The Worst is Behind Chicago Bridge & Iron (CBI) -Barron's

An article in this weekend's edition of Barron's highlighted Chicago Bridge & Iron (NYSE: CBI). The article calls the company "a play on the fast-growing build-out of energy infrastructure."

Barron's points out Chicago Bridge & Iron's current $7.4 billion backlog of engineering and energy-infrastructure projects, which "makes CB&I a compelling growth story..." With the stock down 48% from its 52-week high of $63.50 set in January, Barron's notes that the stock is beginning to look relatively cheap: shares trade at just 11x FY09 estimated earnings, "well below the P/E ratios of competitors such as Jacobs Engineering (NYSE: JEC) and Shaw Group (NYSE: SGR).

Barron's believes that Chicago Bridge & Iron would be "a big beneficiary of a resurgence in nuclear power, which seems likely in coming years." Furthermore, the company will continue to benefit from fast-growing demand for liquefied-natural-gas, which is expected to double by 2012. Barron's calls Chicago Bridge & Iron one of the "few engineering and construction firms with expertise in liquefaction..." Natural gas liquefaction is extremely important as it is the first step in transporting natural gas.

"If Chicago Bridge isn't completely out of the woods, 'the worst is behind them'", says Barron's. "That may well mean the best lies ahead."

Chicago Bridge & Iron Company N.V., together with its subsidiaries, operates as an engineering, and procurement and construction company worldwide.

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