Traders are Buying These 2 Energy Stocks After Earnings

National Oilwell Varco Inc. (NYSE:NOV) reported higher profit for the fourth quarter as revenue showed growth. Net income for National Oilwell Varco Inc. rose to $574 million ($1.35 per share) vs. $440 million ($1.05 per share) in the same quarter a year earlier. This marks a rise of 30.5% from the year earlier quarter. Revenue National Oilwell Varco Inc. beat the mean analyst estimate of $1.30 per share. It beat the average revenue estimate of $4.03 billion.

Pete Miller, Chairman, President and CEO of National Oilwell Varco, remarked, “We achieved solid results in 2011. The Company posted record revenues, net income, and orders for capital equipment, which at $10.8 billion for the year handily beat our previous high of $7.3 billion. We used the year to focus on efficiency and technology, while continuing to invest for future growth, to position National Oilwell Varco to capitalize on extraordinary opportunities emerging in the oil and gas industry.”

Competitors to Watch: National-Oilwell Varco, Inc. (NO8), Baker Hughes Incorporated (NYSE:BHI), Tesco Corporation (NASDAQ:TESO), Cameron Intl. Corp. (NYSE:CAM), T-3 Energy Services, Inc. (NASDAQ:TTES), Oil States Intl., Inc. (NYSE:OIS), Flotek Industries, Inc. (NYSE:FTK), FMC Technologies, Inc. (NYSE:FTI), Lufkin Industries, Inc. (NASDAQ:LUFK), and Schlumberger Limited. (NYSE:SLB).

Spectra Energy Corp (NYSE:SE) reported its results for the fourth quarter. Net income for the oil and gas company fell to $289 million (44 cents per share) vs. $320 million (49 cents per share) a year earlier. This is a decline of 9.7% from the year earlier quarter. Revenue rose 3.3% to $1.43 billion from the year earlier quarter. Spectra Energy Corp fell short of the mean analyst estimate of 50 cents per share. It fell short of the average revenue estimate of $1.46 billion.

“Spectra Energy delivered a year of strong results, achieving record net income and nicely surpassing our earnings target by more than seven percent,” said Greg Ebel, president and chief executive officer, Spectra Energy Corp. “We benefited from expansion projects placed into service, which are delivering attractive returns on capital employed in excess of our targeted 10 to 12 percent range; each of our businesses registered gains for the year; and with the upside of NGL prices, our Field Services business generated cash distributions of nearly $400 million to the company.”

Competitors to Watch: Southern Union Company (NYSE:SUG), El Paso Corporation (NYSE:EP), Spectra Energy Partners, LP (NYSE:SEP), Sempra Energy (NYSE:SRE), Enterprise Products Partners L.P. (NYSE:EPD), Duncan Energy Partners L.P. (NYSE:DEP), Kinder Morgan Energy Partners LP (NYSE:KMP), DCP Midstream Partners, LP (NYSE:DPM), Copano Energy, L.L.C. (NASDAQ:CPNO), and TC Pipelines, LP (NASDAQ:TCLP).

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com