O&G services

O&G services: UOBK rates sector as Overweight, says time is ripe for re-rating as majority of sector picks lagging both long term mean valuations and performance of the broader market. Catalyst to come from expectation of fleet expansion from the delivery of assets and newbuild programmes, and further contract awards to offshore contractors, culminating in earnings growth in FY11F. Top picks are Swiber (Target: $1.54 ), Ezion (Target: $0.90 ). Also maintains Buy on Ezra (Target 2.10 ).