ION Geophysical Corporation (IO)

While ION Geophysical has been around for a while, it is just in the last 4 or 5 years that they have started to grow. In 2004 they added Concept Systems and GXT, and in 2008 they added ARAM.

They are a developer of technology and equipment for Seismic Contractors, and Seismic Data Libraries for the E & P sector.

With the economic downturn, and the subsequent reduction of exploration budgets, they have experienced a downturn in their business just at a time when they were poised to experience significant growth.

Their primary competitor is CGG Veritas, a French company about 10 times their size (asset wise). While ION has a tangible net worth of only about 100M as of June 30, 2009, this is with an asset value of a little less then 800M. Veritas, at the end of 2008 had a similar tangible net worth of about 100M, but on an asset base of almost 8B.

Ion moved their short term debt of about 200M to long term. This debt was primarily for the acquisition of ARAM.

They provide systems for both land and sea seismic data, and have been significantly expanding their global library of data.

The product which interests me the most is their "Firefly" cable less land system. The new advanced system was just put into use in mid 2008, and they sold their first system in early 2009.

They showed a large (non-recurring) loss in 2008, which gave them a loss for the year. For the first two quarter of 2009, they showed losses of about 38M and 11M. The 38M was also due mostly to non-recurring costs.

They have a good management team, and good products and services, and are positioned to experience significant grow in both sales and revenues when the economy resumes a more normal position in expenditures in exploration budgets by the E&P companies, and the Seismic Contractors are able to get credit to acquire their equipment.

This company has the potential to return 400% to 500% over the longer term.

Do your own DD, but I believe it is a winner.

JMO and worth exactly what I am charging for it.

As a geophysicist in the industry, I can say with confidence that IO is the leader in two areas: seismic acquisition components and advanced 3D depth processing. Balance sheet looks good, with a fair amount of cash on hand and highly manageable debt level.

IO is DWSN's major US competitor. Both companies provide crucial seismic imaging data to E&D energy producers. You can't do E&D without this sort of information. It's a specialized, niche field whose chief human resources and assets can't be replaced over night by a competitor. I predict a wide-moat long term opportunity. I established a real position here at about $2.60/share.

IO has HighTech devices, but also has "heavy-weight/ heavy-duty" competators, SLB to name one, who are well positioned in the industry of Well Logging and Servicing. Whether IO has a unique marketing approach to his high-tech and patented devices remains to be seen. Therefore, keep him in your eye-sight, and protect your long position with a "medim length" Put. Use your technical analysis skills to go in long. I like him at $13. Of course I have a Long Put position!

This stock will be a valuablel investment with a great oppurtunity for a large profits. More and more every year there is extensive research in seismic activity. There will be no drop off in this research as scientists around the world try to determine a way to accurately predict how earthquakes can be predicted in a timely manor in order to limit the damage caused and save a tremendous amount of time and resources in the after effects of such disasters.

This stock has outperformed the S&P 500 consistently and this stock will outperform again. Even the CEO of the company is currently buying as much stock as he can lay his hands upon. That alone is a very good sign that they are doing something very uniqueEven the expert advice to hold onto this stock.

Geographic mapping for oil drilling services is a good sector growing with long backlogs at flex pricing. Bull Bull Bull, three Bulls on this one, swung from loss to profits this last quarter and nothing but upside from here as the P/e stays too low I will buy it.

With oil getting more and more expensive, oil companies are going to try to find the best way not to waste time and money and this company does that for them. IO has grown every year and there is no reason it will not continue to grow. In my opinion there will be a 30% growth per year for the next 5, RIGHT NOW is the time to get into this stock. there is no reason for their recent drop except the overall economy and not their numbers.

As the limited natural resource of oil becomes harder to pull, locating substantial reserves is most important. Ion Geophysical is on the leading edge of this technology. They have recently expanded their business and have exposure to the Asian market. While reading the most recent conference call, I like some of managements decisions concerning debt repayment and R & D.

Forth quarter results less than the previous year with increased revenu, Previous president just dumped over 60% of his stock. See stock moving to the $9 to $10 range in the near term.

just watch the oil, but these guys provide help finding it; new contract, too

This stock has stayed at $10 or higher since 4/06 til it dropped down the well so to speak in 10/08. Even if exploration stays as depressed as the analysts seem to think this price is way low. Plus the Price/Book, P/E, low debt and good mgt & margin numbers.

wireless peophones are going to be huge once they hit the market.

Just found this. wish i would have got at 1.50

Sometimes bad news is good news. I am happy it came back to me at this level.

I bought this when it was $1.78, and so far I haven't been wrong. Seems to be a solid company that will be around a while.

It will increase with the inevitable oil ang nat gas increase

This beatdown today is temporary, with excessive volume. Now it the time to buy this company, because it's fundamentals are still solid.

Managable debt and quickly growing. Also, seems undervalued compared to the industry.