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($$$MR. MARKET$$$ is a proprietary investor and does not provide individual financial advice. The stocks mentioned on this forum do not represent individual buy or sell recommendations and should not be viewed as such. Individual investors should consider speaking with a professional investment adviser before making any investment decisions.)
While the market is busy chasing whatever shiny AI toaster, crypto hamster wheel, or meme stock carnival ride is trending this week, $$$MR. MARKET$$$ has been diving into the abyss like Captain Nemo riding a nuclear-powered shark.
Yesterday I bought stock in Oceaneering Intenational (ticker: OII) at $37.63. I will sell it in 4-6 weeks at $43.47. Why do I like OII? Oh the oil! Oh the oil!! I bought this one with the same confidence Indiana Jones had grabbing the idol, the same confidence Maverick had buzzing the tower, and the same confidence Thanos had when he started collecting Infinity Stones. This stock is up 98% in the last 12 months and its PE is only 11.
Oceaneering International, Inc. provides engineered services and products and robotic solutions to the offshore energy, defense, aerospace, and manufacturing industries in the United States, Africa, the United Kingdom, Norway, Brazil, Asia, Australia, and internationally. It operates through five segments: Subsea Robotics, Manufactured Products, Offshore Projects Group, Integrity Management & Digital Solutions, and Aerospace and Defense Technologies. The Subsea Robotics segment offers remotely operated vehicles (ROVs) for drill support and vessel-based services, including subsea hardware installation, construction, pipeline inspection, survey and facilities inspection, maintenance, and repair; ROV tooling; and survey services comprising hydrographic survey and positioning services and autonomous underwater vehicles for geoscience. Its Manufactured Products segment provides distribution and connection systems, such as production control umbilicals and field development hardware and pipeline connection and repair systems; connectors and subsea and topside control valves primarily to the energy industry; and autonomous mobile robotic technology to various industries. The Offshore Projects Group segment offers subsea installation and intervention, including riserless light well intervention services, inspection, maintenance and repair services; installation and workover control systems and ROV workover control systems; diving services; project management and engineering; and drill pipe riser services and systems and wellhead load relief solutions. Its Integrity Management & Digital Solution segment provides asset integrity management services, as well as software, digital, and connectivity solutions for the energy industry. The Aerospace and Defense Technologies segment offers services and products, such as engineering and related manufacturing in defense and space exploration activities. The company was founded in 1964 and is headquartered in Houston, Texas.
Here’s what’s funny. THE MARKET STILL THINKS THIS IS AN OIL SERVICES COMPANY. That's like calling Batman a rich guy with a car. Technically true but completely missing the point. The market still throws OII into the boring oilfield bucket while ignoring what's happening right in front of its face. The real story is: Defense. Robotics. Autonomous Systems. Undersea Warfare.
While energy remains the cash-printing engine, the Aerospace & Defense Technology (ADTech) segment of this company is becoming the rocket booster. Q1 2026 ADTech revenue surged 35% year-over-year and now represents nearly 20% of company revenue. Meanwhile governments around the world are suddenly realizing something important: The next battlefield isn't just in the sky. It's underwater. Imagine if someone cut the internet. Not your Wi-Fi. The actual backbone. The cables. The pipelines. The infrastructure that keeps modern civilization functioning. That's exactly why NATO, the U.S. Navy, and allied governments are pouring money into subsea surveillance and autonomous systems.
Oceaneering has thousands of miles of operational experience with years of relationships with the Navy, NASA, and defense contractors. This isn't some startup pitching PowerPoints and dreams. This is a proven operator with real hardware, real contracts, and real cash flow. While everyone is obsessing over drones in the air, OII has been building drones for the bottom of the ocean. These drones can perform long-duration missions, monitor critical infrastructure, and support defense operations without requiring constant human intervention. The Department of Defense already awarded OII what management described as the largest initial contract in the segment's history. And we still don't know the full size of the opportunity. When governments start spending on national security, they don't ask whether something is expensive. They ask whether it works.
Where’s the proof? Q1 revenue grew. ADTech exploded higher. Subsea Robotics revenue increased. Manufactured Products increased. Order intake hit approximately $1 billion. Management found it hard to be humble when they provided their guidance:
All of this with a very healthy balance sheet: OII exited Q1 with roughly $607 million in cash versus about $489 million in debt. That's ammunition for more more more growth. This company has the financial flexibility to invest, execute, and continue expanding into higher-margin defense opportunities.
Despite all of this, THE VALUATION STILL MAKES NO SENSE!!!?? Depending on which ANAL-yst report you read, OII trades between roughly 7.5x and 9.8x EV/EBITDA. That's the kind of multiple you'd expect from a sleepy cyclical company. Not a company growing defense revenues over 30%. Not a company sitting in the middle of robotics, autonomy, subsea security, and military modernization. Even these dopey ANAL-ysts point toward valuation upside between 13% and 35%+ depending on how aggressively the market rerates the defense business. Do the math. 13% upside from my $37.63 entry gets us almost exactly to $43.47. This company is profitable, Cash-rich, winning contracts, growing defense exposure, increasing robotics revenue and still undervalued. Right now, the market sees an oil services company. I see a subsea robotics and defense platform hiding in plain sight. It's like finding out Clark Kent can fly. Eventually everyone takes off his glasses and figures it out.
