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We think PAY is solid fundementally. We have more detailed comments posted on our view on it, but it has big name customers and is growing at a high rate. There are inherent risks due to size and limited operating history, but we are fine starting a small speculative position in it.
PHX has had very strong momentum over the last year and is also cheap at 6.5x forward earnings. Most recent quarterly earnings results were very good, recording a large beat on revenue and EPS. Outlook for 2024 forecasts a drawdown while 2025 will bounce back with good growth. It pays a high yield at 8.7% and the balance sheet is fine. It did stop dividends in 2016 however. The business is highly cyclical but with its customers (energy companies) holding high cash things look good right now. PHX's performance will be heavily tied to the energy sector, so investor sentiment regarding the sector will be the main factor influencing the decision to buy.