A rising tide lifts all boats -- unless you're National Oilwell Varco (NOV).
Despite a massive rally in oil prices Wednesday, the Houston-based provider of oil-and-gas drilling equipment failed to take part in the surge, due to a fourth-quarter miss.
The company ranked last in the S&P 500, tanking nearly 9% after quarterly sales of $2.7 billion missed Wall Street forecasts by more than 10%, and adjusted earnings per share of $0.23 were 47% below analysts' estimates, according to Bloomberg consensus data.
"Our management teams across our business units are responding quickly to lower revenues, which fell further than we expected in the fourth quarter, by reducing costs and accelerating restructuring plans, which enabled us to hold incremental leverage to 35%, ex-charges, despite the sharp volume decline and renewed intense pricing pressure we are seeing," CEO Clay Williams said on the earnings call.
"As we have stated for the past few quarters, our focus is to manage what we can, namely costs, while continuing to advance our longer-term strategic goals."
Marathon Petroleum (MPC) and Valero Energy (VLO) also missed the boat of rising oil prices, with share prices dropped about 8% and 7%, respectively. (Marathon missed sales expectations by roughly 6% while Valero is reported to have begun tapering production, Bloomberg reported.)
Meanwhile, the top winners in the S&P were those best capable at capitalizing on the more than 9% rise in U.S. oil benchmark West Texas Intermediate prices, as well as a rally in metals.
Chesapeake Energy (CHK) topped the charts with a 12% gain, followed by advances of more than 11% from Freeport-McMoran (FCX) and Newport Mining (NEM) as investors regained some confidence in natural resources companies after a jump in prices.
The last big move on the day, shocking many as it came in after the closing bell, was from CBS (CBS). Leslie Moonves, CBS's CEO for about 10 years, will replace its longtime chairman, media tycoon Sumner Redstone. (CBS shares popped more than 4% in aftermarket trading.)