ORLANDO, Fla., Sept. 2, 2008 (GLOBE NEWSWIRE) -- RedChip Independent, a division of RedChip Companies, Inc., has issued a second quarter 2008 research update for Boots & Coots International Well Control Inc. (AMEX:WEL), a company which provides a diverse suite of services to onshore and offshore oil and gas exploration and development companies.
Paul Rapa, MBA, RedChip Research Analyst, reported:
"Boots & Coots continues to outperform as the Company reported record revenue for the third consecutive quarter. WEL's International Safeguard and pressure control services led the Company's growth in 2Q08 with prevention revenue growing 226% over 2Q07. The Company's Response Segment continued to improve due to increased activity particularly in Africa and the Middle East."
"Flare ups in hot spots throughout the world continues to create a need for the WEL's services. An indication that activity will remain strong in the Middle East was the recent announcement of a two-year, $15 million Safeguard and hydraulic workover contract in Libya, which will commence in the fourth quarter," he continued.
"With international activity remaining solid throughout West Africa and the Middle East, new projects in Asia, and expansion domestically, we continue to believe that the Company is being very conservative in its guidance for the remainder of 2008. At a current P/E around 13x, we continue to believe that the stock is very undervalued. Based on the Company's recent second quarter results, we are maintaining our 'Strong Buy' rating on WEL," Rapa concluded.
About RedChip Independent(tm)
RedChip Companies, Inc. is a well-established source of independent research and information on the small-cap market. Dedicated to "Discovering Tomorrow's Blue Chips Today,"(tm) its analysts seek out up-and-coming and undiscovered small-cap companies before they show up on Wall Street's radar. To view the full version of this report, to include the investment conclusion and target price, subscribe to RedChip's Research Community online by visiting http://www.redchip.com/research/researchmain.asp or call 1-800-REDCHIP.
Disclosure
Neither RedChip Companies nor the analyst has received any compensation from Boots & Coots International Well Control Inc. or any other party for the writing and preparation of this equity research report. The analyst(s) contributing to this report do not hold any shares of the subject securities. This report is based on data obtained from sources we believe to be reliable but is not guaranteed as to accuracy and does not purport to be complete. Neither the information nor any opinion expressed constitutes an offer, or an invitation to make or garner an offer, to buy or sell any securities or any options, futures, or other derivatives related to such securities.