Forum Energy Technologies Is Already On The Move

Badsha Chowdhury
1.27K Followers

Summary

  • The completion and drilling activity upsurge following the energy price recovery will lead to FET's top-line growth.
  • The company's focus on shorter life cycle products is paying off due to the replacement and upgrade cycle of the component products.
  • In the medium to long term, it will seek growth opportunities from offshore wind farm installation services and ROV products.
  • It has ample liquidity, but negative free cash flow raises some concerns for the investors.
Fracking Fracking Drill Rig on the Prairie at Dusk
grandriver/iStock via Getty Images

FET Turns It Around

The completions activity recovery has provided a shot-in-the-arm to Forum Energy Technologies (NYSE:FET) short-cycle products in the past couple of quarters. The improvement manifested in a healthy book-to-bill ratio, which promises increased revenue visibility in the

This article was written by

1.27K Followers
I have more than 14 years of experience in analyzing and writing on stocks. I write on both long and short sides in an unbiased manner. I have been covering the energy sectors for the past 7 years, with the primary focus on the oilfield equipment services sector. I also cover the Industrial Supply industry. I occasionally co-author with Seeking Alpha contributor Thomas Prescott.

Analyst’s Disclosure:I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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