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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

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To: mc who wrote (7252)4/12/1998 1:16:00 PM
From: Herm  Read Replies (1) of 14162
 
Hi Gary and Everyone!

Happy Easter to all! TMAR looks very interesting and is selling cheap. Here are some stats:

Trico Marine provides marine support services to the oil and gas
industry, primarily in the Gulf of Mexico, the North Sea and Brazil.
The services provided by the Company's diversified fleet of vessels
include the marine transportation of drilling materials, supplies and
crews and support for the construction, installation, and maintenance
and removal of offshore facilities.


NASDAQ: (TMAR : $20 3/16) $244 million Market Cap at April 9, 1998 Trades at a 48% Discount PE Multiple of 7.2 X, vs. the 13.9 X average multiple at which the Drilling & Marine Supply SubIndustry is priced.


The fair price for TMAR should be $2.65 (low EPS) x 13.9 avg. Industry P/E = $36.84.

Mar98Q1
0.40a 0.42 0.43 0.41 6 29-APR-98

Jun98Q2
0.47a 0.70 0.80 0.64 5 29-JUL-98

Dec98FY
2.11a 2.82 2.95 2.65 8 No Date

Dec99FY -- 3.70 4.00 3.30 6 No Date

Consensus Recommendation: 1.6 Consensus Future 5-yr
Growth Rate: 30% (1=Buy 3=Hold 5=Sell)

On the news front? The sinking of one of their boats may be viewed as a potential problem from a lawsuit or damages point of view. Otherwise, the company seems to be profitable.

quote.yahoo.com

Charts look good from a technical standpoint. The bottom has been reached for this stock. I ran a few analysis at stockwizard.com and the Barnes Indicator came out with a buy signal.

207.95.154.130
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