades in TiVo Shares
- 10 Dividend Picks For Your Portfolio: Chief Investors
- 4 Thanksgiving Week Buys For Your Portfolio: Market Pros
- There's a 'Great Chance' For a Double-Dip Recession: Strategist
- Retail Earnings and Sales to Improve in Q4: Analyst
- 4 Food Stocks to Stuff in Your Portfolio: Analyst
- S&P at 1050-1200 Trading Range Next Year: Strategist
- U.S. Stocks Fall on Dubai Worries
- Black Friday at Best Buy
- Strategists on Dubai: Avoid 'Rash Moves' Now
- Longer Lines, Fuller Carts This Black Friday
- Dubai Stock Market Fear Has 'Legs': Dennis Gartman
- Obama's Emission Reduction Pledge Paints Future for Autos
- Is Super Bowl Halftime Act Too Old?
- Surprising Options Trades in TiVo Shares
- EA Sports Hopes to Pump Up Sales Through Pop-Up Locations
- Dubai's Debt Woes Signal New Era for Creditors
- Fed Audit Would Hurt Economic Prospects: Bernanke
- Next Week: Cash In Now Or Wait For A Santa Rally?
- Dubai Stock Selloff May Bring Buying Opportunity
- Longer Lines, Fuller Carts This Black Friday
- Big US Banks May Be Forced to Raise Capital: Bove
- Bank of America Amends Pay for Senior Executives
- Tiger Woods Out of Hospital After Accident
- The World's Biggest Debtor Nations
RSS FEED
CNBC Stock Blog
Text Size 
The oil service sector is looking very attractive, and it is time for investors to start putting money into the small cap companies, according to Khuram Chaudhry of Bank of America Merrill Lynch and Sonja Schemmann of Schroders.
“Oil service is one of the areas I am very fond of right now,” Chaudhry told CNBC.
He said investors should look into moving into the smaller-cap oil companies. “Despite the fall in the oil price from $147 to $30, the oil sector has continued to outperform the market,” he said.
“Now is one of those opportunities to buy some of the small-cap service companies at the expense of some of the larger-cap companies. So there’s a natural rotation within the sector—it has been favored to the large caps; now there’s a rotation as the oil prices start to go higher, so that we actually want to move back into the smaller cap companies.”
Schemmann explained her positive take on the oil service sector.
“You want to expose yourself to the specialist in the [oil service] field because the costs have been coming down as capital expenditure has been coming down, so while it’s not as rosy as it was in the heyday...it’s a sector that in the longer term, sits on a very nice secular growth,” she said.
- Slideshow: Which Oil Nations Make Money?
- Schork Oil Outlook: Why Traders Are Bullish
- Latest Energy Sector News
_______________________________
Oil Services Companies:
Schlumberger [SLB
Loading...
()
]
Halliburton [HAL
Loading...
()
]
Baker Hughes [BHI
Loading...
()
]
BJ Services [BJS
Loading...
()
]
Weatherford International [WFT
Loading...
()
]
_______________________________
Disclosure:
Disclosure information for Chaudhry and Schemmann was not immediately available.
Data is a real-time snapshot *Data is delayed at least 15 minutes