Hercules Offshore Inc (fka HEROQ)

[Bassanio]

I underestimated the slowing demand for offshore Drilling rigs as a consequence of cutting CapEx by the oil majors.

1. Anyway, the oil price is still high.
2. shallow water, which is HERO's buisiness, is cheaper for the exploration company than ultra-deepwater.
3. Saudi-Aramco, one main customer, is not driven by activist shareholders. They won't cut CapEx.
4. México will liberalize it's regulation. SDRL got the first strike, but HERO will get it's stake too.
5. HERO is a hated stock in a beaten down industry. Usually all weak hands are shaken out now.