Both look like reasonable opportunities to me. I know nothing about the business or industry. Are you expecting these companies to profit from the fracking boom???
My only comments are as follows:
- debt to equity is higher than the average company but it seems that this is a capital intensive industry and it is not out of line for the industry.
- for some reason the forward earnings estimates for PES were reduced.
- the capital expenditures for these companies are always high in comparison to depreciation and net income. I am not sure what the adjustments to net income lines are all about. Resulting cash flow doesn't seem exciting but then again cash flow would be tight if they were growing.
Thanks bottomsup...I don't have an answer for you on "profit from the fracking boom". Yes it was the Insider Buying that drew me to them but I have bought PES in the springtime before and sold at a nice profit. My thesis is if the economy is getting better and oil prices move up during the summer than these stocks will benefit. Good Luck.