Agreed that the upside torque to energy has been disappointing so far. CEO change is interesting and seems to confirm that this is to be thought of more as a software business than a play on energy.
Perhaps it’s not the greatest vehicle to express bullishness on energy (which to a certain extend makes my question my investment in pulse seismic).
The performance is a bit of a head scratcher because in theory it has what it takes to be a good investment: asset light, requires little reinvestment back into the business, duopoly industry etc. and I still wonder if at some point or price it will make sense.
I do find the capital allocation questionable (I.e. their love for dividend vs buyback, building new headquarters etc)
Agreed that the upside torque to energy has been disappointing so far. CEO change is interesting and seems to confirm that this is to be thought of more as a software business than a play on energy.
Thanks for commenting. Agreed, this is more software than energy. I have enough software already and at better valuations.
Perhaps it’s not the greatest vehicle to express bullishness on energy (which to a certain extend makes my question my investment in pulse seismic).
The performance is a bit of a head scratcher because in theory it has what it takes to be a good investment: asset light, requires little reinvestment back into the business, duopoly industry etc. and I still wonder if at some point or price it will make sense.
I do find the capital allocation questionable (I.e. their love for dividend vs buyback, building new headquarters etc)
Well said. I agree. It is trading at the lowest EV/EBITDA in the last decade if you exclude the temporary covid correction.