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Stock Pickers refreshes Enerflex buy

2014-10-28 18:47 ET - In the News

Stock Pickers Digest, in its October, 2014, issue, refreshes its buy of Enerflex Ltd., recently $19.28. Stock Pickers said buy six times from June, 2011, to June, 2014, at prices ranging from $12.12 to $17.15. Assuming an investment of $1,000 for each of the six buys, the $6,000 position would now be worth $8,598. Enerflex sells services and rents equipment for natural gas production, including compression and processing plants, refrigeration units and power generators. On June 30, 2014, the company completed its $430-million (U.S.) purchase of two businesses held by Axip Energy Services LP. Axip provides international compression and processing services. In the second quarter of 2014, Enerflex's revenues rose to $446.1-million from $311-million a year earlier, thanks to strong orders in the United States and Canada. Earnings per share increased to 33 cents in the latest quarter from 24 cents a year ago. The company booked $414.3-million of orders in the quarter ended June 30, 2014, bringing its backlog to $867.9-million. The stock trades at 21.4 times the 90 cents a share Enerflex is expected to earn in 2014 and a more reasonable 15.4 times the 2015 earnings estimate of $1.25 a share. Keep buying.

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