Value Investing Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Paul Senior who wrote (41244)	3/11/2011 10:09:15 AM
From: E_K_S	1 Recommendation Read Replies (1) of 78746

Hi Paul - Some more views on GFS as well as the small E&P stocks. The recent sell off may present a "selective value" buying opportunity. Re: GasFrac Energy Services, Inc. (GFS.V) Message 27227865 From the article:"...GASFRAC – GFS-TSX original write up Aug 25 2010 Again, this is my favorite company in the portfolio. And they delivered Q4 and annual numbers better than I expected. The $41 million revenue in Q4 was $10 million more than I was expecting (no wonder the stock rocked last week) and at first glance, everything seems great – margins are fairly constant which is great as usually growth costs money. Yes you should get economies of scale and greater profits, but first – growth costs money. The number of jobs is up and the price per job is up, (due to bigger equipment being used, which is what the IPO was for – they should see a similar bump in Q4 11 from the bigger equipment they’re buying that was paid for from the November 2010 financing). Other interesting points 1. The company has $119 million in working capital and 60.6 million shares out – almost $2/share. 2. Three customers account for 63% of revenue, but over 40 customers overall. 3. They now have 2 rigs working in Texas after bringing rigs back into Canada from the US in 2010 4. The LPG Fracturing Process patents for the U.S., Canada and International markets remain in examination. 5. Q1 2011 will be lower due to the 19 day self imposed work stoppage due to the first accident Overall I would expect the market to see this as positive. I will be listening to the conference call tomorrow and reading the analyst reports on Monday to get a better sense of how the market is viewing this release...." ------------------------------------------------------------- EKS

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next