Hanging onIn reading their latest results, I perceive they are still hanging on at best. Revenues up a little, expenses cut.
I don't see them having any further room for share dilution (potential interest would be questionable anyway). So, I think their debentures that come due in 2019 represent a ticking clock. Between now and then, I hope:
- there isn't another oil price shockwave before recovery
- they can at least maintain market share
- they are dealing with a position of improved strength to keep investment at a level that reflects patience and long term confidence
Overall, with recent Producer consolidations and supressed activity, I wonder if there is enough business for CEDA, Tervita, SES, Newalta and other smaller competitors. I wouldn't be surprised to see some consolidation in this service arena.
I am moderately hopeful, as they have the talent and expertise at the operational level. For now, I will continue to closely watch from the sidelines
IMO