Strictly: Drilling and oil-field services 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.

Gold/Mining/Energy : Strictly: Drilling and oil-field services

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: CommanderCricket who wrote (49968)	8/27/1999 2:32:00 PM
From: upanddown	Read Replies (2) of 95453

CC Glad to see someone else thinks TCMS is a keeper. People talking of HOFF as a real buy at $8 might want to compare these two. Both marine construction companies with HQ in Houston who probably are direct competitors for many projects. TCMS sells for 50% book while HOFF sells for 160% book. TCMS has a D/E ratio of .49 while HOFF is at .70. TCMS has twice the sales of HOFF but TCMS has a market cap of 61.2M while HOFF is 150M (calculated with TCMS at 6 and HOFF at 8). TCMS sales for first six months of 1999 were 100M, up 26% while HOFF was 36M, down 32%. The only advantage for HOFF I can find is TTM profit margin was 8.1% while TCMS was an anemic 1.2%. I'am just not convinced that is really conclusive since margins prior to TTM were similar. Maybe TCMS was lowballing bids to keep work coming in while HOFF refused to bid low. The relative value between these two similar businesses just doesn't make sense. I'll stick with TCMS. John

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next