From your previous posts, you have an excellent handle on
this company and how undervalued it's stock price was/is.
Here's another blurb from today's Briefing.Com that's
practically pounding the table (just like you are) on this
company. It's always nice when you find your views confirmed
by an "established" source.
4:45 ET ******
UNIFAB INTERNATIONAL (UFAB) 16 7/8 +1 5/8. Investors are finally starting to recognize how truly oversold Unifab shares were, and
still are. In fact, this is one of the cheapest stocks in the entire oilfield services group. Over the past week, however, the stock has started to break out of slump that sent the shares spiraling lower, almost without pause, from $40 to $13 a share. The horrific performance of the stock over the past 4 months is attributable to a combination of over-eager IPO investors and the general downturn in the oilfield drilling/services group. After debuting back in September at $18 a share, the stock roared through the $40 mark in a matter of days, as momentum players jumped aboard any and everything that was oilfield related. When the music stopped for the group in the 4th qtr of 1997, UFAB and its buddies were left without chairs. After experiencing numerous stops and starts, the group has done an excellent job holding its gains over the past week. When these types of moves occurs, 2nd-tier names such as UFAB benefit from trickle-down economics, as investors race to find the attractively price stocks that may have been left out of the move. The renewal of bullishness has helped UFAB shares climb more than 30% over the past week. But if thinking about buying Unifab, or any other stock in this area, you had better look at the charts of some of these babies. Although almost everyone on Wall Street is bullish on this group, mutual funds, hedge fund managers, and individual investors alike will dump these stocks in a heartbeat at the first sign of trouble.
Description: Unifab is engaged in the custom fabrication of decks and modules of drilling and production equipment and other structures used in the development and production of oil and gas reserves. In addition, the company refurbishes and retrofits existing jackets and decks and performs offshore piping hook-up and platform maintenance services. |
