BJS provides pressure pumping and other oilfield services serving the petroleum industry worldwide. BJS%s services include well stimulation, cementing, sand control and coiled tubing. For the 3 months ended 12/31/00, revenues increased 38% to $489.7M. Net income totaled $63.5M, up from $20.5M. Revenues reflect an increase in North American drilling activity. Net income also reflects continued improvements in pricing.

February 6, 2001

BJS is one of the leading oil field service companies. What’s more, this sector is gearing up for one of the busiest and most profitable periods in years. It appears that the price for a oil will be able to maintain its price around $30.00 a bbl. The share price of BJS has been soaring ever since it plowed through the major resistance provided by a double top at $76.75. This price is now the major support. The record earnings reported on January 23rd did not see a split announcement. Using history as a guide, however, we feel that the stock is a legitimate split candidate. The last recorded split occurred in 1997 when the stock was trading at $74.94, which is obviously well below today's closing price. Momentum traders may want to consider this stock if it moves above the all time high of $83.90 tomorrow. Technical indicators, such as the MACD, Money Flow and OBV all point towards a continued positive move for this stock. One word of caution, the RSI is just starting to indicate an overbought condition. If the stock does not make a new high, it may be best to give the stock a chance to pull back and consolidate before purchasing it in anticipation of the next move higher

Picked on February 6th @ $83.18
Change since picked +0.00
Stop Loss @ $76.00

February 8, 2001

Those of you who followed our suggestion to wait until BJS broke out to a new high before purchasing are still waiting. Our concern on Tuesday was that BJS was a little overbought, at least according to the Relative Strength Indicator (RSI). The relatively high price of oil has made BJS, a leading oil services company, one of the few companies that promises to show some nice profit growth this year. The current price of BJS makes the stock a legitimate split candidate, especially when one realizes that the last split occurred just over three years ago when the stock was trading in the mid $70s. A drop below the mild support of $81.38 offered by today's low may necessitate a little more patience before entering a position. A bounce off support offered by the 10-DMA at $79.41 may be an excellent entry point. Some of the overbought pressure according to the RSI has been relieved after two days of sideways trading. The MACD confirms that the long-term trend is up. Therefore, buying pullbacks could be profitable. The key price for momentum investors to watch is $84.00. A move above this price on midday volume of over 1.25 million shares traded, could produce some quick profits.

Picked on February 6th @ $83.18
Change since picked -1.48
Stop Loss @ $76.00