Willbros Group, Inc. (NYSE:WG)

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Insider buying relieves my worries about high valuations.

Headed for Bk.

Offices throughout the shale oil and gas plays. More infrastructure is needed to get the gas and oil to market. WG has 100 years of experience serving the industry. Looking for $12 - $14 price target over the next 2 or three years if not sooner.

History can tell this is one of the top pick.

company is well positioned to get the bounce and comeback in profitibility through infrastructure growth in oil pipeline project because of economic growth and have sufficient cash flow to get into new market.

Great earnings.

Great growth and earnings. They recently got a large worldwide IDIQ U.S NAVY contract.

res ipsa loquitur

Walgreens has tons of Cash, and it is a stock to accumulate.

This company builds pipelines for oil and natural gas. The push towards natural gas as an alternative to oil and coal should supply plenty of opportunity for the company. Analyst expectations are for a 25% increase in earnings over the next year.

$1.6 b cap. (top end of sweet spot)

Forward pe = 16.7 (ttm pe = 32)

Based in Panama - which I like.

Willbros Group, Inc. provides engineering, construction, and specialty services to oil, gas, power, refinery, and petrochemical industries, and government entities worldwide.

I love this area of business over the coming 5 years. Panama is an excellent location. Very broad and diverse...which is even better considering I dont believe that ANYONE really knows what the economy will look like in the short - to medium term.

Trading 1 x sales.
Qtrly Revenue Growth (yoy): 198.40%
*this is obviously gonna start declining...but thats just fine from these lofty numbers.

Profit Margin (ttm): 3.12%
Operating Margin (ttm): 6.65%
Return on Assets (ttm): 10.27%
Return on Equity (ttm): 20.29%

Cash approx = debt. Which is fine.
Cash flows ok...not barn burner. No red flags (remember this company needs lots of "toys" to do its job.)

Still need to better evaluate management. But no red flags at first look on this issue.

3 to 5 star stock in one year.

Oil play

big bad

10.000

WillBros Group, Inc. (WG) is a leading pipeline construction company that has over the last ninety plus years participated in the construction of major energy pipelines around the world including the northern most section of the Trans-Alaskan Pipeline System. WG is one of just a few pipeline contractors in the United States that can provide complete one-stop service of engineering, procurement and construction (EPC). WG has significant experience in large diameter interstate and intrastate pipeline systems and associated facilities with special emphasis in pipelines that need to cross areas that have extreme climate, special environmental requirements, and roads and streams. WG also provides construction and turnaround services for refineries.

Currently there are numerous pipeline projects in various stages of planning and construction to gather and transport natural gas from new gas producing regions in the United States and crude oil from the oil sands region in Northern Canada. In both the United States and Canada, refineries are in a trend of expanding and upgrading existing facilities to meet demand for gasoline, meet federal guidelines for low sulfur gasoline and diesel fuels, and to process heavier grades of crude oil. This new demand has allowed WG to increase its operations in the last few years and should provide significant opportunities in the future. Also because of the limited engineering and construction capacity, WG has been able to negotiate cost-plus contracts for a majority of its projects that will significantly reduce WG’s risk in completing these projects.

Risks associated with WG include the fact that it still has some fixed-price contracts that subject it to cost overruns and it is subject to a deferred prosecution agreement related to past foreign operations that could limit its competitive position for work outside of North America.

As exploration continues, pipeline construction and development will be key.

Retrofit!