The stock is cheap at 8X earnings and the dividend is attractive, certainly. Keep in mind it is a relatively small company in a highly cyclical industry, as noted. In the quarter, EPS of 22c missed estimates of 30.5c. Revenue of $160.6M was marginally below estimates. EBITDA of $29M missed estimates by 9%. Revenue fell 5% with a lower US rig count. Margins fell with some higher costs and the lower revenue. It does continue with a fairly aggressive buyback program. It bought 1.3M shares in the quarter. The balance sheet is quite strong and EPS growth of about 20% is expected next year. Insiders own 14%. Payout ratio (12 months) is about 30%. All in, we think its risks are well-compensated by the low valuation. For the mid cap energy sector, we think it looks good.
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