Halliburton reported better-than-expected earnings this week, buoyed by a surprisingly strong performance from its North American division — which offset flat-to declining revenues from other geographic segments.
The offsetting strength or weakness of various business segments and geographic exposures, particularly for a mature business such as oil services, suggests the range-bound price action that Halliburton's share price has experienced for the past two years could continue.
Consequently, if one owns Halliburton shares, consider writing upside calls, particularly now that the company has released earnings.
If shares decline and one is assigned the effective purchase price would be $36.42, at which point one could then look to sell upside calls.
BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR.
Persons:
Halliburton, overwriting
Organizations:
North American, Halliburton
Locations:
North America