SLB - Why Oilfield Services Stocks Slumped in August
Shares of major oilfield services companies fell by double digits in August, according to data provided by S&P Global Market Intelligence. These included industry bigwigs Schlumberger (NYSE: SLB) (down 18.9%), Baker Hughes, a GE Company (NYSE: BHGE) (down 14.6%), and Halliburton (NYSE: HAL) (down 18.1%).
Smaller companies operating in the space were also affected. National Oilwell Varco (NYSE: NOV), with its $7.9 billion market cap, saw its shares retreat 14.2%, while shares of Helmerich and Payne (NYSE: HP), which has a market cap of $4.1 billion, fell a jaw-dropping 24.3%.
The industry as a whole, as measured by the SPDR S&P Oil and Gas Equipment & Services ETF, was down 22.2% for the month. But that drop couldn't be explained away by oil prices alone, which were only down about 8.5% in August.