Back to top

Image: Bigstock

Statoil ASA

Read MoreHide Full Article

Though Statoil ASA is fairly active in its development operations, we remain apprehensive as the company’s production has been facing hiccups of late. The company’s financial flexibility is getting increasingly restricted. The currently weak commodity price environment adds to the woes. With crude prices anticipated to remain weak, the company’s revenues and earnings will likely remain stressed. Moreover, with major projects scheduled to be commissioned in coming years any project delays and capital spending deferrals may adversely affect company’s profitability. Therefore, we caution investors against this company at this point.

Published in