The Energy Investment Picture

We say oil prices will be lower for longer,said Fadel Gheit,senior energy analyst at Oppenheimer&Co.Fundamentally,supply is still ample and exceeds the demand.The demand picture is weak.I actually say,sell oil stocks on a spike;buy them on dips.*
On the good side,you've got the industry bellwether Schlumberger,adds Ken Sill,managing director and senior oilfield services analyst of Global Hunter Securities.Halliburton is doing well.Superior Energy has good balance sheets and is growing internationally.*
Chevron,the second largest US oil company,is laying off 1500 workers,or 2% of its workforce,as part of an effort to cut costs by a billion dollars to offset the decline in the price of oil.Prices have sunk about 55% in the past year on oversupply.Most of the layoffs will be in Texas,where Chevron has holdings in the Permian Basin shale formation,and California,where its headquarters are located.
In light of the current market environment,Chevron is taking action to reduce internal costs in multiple operating units and the corporate centre,Chevron spokeswoman Melissa Ritchie stated.These initiatives,which are currently underway,are focused on increasing efficiency,reducing costs and focusing on work that directly supports business priorities.*
The Chevron layoffs include 50 international staff;600 contractor positions;500 positions from the San Ramon,California headquarters;and 270 open positions that won't be filled.
The consensus seems to be that now is a good time to buy the stocks of these basically sound companies that are going at bargain rates.
Chevron (CVX);Halliburton (HAL);Schlumberger (SCHL);Superior Energy (SPN)