Right now Cooper Cameron is my favorite name. Currently the stock is in the mid-60s. It climbed to the 80s a few months ago. True, it's been somewhat disappointing for a while, at least as far as the equipment they provide to the subsea market. But I think production will increasingly move offshore, and the need for subsea equipment will boom in the next few years.
Energy service is the one area within the sector that's attracted momentum players.
We'll probably see the best earnings growth here over the next several years, simply because equipment makers will be the major beneficiaries of the large oil companies' ramping up their exploration budgets. But, if at any time along the way we see a significant drop in oil prices, momentum investors will temporarily abandon this area. But I would view that as a buying opportunity. Within this area, we're focusing on offshore drilling. That's where the reserves are being found, and will be found, within the next few years.