Gordon Reid
Aegion Corp
AEGN-Q
PAST TOP PICK
Aug 26, 2015
(A Top Pick Aug 20/14. Down 26.15%.) This was the effect of the whole energy complex and where capital budgets were being allocated. It does pipe restoration on pipelines, not just energy, but also water, etc. Thinks this has long-term positive prospects, but it is just the wrong time for it. Sold his holdings in June.
They have a technology for coating/protecting pipes. Trading at about 15X earnings. Management is very excited about their book building. Have quite a backlog. He thinks earnings will accelerate in the future, which would drive the stock price higher.
He has been wrong on this one for a while, buying at $7 and selling out much lower. He did not like their treadmill of acquisitions of buying and selling. It is on his buy list again, but he is waiting. Yield 7.35%
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(A Top Pick Aug 20/14. Down 26.15%.) This was the effect of the whole energy complex and where capital budgets were being allocated. It does pipe restoration on pipelines, not just energy, but also water, etc. Thinks this has long-term positive prospects, but it is just the wrong time for it. Sold his holdings in June.