Hi Autosime. I have also read the Motley commentary and for...

Hi Autosime.

I have also read the Motley commentary and for those who haven't the key part of the commentary is as follows:

"The falling number of projects mean less work to go around.
Less work means less profit.
Of course, less work also means the remaining mining services companies fight harder for what’s left, dropping prices and margins in the process...
Lower profit from less work, and lower profits still from skinnier profit margins on what work they can find: If you think that sounds like a tough way to make a living, you’re right!

Never say die, but know when to give up​

But there are a good number of investors who won’t say die. They see low P/Es and falling share prices, and their bargain-hunting gene comes to the fore.
“Surely they can’t fall further?” they say. “They’ve got contracted work for the next 12 months locked in." “They’re the best in the business.”
It's true that quality is important. Low prices are attractive. Locked-in revenue is wonderful.
But only if the industry economics stack up."

I believe what they say makes sense. Yes, the SP has dropped, yes it looks cheap, Yes the PE is low.

Today TTN lost another 7.5c (or 13%) and closed at 49c. It is worth looking at NWH (which appears to be in much better shape than TTN) and see what has happened to their SP - over an extended time. My thinking is that the SP will go further south next week. The market doesn't like mining service businesses and consequently there isn't any groundswell to lift TTN at present. Yesterday AMP sold (dumped) over one million TTN shares - around 2% of the shares on issue. Motley is actually telling us what we don't want to hear but which is very sound advice. I will be most surprised if the projected full year EBIT is achieved. Sorry, but I am expecting the next profit advice from TTN will be another downgrade just prior to announcing half year results. Before buying in (IMHO) wait for an extended period of price stability - a floor. At present we just have a hole in the floor!! Tread carefully.

I am not a holder, just watching from the sidelines and see many similarities to NWH, however, see TTN as having lesser prospects.

Do your own research carefully - I am not a licensed investment advisor.