Relatively fixed costs and fast-rising revenues make for some refined profits. You see the same stuff, but with an added dimension that often greatly improves the accuracy of a reading. The company uses truck-mounted vibrators and other devices to gather the data. Dawson's customers include major and mid-sized oil and gas companies plus some independent oil drillers. Dawson collects data mainly in the southwestern U.S. It will soon add a sixth crew that will use cableless data collection equipment, allowing the firm to expand into more geographically challenging areas of east and south Texas.
Insiders own about a third of the shares outstanding.
If the oil and gas boom didn't lead you to Dawson, a simple check of earnings announcements could have. Rising margins matched with skyrocketing sales often point to a gusher. The company's recent history reveals steady revenue growth but erratic profits. The whole oil and gas exploration business is prone to cycles, making both the PEG and YPEG less useful tools for evaluating Dawson. Plus, the company seems shy about publicity, not even issuing press releases to discuss quarterly earnings.