I was once connected to the oil field service industry via marriage. The FIL was the highest ranking American corporate exec in a French company, at that time. He told me, as the oil industry goes...so does the oil field service industry. I believe that statement still holds true today.BaylorSpineGuy said:
Yes that's correct. It's the Van Eck thing.
I follow it as a ticker but have never traded or invested. It just seems to have dramatic moves.
But can u comment on some pros/cons of investing money there vs say CVX/XOM/MRO?
I keep my game pretty simple. I invested in CVX and XOM because of gasoline supply and distribution network. Everyone needs gas to propel their cars/trucks to work and play. The higher pump price is a tax on discretionary income - less of a dollar to go around for eating out or buying toys. CVX and XOM will be profitable by default. ....... MRO, refined products, I'll shift to MRO heavily if FJB bans U.S. crude exports. Petroleum products will find a way out of this country, either crude or refined.
I don't see people giving up driving(XOM & CVX), or giving up their phone(T), low PEs and solid steady div generators over time were early enticers for me. I want to be invested where people's income will be spent. Kroger, Walmart and other grocer chains will likely do well, but I'm not invested there. There's always severe margin pressure at grocers regardless of the type of economy we are in. I still have investments in AAPL, TTD, AMZN, GOOG, NVDA - Growth Tech, just not as much. When things turn around, I want to have some position in Growth Tech, because I'm not that smart to time perfect entries....my previous posts prove it.
