Recent

% | $
Quotes you view appear here for quick access.

Elan Corporation, plc Message Board

andy.strojny 2 posts  |  Last Activity: Feb 4, 2015 2:20 PM Member since: Feb 20, 2013
SortNewest  |  Oldest  |  Highest Rated Expand all messages
  • Reply to

    FREEFALL to $30 has begun....

    by n16m15 Feb 4, 2015 11:54 AM
    andy.strojny andy.strojny Feb 4, 2015 2:20 PM Flag

    We'll know soon enough. Reports the last week of February. Street seems to think CBI won't meet expectations. You pays your money and takes your chances.

  • "We expect the further delay of Vogtle Units 3 & 4 to be a negative for CBI shares today and potentially remain
    We expect the further delay of Vogtle Units 3 & 4 to be a negative for CBI shares today and potentially remain an overhang over the near term, given that it may take more than a year to resolve this dispute. That said, the risk to CBI’s cash flow may be lower than the headline cost overrun number suggests for the following reasons: 1) CB&I’s contract with Westinghouse states that certain excess costs can be recovered by Westinghouse, so depending on the cause of delay, CB&I may avoid the cost overrun; 2) In the worst case scenario, the costs would likely be divided between the contractors, so assuming a 50/50 split, CB&I would be responsible for only $370M," continued the analyst.

    "In terms of liquidity risk from this potential charge, the likelihood is low, in our view. Not only can CB&I generate ~$2.5B of cash from its existing backlog over the next 4 years (assumes no new bookings after 3Q14) but it also has $1.3B of its revolver currently available. We expect the next nuclear-related catalyst for CBI to occur on February 27th when the Georgia Public Service Commission releases its semi-annual construction monitoring report," he added.

    From: http://www.streetinsider.com/Analyst+Comments/Chicago+Bridge+%26+Iron+%28CBI%29+Declines+on+Vogtle+Project+Delays%3B+Deutsche+Bank+Comments/10211194.html

    Sentiment: Buy

ELN
-0.0100(-0.06%)