You're probably right about 'One Up on Wall Street', but I don't recall that he expressed concerns about the business plan at the time.
IMHO, SRV has a very simple business plan to start with. The corner stone of it is the finality of us human beings. Since we have no escape what so ever from it, and that humanity is growing at a tremendous rate all over the world, one day or an other we'll be a customer... and there will be lot's of guys to keep us company.
Of course, SRV is facing some difficulties, to say the least, right now. The race to consolidate -- which has already driven Canadian competitor Loewen Group to bankruptcy -- is probably the main reason why the balance sheet have deteriorated. Of course, there's some 'weakness' on the mortality front, but I guess that no one believes that the situation will last forever...
This being said, the business model remains the same. They are the industry leader and I don't see it change any time soon. I don't have a position on this stock yet, but my interest is growing as I see the price going South every day.
Of course, it would be interesting to hear other participants express their opinion. What about you guys?
MF |
