TSE and Ausenco AAX are similar to each other as small engineering companies, both have had massive drops in share price over time and they are subject to greater earnings risk from the mining cycle downturn and commodities price drops, etc. Ausenco copped a double digit drop in share price today on announcement of its profit.
It begs the question, why expose yourself to these high risk engineering plays when greater safety and predictability can be achieved on balance through holding the major, more global and diversified mining services/engineering players like WOR, UGL and ORI?
TSE Price at posting:
$1.54 Sentiment: Sell Disclosure: Not Held
