Top 5 Healthcare Equipment Stocks For 2016

Top 5 Healthcare Equipment Stocks For 2016: Civeo Corp (CVEO)

Civeo Corporation is a wholly owned subsidiary of Oil States International, Inc. The Company operates in active oil, coal, natural gas and iron ore producing regions, including Canada, Australia and the United States. The Company is engaged in providing an integrated service offering to its customers, which include independent oil and natural gas companies, mining companies and oilfield and mining service companies. The Companys premium accommodations services allow its customers to outsource their accommodations needs to a single supplier, maintaining employee welfare and satisfaction while focusing their investment on their core resource development efforts. In June 2014, Oil States International Inc completed spin-off of the Company.

The Companys primary focus is on providing premium accommodations to natural resource companies at its properties, which the Company refers to as lodges in Canada and villages in Australia. The Company has 17 lodges and v illages in operation, with an aggregate of more than 20,000 rooms. In addition, in the United States and Canada, the Company has eleven smaller open camp properties, as well as a fleet of mobile accommodation assets.

The Company competes with ATCO Structures & Logistics Ltd., Black Diamond Group Limited, Horizon North Logistics Inc., Clean Harbors, Inc., Aramark Corporation, Ausco Modular (a subsidiary of Algeco Scotsman), Fleetwood Corporation, Sodexo, Compass Group PLC, Stallion Oilfield Holdings, Inc. and Target Logistics Management LLC (a subsidiary of Algeco Scotsman Global S.a.r.l.).

Advisors' Opinion:

• [By Johanna Bennett]

  In corporate news, Civeo (CVEO) tumbled 55.2% to close at $3.92 after the company said it would slash spending and suspend its quarterly dividend amid the slide in oil prices.

• [By Teresa Rivas]

  Shares of Civeo (CVEO) were down nearly 25% in after hours trading Monday, follow! ing the firms disappointing 2015 guidance and news it is suspending its dividend.

  The firm, which provides accommodations for energy workers, said it expects 2015 revenues between $540 million and $600 million, well below the $815 million analysts were expecting. Its first quarter revenue guidance, a range of $160 million to $175 million, also came in far short of expectations of $228 million.

  The company blamed a slowdown in oil sands projects in Canada amid an environment of low oil prices for the shortfall, while also noting that low coal prices in Australia are also hurting sales.

  In response to a “potentially protracted period of lower prices”Civeo said it would adjust its cost structure (after already cutting 30% and 45% of its Canadian and U.S. employees) and would limit its capital expenditures going forwardto a range of $75 million to $85 million, from $260 million to $280 million this year including suspending its dividend.

  The plunge comes after Civeo hit a 52-week low of $6.81 Dec. 17, a fall of more than 75% from its June highs.

  Update: As of 5:15 the shares were off more than 28%. Also,D.E. Shaw & Co disclosed 5.1% passive stake in the firm.

source from Top Stocks To Buy For 2015:http://www.topstocksforum.com/top-5-healthcare-equipment-stocks-for-2016.html