UPDATE: Dahlman Rose Reiterates Buy Rating, Raises PT on National Oilwell Varco

In a report published Monday, Dahlman Rose & Co. reiterated its Buy rating on National Oilwell Varco (NYSE: NOV), and raised its price target from $103.00 to $105.00.

Dahlman Rose noted, “New orders for deepwater equipment (drillships and harsh environment semisubmersibles) continue to look extremely strong. With oil companies having to go out to 2014 to secure availability and with day rates on three-to-five year contracts continuing to climb, this suggests that most leading offshore contract drillers will exercise existing options and take out new options on deepwater equipment. We also expect strong orders to come out of Brazil. Just in the past week, Sete Brazil signed a letter of commitment with BrasFELS for six semisubmersibles to be built in Brazil with deliveries beginning in 2016 and ENSCO ordered two additional drillships.”

National Oilwell Varco closed on Friday at $73.66.