Three Things to Watch When Heckmann Corporation (HEK) Reports

Heckmann’s ability to promote its full-cycle environmental solution will be a key to its ability to grow. The company will need to continue to expand the services that it provides producers to meet growing environmental needs, as well as make its services more more than just commodity offerings. It will be interesting to see if Heckmann announces any plans about what its doing next to continue its growth trajectory.

Any adjustments on its outlook?
In its last quarterly conference call Heckmann CFO Jay Parkinson noted that the company expects its business this year to be back-half weighed. Look to see if the company still believes that drilling activity will still steadily ramp up throughout the year. Any negative change to its forecast that suggests drillers are being more cautious could really hit shares hard. Meanwhile, any talk that drillers are considering dry natural gas drilling projects now that prices are higher could provide a big boost to Heckmann’s share price.

Foolish bottom line
Heckmann Corporation (NYSE:HEK) is a great company to follow because it’s in the trenches, so to speak. It works hand in hand will drilling companies, so it will see changes to the industry before the rest of the market picks up on them. Finally, Heckmann’s unique full-cycle environmental solution is an important one for the industry to embrace as it takes steps to “green” the fracking process to make it more acceptable to the general public.

The article 3 Things to Watch When Heckmann Reports originally appeared on Fool.com and is written by Matt DiLallo.

Motley Fool contributor Matt DiLallo owns shares of Heckmann. Matt DiLallo has the following options: Short Jun 2013 $4 Puts on Heckmann. The Motley Fool recommends Halliburton. The Motley Fool owns shares of Heckmann and has the following options: Long Jan 2014 $4 Calls on Heckmann and Short Jan 2014 $3 Puts on Heckmann.

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