I mentioned the reduced margins but the result is still strong, all be it below analyst estimates. margins might be down due to the CTEC ammortisation, I have not looked that closely.
Cash is strong however the accounts payables are 70 million higher than receivables by my take, unless I am missing something.
A larger dividend would have been nice, I think a BKN makes more appeal on that basis as an example, though the PE is not as low.
I sold at 4.30 but would have preferred to have not sold as sentiment turned the very next day after I did!! thems the breaks. As Forged said sentiment is putrid, i may regret the sale but I had let it ride for a while, there could be upside in the sector.
There could be further upside now, however a PE of 9-10 might be the top given the order book looks set for 2013 but we aren't seeing new contracts fall into place at this point in time. If there isnt much action by December pressure could mount.
FGE look solid, great company and not too much downside now unless we see global market jitters return.
FGE Price at posting:
$4.65 Sentiment: LT Buy Disclosure: Held
