ENGlobal: Margin Expansion, Low Financing Costs, Increasing FCF, Buy The Dips
Derek Chipman • Tue, Aug. 19
- ENGlobal's shares have seen over 200% growth in the last year, but recent pullbacks provide an excellent entry point. .
- Business restructuring and cost cutting measures have enhanced profitability while revenue has lagged. .
- Institutional investment remains low at 28%, but its starting to increase as more institutions take notice. .
- Debt repayments have dramatically reduced ENGlobal's financing costs and have eliminated any concerns form being too leveraged in debt.
- FCF continues to improve and the intrinsic value of its common stock suggests shares are trading at a steep discount once again.