Aban Offshore

Some of you have asked me about ABAN. Around 780-790, ABAN is a good buy for the longer term and can be averaged at that price. In the next couple of quarters, the script should see good volumes, unless there is another rig accident. 927 is my target for the medium term (6 months). In the longer term, if conditions are right, the script can move to around 1010. It is an interesting company, has seen some very strong rallies in the past (last one being from around 650 to 935 and hence the correction); however their business is quite risky, in the sense that any day a significant portion of their sales volume may just vanish.