RE:RE:RE:RE:RE:RE:RE:RE:RE:Enterprise rated one of Top Picks for June.Yes, many business' are capital intensive (railroads, power companies, and oil and gas producers) all of which must re-invest capital in order to sustain revenues. What I think Jackroy and I disagree with is to the extent that these assets pay back as compared to their depreciation.
He says they depreciate too fast relative to revenues which is a valid case. I on the other hand believe that one busy year in the oil patch can pay for a whole lot of new equipment.
That being said, long term I do hope that E purchases more service related business' and less rental business' in order to lower the burden of capital.