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McDermott International (MDR +16%) soars despite missing on its Q4 results across the board. Net...

McDermott International (MDR +16%) soars despite missing on its Q4 results across the board. Net earnings swung to a loss on project writedowns and higher expenses, but this masked a solid 53% Y/Y jump in overall revenue for the quarter. The company also noted its outlook for FY12 has improved based on positive developments in Brazil and Mexico.
Comments (5)
  • Still seems sketchy.

     

    Don't understand this 16% jump on a badly run company.
    1 Mar 2012, 02:37 PM Reply Like
  • Quite bizarre and I will be surprised if it holds up at this level. My guess is that we may see a filing of a major position stake in MDR and that might explain the activity. They are realistically two to three quarters away from good revenues.
    1 Mar 2012, 02:38 PM Reply Like
  • So looking back, anyone know the reason for the random double digit spike just after crappy earnings?
    21 Mar 2012, 02:42 AM Reply Like
  • I caught a small news item in some industry news that they made a deal on some vessels with another company. Unfortunately there was not much in the way of background information, so I'm not sure how that affected shares. They do have a major contract that will begin this year, though the revenues will not be reflected in their reports until Q3 or Q4. My thinking is that the run-up was premature. I'm hoping to start a position near 12.00 a share, with the idea of better mid to late 2013 earnings, possibly holding through 2014.
    21 Mar 2012, 03:31 AM Reply Like
  • Thanks for the informative response Herr.
    22 Mar 2012, 03:56 PM Reply Like
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