It's not too hard to make money investing in companies that make
things, but successful investing in companies that build things has
proven quite a bit more challenging. Not only is there rampant
competition in engineering & construction (E&C) to keep a lid on
prices, but many a contractor has run into trouble with cost overruns.
All told, this is a sector where the relative few companies that earn
decent (or good) returns on capital are more than offset by those who
fall short - in other words, this is a sector where picking the right
company/stock matters.
Maybe Matrix Service (MTRX)
is one of those better picks. The company's recent ROICs haven't been
super, but nor have they been terrible. What's more, management seems to
have a cogent vision for not only growing the business, but doing so in
a profitable way.
Please read more here:
Matrix Looks To Multiple Growth Opportunities And Better Margins
Showing posts with label Matrix Service. Show all posts
Showing posts with label Matrix Service. Show all posts
Wednesday, March 13, 2013
Thursday, January 5, 2012
Investopedia: Team Inc. Making The Most Out Of Maintenance
Right now "weird" may be the best word to describe the market for large-scale engineering firms and many of their customers. While utility, infrastructure and industrial construction have slowed to a crawl, activity is quite strong in the energy sector. On the other hand, not all energy is the same and many companies are trying to figure out ways to get out of operations like refining. As one of only two specialty maintenance service companies with real national coverage, Team Inc. (Nasdaq:TISI) is nevertheless seeing some solid upside from an ongoing maintenance cycle at customer refineries.
Another Solid Quarter
Team Inc. has been doing well recently, and this quarter was no exception, though there is definitely some deceleration in the business. Revenue rose 19% this quarter, with 13% organic growth. Across the board, Team's profitability metrics looked solid. Reported GAAP operating income rose about 24% this quarter, with adjusted EBITDA rising 22% and adjusted net income rising 29%. Management also once again raised its financial guidance for the full year.
Please read more here:
http://stocks.investopedia. com/stock-analysis/2012/Team- Inc.-Making-The-Most-Out-Of- Maintenance-TISI-VLO-XOM-FRM- CBI0105.aspx
Another Solid Quarter
Team Inc. has been doing well recently, and this quarter was no exception, though there is definitely some deceleration in the business. Revenue rose 19% this quarter, with 13% organic growth. Across the board, Team's profitability metrics looked solid. Reported GAAP operating income rose about 24% this quarter, with adjusted EBITDA rising 22% and adjusted net income rising 29%. Management also once again raised its financial guidance for the full year.
Please read more here:
http://stocks.investopedia.
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