On February 17, 1998 briefing.com posted the following on TMAR.
Looks like a no-brainer. or maybe not ?
TRICO MARINE SERVICES (TMAR) 18 +1/8. The company's 4-cents better-than-expected 4th qtr net has done very little for TMAR shares this morning. The less than spectacular performance of the stock can be blamed on a oilfield drilling/services sector that is experiencing another round of profit-taking following a sharp run-up over the past two weeks. In fact, TMAR is one of the few names in the entire group that is actually trading to the upside. For those not familiar with the oilfiled stocks, these issues move in tandem and have recently been very sensitive to crude commodity prices. Because of this "buy-them-all or sell-them-all" mentality, not even the company's 69% year-over-year improvement in EPS has been able to move the stock meaningfully higher on the session. For the period, the marine support services company reported net income of $0.61 million, on revenues of $41.6 million, compared to $0.36 and $20.6 million, respectively, reported for the year-ago period. The company said its much improved results were primarily attributable to the expansion of its fleet of vessels from acquisitions in the Gulf of Mexico and the North Sea, and the increase in the average vessel day rates for all of the company's vessel classes. Based a First Call survey of 9 analysts, TMAR is expected to earn $2.91 a share for 1998, giving the stock an
astoundingly cheap P/E of 6.18. That's right, a P/E of 6.18 for a company that is expected to grow earnings by 38% a year. They don't get much cheaper than this. |
