Halliburton (HAL)
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Heading into 2023, the bears had the upper hand on oil stocks like Halliburton (NYSE:HAL). Oil prices were dropping as it appeared that the Federal Reserve’s campaign of raising interest rates was having the expected effect of lowering demand.
But the reopening of China and the refilling of the Strategic Petroleum Reserve will likely put a firm floor on oil prices that has some analysts saying that $70 is the new $50. If that’s the case, then Halliburton is well positioned to become one of the bargain growth stocks. HAL stock is down 27% since mid-January. At that time, the stock was bumping up against its 52-week high.
With catalysts in place, it would not be hard to see the stock moving past its 52-week high. It’s already up 8% in the last week of March. And if oil climbs to over $90 as some analysts believe can happen, now is the time to get in on a stock that is trading at around 17x earnings.