TidewaterNYSE: TDW

The market for offshore oil rigs rigs and offshore supply vessels has experienced a significant increase over the past three years, mainly driven by higher oil prices. The favorable market conditions have led to a higher demand for OSVs, leading to increased usage rates as well as daily rates across the industry.

Michael Landsberg, CIO of Landsberg Bennett Private Wealth Management, joins 'Power Lunch' to discuss stock plays for three companies: Tidewater, Progressive, and CRH PLC.

Demand for OSVs will likely remain robust thanks to healthy oil prices, peaking US shale production, and lower offshore breakeven levels. Limited yard capacity, high newbuilding and secondhand prices, as well as aging global fleet will result in high day rates and utilization rates. The market is too conservative in anticipating TDW's future growth. We expect TDW to generate $1.85 billion in revenue (13% above consensus) and $1 billion in adjusted EBITDA by 2025.

HOUSTON--(BUSINESS WIRE)--Tidewater Inc. (NYSE: TDW) (“Tidewater” or the “Company”) announced today that it will release financial results for the first quarter of 2024 on Thursday, May 2, 2024 after the market closes. An earnings conference call with President and CEO Quintin Kneen discussing the results is scheduled for Friday, May 3, 2024 at 8:00 a.m. Central Time. Investors and interested parties can tune in to listen.

Tidewater (TDW) came out with quarterly earnings of $0.94 per share, beating the Zacks Consensus Estimate of $0.58 per share. This compares to earnings of $0.30 per share a year ago.

Tidewater Inc. has shown significant revenue growth, expanding margins, and profitability, along with providing strong guidance for future earnings. As the leading OSV operator, Tidewater benefits from rising demand and day rates in offshore drilling. The company's expansion into the offshore wind sector presents significant growth opportunities.

Tidewater (TDW) made it through our "Recent Price Strength" screen and could be a great choice for investors looking to make a profit from stocks that are currently on the move.

For the second time in a row, Tidewater's quarterly earnings per share missed consensus expectations by a wide margin. The underperformance was mostly a result of analyst models not yet reflecting higher depreciation expense as a result of the recent $580 million acquisition of 37 vessels from Solstad Offshore. In addition, the company experienced higher-than-anticipated unplanned vessel downtime and a resulting increase in repair costs with the issue expected to persist for the remainder of the year.

Tidewater Inc. (NYSE:TDW ) Q3 2023 Earnings Conference Call November 7, 2023 9:00 AM ET Company Participants West Gotcher - Vice President, Finance and Investor Relations Quintin Kneen - President and CEO Sam Rubio - Chief Financial Officer Piers Middleton - Chief Commercial Officer Conference Call Participants Jim Rollyson - Raymond James Greg Lewis - BTIG Operator Thank you for standing by. My name is Eric, and I will be your conference operator today.