3 Oil Equipment Stocks Set to Drill Higher

Weatherford International, Tidewater, and HF Sinclair look poised for powerful breakouts.

Oil pumpjacks operate at dusk in Long Beach, Calif. (Apu Gomes / AFP / Getty Images)

The oil equipment group has lagged behind its exploration and production counterparts this year. The VanEck Oil Services ETF is down 7% year to date and 17% over the past year, while the SPDR S&P Oil and Gas Exploration and Production ETF has declined just 2% and 6% over the same time frames. The comparison chart below reveals how the equipment group has consistently underperformed since last year’s election. However, a closer look uncovers subtle signs of relative strength in the VanEck Oil Services, which has formed three higher lows, contrasting with the exploration and production ETF’s series of three lower lows in June and July. Let’s dive deeper into a few compelling names within the sector.

The VanEck Oil Services ETF traded at $251.60 Monday.

Weatherford International , a key player in the oil equipment and services sector, has surged 35% over the past three months, more than double the gain of the VanEck Oil Services ETF. Last week alone, the stock jumped 10%, marking only its third double-digit weekly gain over the past year.

On the technical front, the stock recently broke above a bullish inverse head-and-shoulders pivot near $60, a breakout that coincided with the stock climbing above its 200-day simple moving average for the first time in a year. This technical strength suggests a potential move toward the mid-$80s by early 2026. Remain bullish above $58.

Weatherford International traded at $61.82 Monday.

Tidewater , a leader in offshore equipment, could be the sector’s comeback story with an 8% gain so far in 2025 amid broader group struggles. The stock has demonstrated rare volatility, doubling off the early April lows with an explosive 29% surge following a well-received earnings report.

Impressively, Tidewater has held most of that massive gain, forming a bull flag pattern, a consolidation often signaling a continuation upward. Recently, the stock broke above a key bull flag pivot at $59, pointing to a potential advance toward $71 by year end. Notably, it paused briefly after filling the upside gap from the Nov. 7, 2024 session.

Tidewater was trading at $59.49 Monday.

HF Sinclair Corporation , a hybrid equipment and refining play, has delivered an impressive 41% gain year to date while offering an appealing 4% dividend yield, a rare combination of capital appreciation and income.

The stock exhibits strong relative strength, trading just 1% below its recent 52-week highs, even as the VanEck Oil Services ETF remains 18% off its annual peak. HF Sinclair has advanced in 15 of the last 20 weeks, with no more than 3% decline in any losing week. While the stock may pause as it approaches the very round $50 level, its recent breakout above a bull flag pivot at $45 sets the stage for a potential move toward $56 by the fourth quarter.

HF Sinclair Corporation traded at $49.27 Monday.

Write to Doug Busch at douglas.busch@barrons.com.