Voyage to the bottom of the sea and on up to the pay window with OII. I am HUGE!
$$$MR. MARKET$$$
www.mrmarketishuge.com
While the market is busy chasing whatever shiny AI toaster, crypto hamster wheel, or meme stock carnival ride is trending this week, $$$MR. MARKET$$$ has been diving into the abyss like Captain Nemo riding a nuclear-powered shark.
Yesterday I bought stock in Oceaneering Intenational (ticker: OII) at $37.63. I will sell it in 4-6 weeks at $43.47. Why do I like OII? Oh the oil! Oh the oil!! I bought this one with the same confidence Indiana Jones had grabbing the idol, the same confidence Maverick had buzzing the tower, and the same confidence Thanos had when he started collecting Infinity Stones. This stock is up 98% in the last 12 months and its PE is only 11.
Oceaneering International, Inc. provides engineered services and products and robotic solutions to the offshore energy, defense, aerospace, and manufacturing industries in the United States, Africa, the United Kingdom, Norway, Brazil, Asia, Australia, and internationally. It operates through five segments: Subsea Robotics, Manufactured Products, Offshore Projects Group, Integrity Management & Digital Solutions, and Aerospace and Defense Technologies. The Subsea Robotics segment offers remotely operated vehicles (ROVs) for drill support and vessel-based services, including subsea hardware installation, construction, pipeline inspection, survey and facilities inspection, maintenance, and repair; ROV tooling; and survey services comprising hydrographic survey and positioning services and autonomous underwater vehicles for geoscience. Its Manufactured Products segment provides distribution and connection systems, such as production control umbilicals and field development hardware and pipeline connection and repair systems; connectors and subsea and topside control valves primarily to the energy industry; and autonomous mobile robotic technology to various industries. The Offshore Projects Group segment offers subsea installation and intervention, including riserless light well intervention services, inspection, maintenance and repair services; installation and workover control systems and ROV workover control systems; diving services; project management and engineering; and drill pipe riser services and systems and wellhead load relief solutions. Its Integrity Management & Digital Solution segment provides asset integrity management services, as well as software, digital, and connectivity solutions for the energy industry. The Aerospace and Defense Technologies segment offers services and products, such as engineering and related manufacturing in defense and space exploration activities. The company was founded in 1964 and is headquartered in Houston, Texas.
Here’s what’s funny. THE MARKET STILL THINKS THIS IS AN OIL SERVICES COMPANY. That's like calling Batman a rich guy with a car. Technically true but completely missing the point. The market still throws OII into the boring oilfield bucket while ignoring what's happening right in front of its face. The real story is: Defense. Robotics. Autonomous Systems. Undersea Warfare.
While energy remains the cash-printing engine, the Aerospace & Defense Technology (ADTech) segment of this company is becoming the rocket booster. Q1 2026 ADTech revenue surged 35% year-over-year and now represents nearly 20% of company revenue. Meanwhile governments around the world are suddenly realizing something important: The next battlefield isn't just in the sky. It's underwater. Imagine if someone cut the internet. Not your Wi-Fi. The actual backbone. The cables. The pipelines. The infrastructure that keeps modern civilization functioning. That's exactly why NATO, the U.S. Navy, and allied governments are pouring money into subsea surveillance and autonomous systems.
Oceaneering has thousands of miles of operational experience with years of relationships with the Navy, NASA, and defense contractors. This isn't some startup pitching PowerPoints and dreams. This is a proven operator with real hardware, real contracts, and real cash flow. While everyone is obsessing over drones in the air, OII has been building drones for the bottom of the ocean. These drones can perform long-duration missions, monitor critical infrastructure, and support defense operations without requiring constant human intervention. The Department of Defense already awarded OII what management described as the largest initial contract in the segment's history. And we still don't know the full size of the opportunity. When governments start spending on national security, they don't ask whether something is expensive. They ask whether it works.
Where’s the proof? Q1 revenue grew. ADTech exploded higher. Subsea Robotics revenue increased. Manufactured Products increased. Order intake hit approximately $1 billion. Management found it hard to be humble when they provided their guidance:
- Roughly 5% revenue growth for FY2026
- EBITDA midpoint of $415 million
- Continued growth in defense and autonomy platforms
All of this with a very healthy balance sheet: OII exited Q1 with roughly $607 million in cash versus about $489 million in debt. That's ammunition for more more more growth. This company has the financial flexibility to invest, execute, and continue expanding into higher-margin defense opportunities.
Despite all of this, THE VALUATION STILL MAKES NO SENSE!!!?? Depending on which ANAL-yst report you read, OII trades between roughly 7.5x and 9.8x EV/EBITDA. That's the kind of multiple you'd expect from a sleepy cyclical company. Not a company growing defense revenues over 30%. Not a company sitting in the middle of robotics, autonomy, subsea security, and military modernization. Even these dopey ANAL-ysts point toward valuation upside between 13% and 35%+ depending on how aggressively the market rerates the defense business. Do the math. 13% upside from my $37.63 entry gets us almost exactly to $43.47. This company is profitable, Cash-rich, winning contracts, growing defense exposure, increasing robotics revenue and still undervalued. Right now, the market sees an oil services company. I see a subsea robotics and defense platform hiding in plain sight. It's like finding out Clark Kent can fly. Eventually everyone takes off his glasses and figures it out.
Voyage to the bottom of the sea and on up to the pay window with OII. I am HUGE!
$$$MR. MARKET$$$
www.mrmarketishuge.com