Dragni Dragnev

Cal Dive International, Inc. (OTCMKTS:CDVI) Makes Another Run Up

by Dragni Dragnev December 18, 2014

Since the last time we covered Cal Dive International, Inc. (OTCMKTS:CDVI, CDVI message board), the company has managed to complete its run up in short order then proceed to have a crash that lasted nearly three weeks and ended just two days ago.

CDVI's charts throughout 2014 have been thoroughly depressing, which is why many investors were hoping that the spike the company experience at the end of November would last a bit longer. Unfortunately for them, this did not turn out to be the case.

Interestingly enough, the event that put an end to CDVI's red run was the publishing of an 8-K that contained very little in the way of new information. According to it, based on appraisals conducted in Oct. 2013, Feb. 2014, and Aug. 2014, the fair market value and net orderly liquidation value of the Company's fleet of vessels and diving systems were $307.0 million and $218.1 million, respectively.

True, these numbers are nothing to scoff at, but the fact remains that said information was already available. CDVI certainly has a lot of assets at its disposal, and is making revenues - that is a well known fact for anyone who has done due diligence on the company. Its latest financial report had this to show on the matter:

  • Cash - $9.6 million
  • Total current assets - $237 million
  • Quarterly Revenues - $114.5 million

Unfortunately, it's not CDVI's lack of assets or idleness that are the problem here. Its inability to turn a profit and the amount of debt it has accumulated are.

  • Total current liabilities - $391 million
  • Quarterly net loss - $42 million

This sad financial state is what will most likely push CDVI down again before long.

Comments 1

1. Guest
December 19, 2014, 05:17PM

Quotes You'll see Cal dive in double digits sooner then you think. Your DD is that if a ten yr old

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