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Non-Tech : Hvide Marine HMAR - High Growth, Undervalued

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To: Wallace Rivers who wrote (316)3/22/1998 10:07:00 AM
From: Robert T. Quasius  Read Replies (1) of 547
 
HMAR shifted towards debt offerings and away from secondary stock offerings when the stock price fell. I think rising debt levels will put a damper on revenue and earnings growth for the short term, but I don't see major problems developing, etc.

Longer term, I see the Street's overblown concerns about a few supply boats coming on line this summer evaporating. Day rates, which already factor in the new supply boats, should resume their upward spiral, and stock prices for HMAR and TMAR should recover.

At that time, I can foresee HMAR doing a secondary stock offering to raise additional capital, retire debt, etc.
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