CHX - Transocean Liberty Oilfield cut at Wells Fargo as fracking recovery delayed

Transocean ([[RIG]] -6.5%) and Liberty Oilfield Services ([[LBRT]] -2.9%) open sharply lower after Wells Fargo downgrades shares, with a cautious view on the rate of Lower 48 activity growth in next year's H1, which could push prospects for frac pricing improvement to H2 2021 or later.Transocean is cut to Underweight from Equal Weight with an unchanged $1.50 price target, citing "challenging balance sheet issues and a narrowing window for improvement in the offshore backdrop to allow more meaningful deleveraging."Wells also downgrades Liberty Oilfield to Equal Weight from Overweight with a $12 price target following the stock's 60%-plus run-up since COVID-19 vaccine results were announced in early November.The firm also taps ChampionX ([[CHX]] -4.4%) as its favorite stock in the oilfield services sector, saying the company remains on track for margin expansion in 2021 despite expected post-COVID cost headwinds in H1 2021.Wells continues to prefer Schlumberger ([[SLB]] -2.5%) over Baker Hughes

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Transocean, Liberty Oilfield cut at Wells Fargo as fracking recovery delayed