Credit Suisse Continues to See Schlumberger Limited as Top Large-Cap OFS Pick

In a report published Friday, Credit Suisse analyst James Wicklund reiterated an Outperform rating and $86.00 price target on

. In the report, Credit Suisse noted, "SLB continues to be our top large-cap OFS pick, with less exposure to the short-cycle onshore NAM business than others and more business related to longer-cycle international activity. As long as oil prices are flat to down and while the US rig count is declining, we expect SLB's stock price to outperform that of peers. Due to the nature of the business, international activity should be down in 2016 on longer-cycle planning inertia and optimists could envision some recovery in NAM activity through 2016, once the rig count reaches bottom. Concerns about continued weakness in exploration and the continued stacking of offshore rigs will focus the relative differences in large-cap OFS performance. For now, SLB wins. Our 1Q15 / 2015 estimates go to $0.88 / $3.60 from $1.00 / $4.08." Schlumberger Limited closed on Thursday at $84.82.