SNC-Lavalin Group Inc.
SNC-T
184 watching
Join the Discussion
Comment Now
About SNC-Lavalin Group Inc. (SNC-T)
Founded in 1911, SNC-Lavalin Group Inc., a Montreal-based company, provides EPC and EPCM services in a variety of industry sectors, including mining and metallurgy, oil and gas, environment and water, infrastructure and clean power.
More at Wikipedia
0
0
0
0
0
Your ReactionSignal
Opinion
Expert
DON'T BUY
DON'T BUY
November 13, 2019
A tricky one. His view is in flux. A tough company to analyze. Maybe now is a dead-cat bounce (snaps back after a heavy drop). What is this business really worth? In two parts. They have concessions like the 407 toll road worth a lot on its own. So you get the engineering/construction side for free, but this side of the operation has performed poorly. He's not convinced they've turned the ship around under the new CEO. There have been governance problems. A lot of hair on this stock.
A tricky one. His view is in flux. A tough company to analyze. Maybe now is a dead-cat bounce (snaps back after a heavy drop). What is this business really worth? In two parts. They have concessions like the 407 toll road worth a lot on its own. So you get the engineering/construction side for free, but this side of the operation has performed poorly. He's not convinced they've turned the ship around under the new CEO. There have been governance problems. A lot of hair on this stock.
contractors
DON'T BUY
DON'T BUY
November 12, 2019
It's bounced back from depressed levels, and enjoyed a decent quarter. They;ve been penalized for cost overruns, so it's important how they execute on current fixed-price contracts. They also are battling a lawsuit that may go to court in 2020--she's watching this.
It's bounced back from depressed levels, and enjoyed a decent quarter. They;ve been penalized for cost overruns, so it's important how they execute on current fixed-price contracts. They also are battling a lawsuit that may go to court in 2020--she's watching this.
contractors
DON'T BUY
DON'T BUY
October 31, 2019
The results were half decent and there were a lot of short sellers that may have had to cover. It is hard to value as there is a lot of uncertainty. They have a lot of debt, and profit is very volatile. They have proven that they are not good operators on the engineering and construction side.
The results were half decent and there were a lot of short sellers that may have had to cover. It is hard to value as there is a lot of uncertainty. They have a lot of debt, and profit is very volatile. They have proven that they are not good operators on the engineering and construction side.
contractors
Stephen Takacsy, B. Eng, MBA
Chief Investment Officer & Portfolio Mgr, Lester Asset Management
$19.750
No
DON'T BUY
DON'T BUY
October 17, 2019
Other companies have gotten into trouble bidding on these large contracts. They got rid of part of the 407, which was their cash cow because they needed cash. They still have a stake, however. This whole global engineering space is hard to predict. It is so hard to know if these large companies underbid on these large contracts then 3 years later find they lost money on them.
Other companies have gotten into trouble bidding on these large contracts. They got rid of part of the 407, which was their cash cow because they needed cash. They still have a stake, however. This whole global engineering space is hard to predict. It is so hard to know if these large companies underbid on these large contracts then 3 years later find they lost money on them.
contractors
Lorne Steinberg
President & Portfolio Manager, Lorne Steinberg Wealth Management Inc
$17.950
Unknown
DON'T BUY
DON'T BUY
October 4, 2019
They have a number of huge problems, including the threat of class-action litigation and official prosecution. The contracting business does not seem to be able to make money. The assets are worth more than $16 per share. The issue becomes what is your appetite to accept other people's problems. He does not know if this is the time to buy. It could be the falling knife. He is nervous about it and is not buying.
They have a number of huge problems, including the threat of class-action litigation and official prosecution. The contracting business does not seem to be able to make money. The assets are worth more than $16 per share. The issue becomes what is your appetite to accept other people's problems. He does not know if this is the time to buy. It could be the falling knife. He is nervous about it and is not buying.
contractors
WAIT
WAIT
October 3, 2019
Lower lows, lower highs. Not something he wants to be involved in yet. Signs of positive divergences. Spring is opportune time to get in.
Lower lows, lower highs. Not something he wants to be involved in yet. Signs of positive divergences. Spring is opportune time to get in.
contractors
WATCH
WATCH
September 25, 2019
They got a reprieve when there was a large shareholder who injected cash. The engineering world is still going through some strife and of course there is the political issues around them. He would wait and see what the litigation will hold.
They got a reprieve when there was a large shareholder who injected cash. The engineering world is still going through some strife and of course there is the political issues around them. He would wait and see what the litigation will hold.
contractors
DON'T BUY
DON'T BUY
September 17, 2019
A classic value trap for several years. It has several issues, starting with a leadership void. They hold some great infrastructure assets, so there's some value here. But there is so much opposition to unlock that value. They got into some political trouble. Avoid.
