CFO leaving for new opportunity. After the market closed, we learned that CFO Robert Tabb will leave near the end of October to join a private renewable energy company. There were no disagreements on financial reporting or other areas. Robert played a major role in turning ORN around and leaves on solid ground, as evidenced by the improved financial position and successful asset sales. We enjoyed working with Robert and are sorry to see him leave.Smooth CFO transition underway. We caught up yesterday with CEO Mark Stauffer who highlighted that the current financial team is deep and a VP of Financed has recently joined the team. Also, Robert will participate on the quarterly call prior to leaving for his new post. We expect no changes to the current strategic direction and look forward to working with financial team until a new CFO is hired.High bidding activity finally delivered large multi-year Marine work. Recently, the Florida Department of Transportation (FDOT) awarded a ~$125 million contract for NASA Causeway bridge replacement work, and the Port of Port Arthur (TX) awarded a ~$67 million contract to construct the Berth 6 Expansion Project. Both projects should start in 4Q2021 and run into at least late 2023. Combined with other 3Q2021 awards, the backlog rebound that began in 2Q2021 should continue.No change in EBITDA estimates. 2021 EBITDA estimate of $31.4 million incorporates lingering weather impact and 2022 EBITDA estimate of $43.0 million anticipates a return to normal and improving backlog. After a challenging 2021 due to Covid-19 issues and poor weather, we believe that next year should be a year of recovery and the recent large awards reinforce that view.Maintain Outperform and price target of $9.00/share due to compelling risk/reward profile. Due to losses of 5% in 2Q2021 and 12% in 3Q2021, the stock is up only 2% this year and the lackluster stock price performance doesn't fairly reflect the structural improvement in execution and profitability triggered by the ISG restructuring. In addition, we are surprised that the initial positive reaction to the two large Marine awards was sustained and the stock is lower than when the awards were announced. We view the recent stock price weakness as an opportunity and remain convinced the risk/reward profile is compelling. Read More >>