Basil Read results

[#1]

Pretty good set of results, if you ask me, and healthy pipeline growth, albeit at a suspected lower margin. After that @#$# irresponsible sens announcement, I ditched my stock, thinking that BSR was coming in way under my expectations - now that it is clarified, I am going to try to buy back (at a cheaper level) so no harm done!

[topgun]

Reasonable result, but the acquisition of TWP was poorly timed and BSR overpaid considerably given the large share dilution and lack of returns. Acquisitive growth strategies destroy shareholder value more often than not. That said, BSR is clearly oversold. However, given that BSR and PNC are trading on similar rolling forward PE's of around 4.8x and divi yields of 3.7%, I would far rather invest in PNC which is operating in a much more robust space, without the margin strain and with a far superior growth profile on a 1- to 2-year view. Investment decisions are relative after all. Omo

[#3]

not sure which company you are refering to? PNC is pinnacle isn't it? PPC maybe?

[topgun]

Yes, Pinnacle. Just seems a far better relative bet with similar metrics on a 1-year view. The construction environment in the aftermath of the SWC is just too competitive with too many players which will continue to restrain margins in the near-term. I will rather wait for more visibility before committing funds to this sector.