Thanks for the great write and congrats on going thru a very complex cap structure successfully.
1) I agree with you about sandbagged guidance for 2021and I think it would be much higher(Q2 revenue beats by more than 12%, although missed the eps). But it all comes to management and execution. How well you know them? Any history?
2) how well geographically diversified are they now? (To avoid 2018 type cat event)
3) about refinancing: since your view for it to happen is 12-18 months, what do you think about a potential rate raise?
Great analysis Plum Capital. What do you think about today’s news. IEA had its 2Q2021 earnings report. After earnings, they posted PR about a proposed offering (offering price and shares not disclosed at this time). Thoughts ?
Very useful analysis. However from a risk / reward point of view I think the better play, now that we understand the importance of a refinance, is to wait for the announcement or clues that that refinance is imminent. Such things are rarely priced in immediately for a company of this size, so we should have time to act. Individual investors aren't aware of the importance, Wall Street doesn't pay a lot of attention to firms of this size and usually needs more time to act than we do. The return might be less, but the risk and holding period will be also.
Any updates or recent thoughts on IEA?
Will the $300mm debt raise take out the preferreds?
Thanks for the great write and congrats on going thru a very complex cap structure successfully.
1) I agree with you about sandbagged guidance for 2021and I think it would be much higher(Q2 revenue beats by more than 12%, although missed the eps). But it all comes to management and execution. How well you know them? Any history?
2) how well geographically diversified are they now? (To avoid 2018 type cat event)
3) about refinancing: since your view for it to happen is 12-18 months, what do you think about a potential rate raise?
Thnx
Great analysis Plum Capital. What do you think about today’s news. IEA had its 2Q2021 earnings report. After earnings, they posted PR about a proposed offering (offering price and shares not disclosed at this time). Thoughts ?
Very useful analysis. However from a risk / reward point of view I think the better play, now that we understand the importance of a refinance, is to wait for the announcement or clues that that refinance is imminent. Such things are rarely priced in immediately for a company of this size, so we should have time to act. Individual investors aren't aware of the importance, Wall Street doesn't pay a lot of attention to firms of this size and usually needs more time to act than we do. The return might be less, but the risk and holding period will be also.