Hello, I am new to ACM and see this as a buying opportunity. Many of the stocks in this sector (fwlt etc) are down 20% today on news that URS sees the infrastrtucture spending slowing. I believe ACM is different because of its overseas exposure. I doubt the Chinese or middle east folk will slow their buildout plans. I am buying at these levels.
Now the dickhead Cramer is piling on, says ACM is too much like URS and is not done going down. More like a weak competitor getting there ass kicked by ACM and making excuses.
From the ACM conference call:
"Some investors have expressed their concern regarding municipal funding. This applies to 13% of our revenue base. We are mindful of this issue and believe our diversification will mitigate any possible shortfall. In addition, a significant portion of the 13% is funded by municipal bonds. We have seen an increase in the amount of municipal bonds issued for infrastructure projects. On a year-over-year basis, municipal bonds issued are up 33%."
John M. Dionisio - President and Chief Executive Officer
"That's exactly right. What we're seeing in the... we scrub our performance on a regular basis and review the performance with all our key managers around the U.S. as well as the world and we're still seeing a very strong market. And we see there, based upon the needs, there is funding in place. So, that's almost... I tell you it's almost when you listen to some of the reports, both in the print and media, it's almost as if it's a self fulfilling prophecy that something bad is going to happen, but we're not seeing that right now. But again, we are not just sitting back, not taking actions. We have a strategy in place to defend ourselves against any type of shortfalls which may occur."
Cramer being negative is one of the great "buy signals" of this generation. He doesn't care if his picks work out or not. He only cares about ratings and selling books. By lumping ACM and URS together, he shows how little he knows about the differences between the 2 company's revenue and earnings streams.