A classic value trap for several years. It has several issues, starting with a leadership void. They hold some great infrastructure assets, so there's some value here. But there is so much opposition to unlock that value. They got into some political trouble. Avoid.
contractors
Christopher Blumas
Vice-President & Portfolio Manager, GlobeInvest Capital Management
$20.070
Unknown
SPECULATIVE BUY
SPECULATIVE BUY
September 13, 2019
Why the big rally lately? Lots of volatility here. The problem is trying to understand the core business strategy. They used to do a "turnkey" construction business, with a fixed cap on construction costs -- moving towards cost plus instead. Now, with recent asset write downs, he is having a hard time value the underlying business as it changes strategy. He expects further write downs. He would like to see them de-risk things before coming back in. A big shareholder has come in recently to help recapitalize them. A speculative buy at this stage, but he is not back in.
Why the big rally lately? Lots of volatility here. The problem is trying to understand the core business strategy. They used to do a "turnkey" construction business, with a fixed cap on construction costs -- moving towards cost plus instead. Now, with recent asset write downs, he is having a hard time value the underlying business as it changes strategy. He expects further write downs. He would like to see them de-risk things before coming back in. A big shareholder has come in recently to help recapitalize them. A speculative buy at this stage, but he is not back in.
contractors
WATCH
WATCH
August 21, 2019
A good time to consider to buy more right now. The stock could be wroth $30 but a lot of things have to go right. They just sold a stake in the 407. They could sell the rest that can bring in money. They also made a valuable acquisition. There is risk of whether they can bid on contract. High risk, high reward.
A good time to consider to buy more right now. The stock could be wroth $30 but a lot of things have to go right. They just sold a stake in the 407. They could sell the rest that can bring in money. They also made a valuable acquisition. There is risk of whether they can bid on contract. High risk, high reward.
contractors
DON'T BUY
DON'T BUY
August 8, 2019
He is not a big fan of bottom fishing. Buy it at a new high, not a low. It could be a value trap. He does not follow this company closely. He prefers WSP-T.
He is not a big fan of bottom fishing. Buy it at a new high, not a low. It could be a value trap. He does not follow this company closely. He prefers WSP-T.
contractors
DON'T BUY
DON'T BUY
July 24, 2019
They're facing so much trouble now. It's not worth it. It continues to decline. Seek better opportunities elsewhere.
They're facing so much trouble now. It's not worth it. It continues to decline. Seek better opportunities elsewhere.
contractors
WAIT
WAIT
July 23, 2019
There is real systemic risk here. However, the 407 highway contract is worth $20 per share and the stock is trading below $22. There is no shortage of political risk. You need to wait to buy, when it is the most painful moment when all the institutional buyers are out. He is watching developments closely.
There is real systemic risk here. However, the 407 highway contract is worth $20 per share and the stock is trading below $22. There is no shortage of political risk. You need to wait to buy, when it is the most painful moment when all the institutional buyers are out. He is watching developments closely.
contractors
COMMENT
COMMENT
July 22, 2019
Opening comment The Caisse just reacted very negatively to SNC Lavalin this morning (https://www.newswire.ca/news-releases/caisse-reaction-to-snc-lavalin-statement-823828177.html). SNC's biggest shareholder is losing patience with SNC's management. SNC has been struggling with many issues for a while, but has started address them, like selling their stake in the 407 highway. Now, they are re-evaluing their divisions. SNC has failed to find successful strategies to rescue their business lines and this has failed to stabilize their price, but it hasn't. Caisse want the board to act now, and TD warns that SNC's just-announced strategic direction may not satisfy those fast enough. A strategic review results in selling a division, an entire company or no change at all. Some investors call for cancelling some fixed-price, long-term contracts that risk cost overruns (i.e. steel prices labour costs). There could be job losses in Quebec.
Opening comment The Caisse just reacted very negatively to SNC Lavalin this morning (https://www.newswire.ca/news-releases/caisse-reaction-to-snc-lavalin-statement-823828177.html). SNC's biggest shareholder is losing patience with SNC's management. SNC has been struggling with many issues for a while, but has started address them, like selling their stake in the 407 highway. Now, they are re-evaluing their divisions. SNC has failed to find successful strategies to rescue their business lines and this has failed to stabilize their price, but it hasn't. Caisse want the board to act now, and TD warns that SNC's just-announced strategic direction may not satisfy those fast enough. A strategic review results in selling a division, an entire company or no change at all. Some investors call for cancelling some fixed-price, long-term contracts that risk cost overruns (i.e. steel prices labour costs). There could be job losses in Quebec.
contractors
DON'T BUY
DON'T BUY
July 8, 2019
He does not consider it an infrastructure stock. The chart is brutal and now the supreme court may be saying they violated rules with bribery in Libya. They may not be able to bid on Canadian contracts for 10 years with the government if they are found guilty.
He does not consider it an infrastructure stock. The chart is brutal and now the supreme court may be saying they violated rules with bribery in Libya. They may not be able to bid on Canadian contracts for 10 years with the government if they are found guilty.
contractors
Comments
00000
© Stockchase Inc.
1
Stock saved to your watch list successfully.View Watch List
