Australian (ASX) Stock Market Forum

WOR - Worley Limited

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3 veiws of a secret said:
Just looking across the sector that WOR is focused in ,other players in this niche market are being touched by what is happening to WOR ...I think BKN is in positive territory ...
But I agree with one of you that it has been a day trading share to play with....;)
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What day trading? It's a daily range of <$1.. not much to play with really. All the movement are gaps.
 
As a WOR holder, the announcement of an up to 12.5% forecast profit downgrade yesterday isn't great news, but it can be overemphasized.

I think the market has done that with its' heavy reduction in the price from about $30 to about $25.

In many ways, the announcement is a reflection of what has happened rather than what is expected to happen. I'm also happy that WOR has released the news when it has - bad news early is better than bad news later.

I've taken the opportunity to top up just above $25 and will top up again it if goes below $25, as over the next 5 years I believe this company should do well out of any expected recovery of mining and resources worldwide.
 
3 veiws of a secret said:
Just looking across the sector that WOR is focused in ,other players in this niche market are being touched by what is happening to WOR ...I think BKN is in positive territory ...
Click to expand...
That's right. My portfolio took a substantial hit yesterday with WOR (in which I'm overweight), MND and LEI.

Yelnats, agree that there has been somewhat of an overreaction.
 
Anyone have an idea on where this might level out? $26,$24 and $22 are all a chance however it went through $26 like it was bubble wrap.

$18 is a real position of strength however i would be very surprised if it went that low (not to mention disappointed and lighter in the wallet).
 
skc said:
What day trading? It's a daily range of <$1.. not much to play with really. All the movement are gaps.
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Sorry don't hang around this forum much these days....
It was good enough to me for the money that was invested last Sept>Oct (hmmm could have been Nov also)... on and off they were only some 4 or 5 trades in this period..... you would'nt get me looking at this share at all now.... I have moved on.....;)
PS as I type its down 75 cents ,looks like the money is on the move out.
 
Worley was trading with a large premium, on the expectation that this years profit would be much larger than last year. With reduction of that expectation, and further reduction possible if recovery is not as strong as expected towards the end of the year. So I don't think the premium is justified given the risk.

One of the reasons I sold @ $28, but looking to buy back in sometime soon(ish).
 
Bought WOR @ 24.87 - Saw an increase today up to 25.20.

Interesting announcement just after close - worth watching? :cautious:
 
adrunis_84 said:
Bought WOR @ 24.87 - Saw an increase today up to 25.20.

Interesting announcement just after close - worth watching? :cautious:
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Because this is your first post here, I'm going to cut you a bit of slack. This sort of post doesn't really cut the mustard I'm afraid.

If you want to create some discussion and get people's thoughts you really need to add some more detail.

What was the announcement about? What are your thoughts on the announcement and the effect it will have for the company?
 
Apologies - a bit new to this!

The announcment was an update of an earlier release in 16th of June 2008 (so quite some time ago). SNE (dont ask me to spell the name!), a russian company with which WOR has a 49% stake has been awarded work order to cover engineering and procurement for the Arkatun-Dagi offshore platform topsides project - an offshore oil and gas development.

Furthermore - this will be one of the largest floatover topsides in the world. Work orders total $400million - 200 for procurement and 200 for services.

I get the impression this is a big project? Does anyone know much about this project with SNE? My thoughts are this announcement would see an reasonable increase in WOR share prices?
 
Wowwee...Worley the next engineering firm to throw a spanner in the works.

On balance - their announcement actually looked a lot more positive than UGL - but still hammered? Roughly the same revenue as 2012?

I guess Mr Market didn't like getting any other information apart from this? I also wonder if LEI will drop the ball soon?
 
WOR gave me a buy signal recently; while I didn't chase it yesterday, I am buying a few in today's pullback.

WOR j30 13-11-13.gif

The weekly chart determines my stop, currently at $21.50.

WOR w 13-11-13.gif

Upside as per Fibonacci extensions, albeit with trailing stops rising.
 
WOR: Price triggered a buy alert for me also yesterday and I didn't chase it.
I will wait for a bit more mkt confirmation before buying.
If price closes below 21.00 - not interested.

wor1311.png
 
I have accumulated, although it's not strictly a Trinity trade anymore. As long as it keeps making green candles, I'm happy :)

WOR n 15-11-13.gif
 
About a month ago in the AGM management predicted further growth in NPAT. A month later a 15% downgrade and very weak first half.

There were quite a few analysts sounding cautious about that particular outlook statement at the time but most decided to give management benefit of the doubt. So this update really came out of the left field and left management's credibility to shot.

Shorting on open, even though it was already down 16%, was the right move (that I didn't do :banghead: ).
 
It's still not a terrible number. It's a terribly dishonest number!
Poor Pixel not your fault mate.
Class action?
You cannot change the numbers that quickly in a month.
Perhaps they haven't started using computers yet and it's all done on paper still. That would make sense.:mad:
 
notting said:
It's still not a terrible number. It's a terribly dishonest number!
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That's a good way to describe it although I think the numbers could get worse.

The PE market ascribes to an engineering outfit with rising profits vs one with falling profits is probably 14 vs 7. At $280m or ~$1.10 EPS, that's a share price between $15.4 and $8. We are still above that range! Yes I am perhaps annualising a bad half. But don't forget that to hit their guidance they still need a bumper second half, while MND yesterday has said that H2 is not looking any better than H1. I don't think there's a buonce in this name in the short term.
 
skc said:
That's a good way to describe it although I think the numbers could get worse.

The PE market ascribes to an engineering outfit with rising profits vs one with falling profits is probably 14 vs 7. At $280m or ~$1.10 EPS, that's a share price between $15.4 and $8. We are still above that range! Yes I am perhaps annualising a bad half. But don't forget that to hit their guidance they still need a bumper second half, while MND yesterday has said that H2 is not looking any better than H1. I don't think there's a buonce in this name in the short term.
Click to expand...

Macrobusiness have had a few posts about planned mining capex spend in the years to come... and if that's anything to go by, profits have only started to tank.
Granted there are recurring maintenance contracts, but the competition of these would probably increase as a result of the capex decline.
 

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