- China Oilfield Services remained profitable in 1H 2020 due to strength in the domestic market in China, in contrast with its international peers which were loss-making during the same period.
- Nevertheless, there is a risk of earnings disappointment in 2H 2020, taking into account pricing pressure and the potential for larger-than-expected impairment losses.
- China Oilfield Services trades at 0.62 times P/B and 8.3 times consensus forward FY 2021 P/E, and it offers a consensus forward FY 2021 dividend yield of 3.6%.
For further details see:
China Oilfield Services: Still Profitable But Downside Earnings Risk Remain