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Enterprise Group Inc T.E

Alternate Symbol(s):  ETOLF

Enterprise Group, Inc. is a consolidator of services, including specialized equipment rental to the energy/resource sector. The Company works with particular emphasis on systems and technologies that mitigate, reduce, or eliminate carbon dioxide and greenhouse gas emissions for itself and its clients. It provides specialized equipment and services in the build out of infrastructure for the energy, pipeline, and construction industries. The Company provides oilfield infrastructure site services and rentals. Its rental fleet includes patent-pending efficient modular designs that provide its competitive advantage. It designs, manufactures, and assembles its modular/combo equipment, including fuel, generator, light stand, sewage treatment, medic, security and truck trailer combos, or when required, subcontracts manufacturing to local suppliers. It also provides low emission, mobile power systems and associated surface infrastructure to the energy, resource, and industrial sectors.


TSX:E - Post by User

Post by retiredcfon Nov 10, 2024 1:42pm
247 Views
Post# 36305722

Hang In There

Hang In ThereEPS of ($0.003) missed estimates of (nil). Revenue of $6.8M missed estimates of $6.5M. EBITDA of $3.055M beat estimates of $1.8M. The results were not good enough to sustain high interest, but the stock is still up 136% YTD even after Friday's drop. Revenue, margins, EBITDA and EPS all fell year over year, which gave investors pause after such a big run. The Q3 saw a 'reduction in activity' as customers delayed projects upon worry about forest fires, and some customers gave employees more vacation time which also delayed projects. Note neither of these issues is the company's 'fault', but one needs to believe these reasons and have the expectation that it is just temporary. We do. E is small and there is risk here, but we (and other analysts) expect decent growth overall in 2025. At 14X earnings it is reasonably priced, but there are small cap, cyclical and other risks here. But we do not see fundamentals 'breaking down' and think interested investors can use the decline to accumulate shares slowly (5iResearch)


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