Divestco Inc. - Class A V.DVT

Primary Symbol: DSVTF

Energy

Divestco Inc is the Canada-based exploration services company. The company is engaged in the development, designing and sales of geoscience solutions to Energy and Service companies. The company provides Software & Data, Seismic Processing, Geomatics Services, Seismic Data & Brokerage, and Land Services. The company operates in four business segments namely, Software and Data comprises of software exploration products and also provide full suite of support data layers; Services segment comprises of geomatics and processing; Seismic Data comprises of seismic brokerage and data management services which also contributes a major part of revenue and, Corporate and Other segment comprises of overall strategic consultant to companies. Most of its revenue is generated from the Canada market.

EXPM:DSVTF - Post by User

Divestco Inc. - Class A

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Post by presto10on Nov 12, 2008 3:10am

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Post# 15580148

Looking forward to the financials

and I think they should come out any day now. I know it's a cliche now but I can't believe Divestco is so fricken cheap! Say, 42 million shares o/s @ $.55 = $23 million market cap. It is trading at $123m/$23 = 5 x NAV. In 2007 it earned $17.5 million or $.45 per share; in 2006 it earned $19.6 million or $.60 per share. So it is trading at about 1.25 trailing earnings! With last year's 5 acquisitions and a big shoot early this year it is carrying a negative working cap balance. But the negative W/C has been decreased over the past two quarters. There is plenty of $ cash flow to reduce the negative w/capital because so much of the expenses are non cash amortization and depreciation.

All in all DVT is a steal. i think if they should take it private if the market doesn't start smartening up, or maybe start distributing a dividend. Anyway looking forward to the next financials...

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