RE: RE: RE: Great company, bad stock goldens, I said I want to BUY the stock as it comes down here. Why would I say that if I wanted to scare people. Come on.
Define "growth company". The classic definition is a company that grows *faster than the economy* grows *in all economic cycles*. Microsoft in the 1990s was a growth company. During a recession they still grew, just less. A company that grows because a commodity's price grows is a cyclical company, not a growth company. All cyclical companies "grow" when the commodity cycle is on the rise.
Compare $WTIC west texas crude against FRC.TO and you will see a clear relationship. When oil price is down, FRC and the two other major Canadian horizontal drillers also sell off. When $WTIC rises, FRC grows too. If oil prices come down significantly, the marginal wells won't be worth drilling and FRC's could experience negative revenue growth, forget earnings. That's normal, expected, and it is what all cyclical companies do at some point.
I think oil is not going to under $70 and for that reason I think this company is in a safe part of the commodity cycle for at least a few years. I LIKE horizontal fracking services firms. I LIKE them. Please stop trivializing discussion of important issues by saying I am trying to scare people. Adults can discuss two sides of the issue.