Traders work beneath a monitor displaying Halliburton Co. signage on the floor of the New York Stock Exchange (NYSE) in New York, U.S., on Monday, May 2, 2016.
Michael Nagle | Bloomberg | Getty Images
CNBC’s Jim Cramer says don’t turn bearish on Halliburton (HAL) yet — even as the oilfield services name tumbles on a slight revenue miss for its third-quarter earnings report.
Halliburton, which reported quarterly results before Tuesday’s opening bell, beat profit expectations but missed on revenue amid weakness in North America. Shares fell 2% on the release.
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“Let Halliburton [stock] come down, but this company’s going to do just fine if oil stays at these prices,” Cramer said on “Squawk on the Street.” He cited Halliburton’s track record of conserving capital and sees more demand for the company’s services due to oil market dynamics.
West Texas Intermediate crude, the U.S. benchmark, dropped nearly 3% on Monday and continued with a modest slide Tuesday. Last week, however, WTI saw a second straight weekly gain. It also spent a brief moment above $90 per barrel on concerns about possible Mideast output disruptions due to the Israeli-Hamas war.
The CNBC Investing Club exited its Halliburton position in August but is looking at oil stocks again against the backdrop of recent M&A activity in the energy industry. The Club owns Coterra Energy (CTRA), which is about 50/50 oil and natural gas.
Here’s a full list of the stocks in Jim’s Charitable Trust, the portfolio used by the CNBC Investing Club.