Wildcatters Portfolio holdings Baker Hughes (NYSE: BHI) and Weatherford International (NYSE: WFT) have both reported fourth-quarter earnings. The former beat consensus expectations by a wide margin and is trading up about 7 percent on the news; the latter missed estimates and is down roughly the same amount.

A far more detailed analysis of these reports and Schlumberger’s (NYSE: SLB) earnings will appear in next week’s issue of The Energy Strategist. However, based on my initial analysis of the earnings releases and conference calls, my opinion of both stocks remains unchanged.

Weatherford missed estimates, but it was a noisy quarter filled with a lot of one-off charges, including inventory write-downs and a legal settlement. In addition, the company experienced a spike in start-up costs associated with mobilizing equipment and labor for new projects–a common occurrence for oil service companies with exposure to large international projects in regions like the Middle East.

Weatherford also noted that it experienced project delays due to weather and operators. The weather delays aren’t surprising; it has been a cold winter across the US, Europe and Asia. Operator delays could stem from holdups in obtaining parts or equipment, budget issues or the simple fact that operators are still cautious about spending after oil prices collapsed in 2008.

On the positive front, Weatherford’s guidance looks like a low bar. The company anticipates “flattish” results in Latin America, as a lull in activity in Chicontepec will be offset by higher spending in other regions of Mexico and Brazil. The company isn’t pricing in a return to activity at Chicontepec, but that’s a likely outcome due to Mexico’s continued production declines. Take advantage of this opportunity and pick up in Weatherford International.

Baker Hughes posted solid earnings. The company’s management also made some positive comments regarding international growth. More important in the near term, horizontal drilling activity in the US related to unconventional gas and oil plays is showing signs of improvement, a trend management expects to continue in 2010.

This is a high-margin business for Baker, and the company will be expanding more in this area thanks to its recent acquisition of pressure pumping specialist BJ Services. I am raising my buy target price on Baker from 49 to 50.