RE:What happened?? Yeah, I was too quick in thinking the quarter was great. The top lines (revenue & earnings) looked great but deeper it has worrying signs.
The RBC report uploaded by retiredcf pointed them out. The drawing on credit line is worrisome (why borrow to expand business? Other gas and oil companies are improve balance debt for the potential slow ahead.). Als, RBC pointed out that the margin were improved because of reduced G&A expenses as opposed to pricing.
I actually sold out of my position. They are inconsistent. According to them, "CES' underlying business model is capex light and asset light, enabling generation of significant surplus free cash flow."
It currently capex heavy and negative free cash flow. Not a good sign.