Interesting company. I entered a limit order for HOFF last thursday and friday, but did not get filled. I was looking to buy on a little dip. I will continue to look for a little dip, or if it starts to move, I will buy @ market. I like the numbers and obvious growth potential.Certainly substantial increases over last year in revenue and earnings.With Cal Dive in the news lately for big earnings surprise, HOFF's dive support vessel caught my eye. With the additional 3 pipelay vessels coming online later this year they should continue to grow revenue and earnings as projected. I see a big winner here ... as I love the GOM shallow water ''niche'' story, as it is similar to TCMS, which is my most substantial long term hold.
By owning both TCMS and HOFF, I will have the GOM shallow pipe sector well covered as there is some overlap in this area between the two companies. They compliment each other well - would make an interesting merger...
Paulo, how did you become aware of HOFF; were you in on the original IPO ? Can't complain about the price, as my understanding is the IPO offering was at $13. At $14 7/8 it is only selling at a PE of 16, based on FY 1998 estimates of .93 cents. With Q1 at .16 cents and the additional vessels coming on line later this year, .93 cents looks very conservative.
I really love the upside potential on a few oil sector small caps, TCMS, OMNI & HOFF look exceptional; great place to put ones money in light of an inevitable DOW correction, if crude rebounds soon to $18 + , with the GOM drillers poised to ramp up production, these small cap service companies should fly. |
