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Trading oil stocks as crude slides

After crude oil continued to lose ground Tuesday, "Fast Money" traders looked at which companies could keep up with current—or even lower—prices.

U.S. crude futures touched lows last seen in 2009 and settled at $37.51 a barrel. After the slide continued, traders assessed whether some companies would make it if the commodity dipped to $30, or even $20, per barrel.

Transocean

Offshore drilling company Transocean should persist through another oil price dip, said trader Karen Finerman. She noted that it has a "big backlog" of work and enough cash on hand for flexibility.

The company's shares have plunged about 27 percent this year.

Freeport-McMoRan oil and gas drilling in Los Angeles, part of Freeport-McMoRan Copper & Gold Inc.
Mario Anzuoni | Reuters
Freeport-McMoRan oil and gas drilling in Los Angeles, part of Freeport-McMoRan Copper & Gold Inc.

Freeport-McMoRan

The price of many commodities has lingered lower with oil. Mining company Freeport-McMoRan would likely struggle if the commodities crunch continues, said trader Pete Najarian.

Freeport—whose shares have plummeted 70 percent this year—would suffer from its debt, Najarian said.

iShares MSCI Emerging Markets ETF

Many emerging market countries are often associated with oil and commodities exposure. However, the iShares MSCI Emerging Markets ETF could still have upside because of its exposure to Asian companies, said trader Tim Seymour.

EOG Resources

EOG Resources will likely make the necessary adjustments to stay afloat at lower prices, said trader Steve Grasso. The company's shares have fallen about 16 percent this year.

Disclosures:

Tim Seymour

Tim Seymour is long AAPL, BAC, CLF, DIS, F, FCX, GE, GM, GOOGL, INTC, JCP, JPM, KO, LGF, RL, T, TWTR, VRX. Tim's firm is long BABA, BIDU, MCD, NKE, SBUX, YHOO.

Pete Najarian

Long AAPL, AMAT, BAC, BMY, BP, CSX, DIS, DISCA, DKS, FOXA, GE, KKR, KO, MRK, PEP, PHM he is long calls A, AAL, ABX, BAC, BEE, DAL, DOW, EMR, GLW, LC, LULU, MOS, MRK, MSFT, PBR, UAL, TA, TSN, UA VZ, XLF, XLK, GDX WYNN, ZIOP He is long puts FCX, MRO, WFT, X

Steve Grasso

Steve is Long AAPL, BA, BAC, CC, DD, DECK, EVGN, KBH, MJNA, MBLY, MU, OLN, PFE, PHM, T, TWTR, GDX firm is long DVN, BP, COP, CVX, FCX, OXY, RIG, MCD, AMZN kids own EFA, EFG, EWJ, IJR, SPY

Karen Finerman

Karen is long BAC, C, FL, GOOG, GOOGL, JPM, KORS, KORS call spreads, M, SEDG, URI, she is short SPY, Her firm is long ANTM, AAPL, BAC, C, DIS, DIS puts, FL, FL calls, GOOG, GOOGL, GPS, JPM, KORS, LYV, MA, URI, URI long puts, WFM, her firm is short IWM, SPY, MDY. Karen Finerman is on the board of GrafTech International.