Damn Good Stock: Team, Inc. (NYSE: TISI)

Team, Inc. (NYSE: TISI) stock observed trading -69.79% off 52-week high price. On the other end, the stock has been noted 53.06% away from low price over the last 52-weeks. The stock disclosed a move of 3.39% away from 50 day moving average and -55.01% away from 200 day moving average. Moving closer, we can see that shares have been trading 4.34% off 20-day moving average.

Team, Inc. (TISI) recently stated its financial results for the first quarter ended March 31, 2020.

Amerino Gatti, Team’s Chairman and Chief Executive Officer, stated “Our first quarter results were noticeably influenced by adverse market conditions. Activity was negatively affected by the unprecedented economic crisis triggered by the COVID-19 pandemic as well as volatility in commodity prices driven by oil and gas supply/demand imbalance. Many of our clients reprioritized their operations, resulting in scope reductions on certain ongoing work, deferrals or suspensions of maintenance projects, and cuts in capital spend.

“In response, during the last few weeks of March, we implemented decisive and aggressive actions that delivered over $5M of savings in the first quarter. We reduced variable costs, scaled the business to support the current environment and accelerated the next phase of our OneTEAM program. These actions are estimated to generate a total savings of $20-25M in the second quarter.

SG&A for the first quarter was $78.4M, down $3.8M, or a 4.6% improvement from the first quarter of 2019. The Company’s adjusted measure of operating loss, Adjusted EBIT, was $17.2M in the first quarter contrast to $11.0M in the previous year comparable quarter.

First quarter 2020 stated results include certain net charges not indicative of Team’s core operating activities, including: $191.8M goodwill impairment charge for IHT, $2.0M of costs related to the OneTEAM program (inclusive of restructuring costs), $1.3M of legal costs and $0.7M of certain professional fees and other non-recurring costs. Net of tax, these items totaled $181.7M ($5.95 per diluted share).

Cash and Debt

Consolidated cash and cash equivalents were $20.5M at March 31, 2020. The Company was in compliance with its bank covenants at March 31, 2020. The Company’s net debt (total debt less cash and cash equivalents) was $324.8M at March 31, 2020, contrast to $313.1M at December 31, 2019.

The USA based company Team, Inc. moved with change of 9.33% to $5.74 with the total traded volume of 349453 shares in recent session versus to an average volume of 351.8K. TISI’s shares are at -31.83% for the quarter and driving a -61.42% return over the course of the past year and is now at -64.06% since this point in 2018. The average volatility for the week and month was at 9.68% and 10.86% respectively.

 

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