Two oil sector stocks that JPMorgan believes can overcome market challenges

The oil industry is facing new challenges. With declining spending and lower investment intensity in North America, analysts believe the oil services sector is at risk of further decline. Still, JPMorgan analyst Arun Jayaram has identified two stocks that have the potential to significantly outperform the market.

These are Baker Hughes Company $BKR and National Energy Services Reunited $NESR. These companies are well positioned to face macroeconomic challenges due to their unique strategies, diversification and focus on innovation.

Baker Hughes Company $BKR

Baker Hughes is one of the global leaders in oilfield services. The company uses advanced technologies to improve production and efficiency in the oil and gas industry. One of its key areas is liquefied natural gas (LNG), where it has more than 30 years of experience. Baker Hughes is also investing in digitalisation and the use of artificial intelligence, for example through its BHC3 AI platform, which enables predictive solutions and…