# ASB - Austal Limited



## Lachlan6 (2 November 2007)

I could not find a thread on ASB so started up a new one here. I will kick it off from a technical perspective and unfortunately the picture looks a little dismal. