4 billion equivalent to its own value of company

The year 2006 will be that where the price of a barrel of oil has reached highs, with a higher average level of $ 10 in 2005 and nearly $ 20 2004. The Total course has not reflected this context, both to be sure. The largest capitalization of the stock exchange of Paris ends the year on an increase of 1.3, ranked 33rd of a CAC 40 in full form. Its shareholders have certainly benefited in dividends (3.7 billion) and share repurchases (4.3 billion), refunds representing 6 of its stock market value, or the equivalent of a company like Lagardère! In addition, many of them being Americans, converting euros into dollars is favourable to them, and Total action listed in New York has won this year 8.5. But the title will not be among those who have doped the portfolio in 2006. Its underperformance is mainly that the French company has seen two years on its production decrease in volume at the time where price flew. This trend, due in large part to production in some countries sharing contracts and the recurrent problems of Nigeria, must come to an end. The Group has just renewed its forecast of growth of 7 of its production in 2007. The title is so very well noted by analysts and displays a priori good potential for catch-up. It remains to check that after the volume effect is not the price effect which will be this time late.

Change of stature

Great year for the company General of geophysics. French champion of equipment and services for seismic studies, link key to oil research, celebrated in may its seventy-five years. He also launched in early September one of the most daring operations of external growth of 2006 with a friendly offer on its American competitor Veritas, for an amount of EUR 2.4 billion, equivalent to its own value of company. Geophysics was especially successful among related companies in the oil, to disconnect his route stock of the only reference to the price of a barrel: investors take now into account both its business in very strong progress results and its grip on the world of the seismic market, that the merger with Veritas, effective mid-January, will make as strong as that of SchlumbergerWorld number one. There where the other great French name of the parapétrolier, Technip, is struggling to assert his beautiful book of orders and potential acquisitions, geophysics changed its stature. Still, the title, already up by 50 in 2005, won 117 in 2006, making it the third performance of Paris. The value is even more expensive after the phase of doubt about the size of the operation Veritas, the stock market now anticipates higher than the forecast merger synergies.

New impetus

Should be storing Nexans among the values associated with oil and by its high price It is in any case the reasoning that a large number of investors that follow with interest both contracts for the world number one of the cables with the oil industry, for example to connect to the continent off-shore platforms, than it has in the oil producing countries, especially in the Middle East in full fervor of investment in electric networks. Although both opportunities are marginal in sales Nexans, one way or another, the impact of the price of oil on the whole energy industry leads to support the request of cables. Better, this concerns products which incorporate the most added value and provide the highest margins. Therefore it is logical to find title Nexans ( 133 in 2006) to the elbow to elbow for the surge of the year with Vallourec ( 136,5), the tubes they also participate in the oil economy. For six months, the course of Nexans in fact grew much faster than the last entering the CAC 40. After having welcomed the acquisition of a very strong Australian competitor in Asia, investors now anticipate output next business telecoms which would make a "pure play" Nexans energy and would justify a new stock market momentum.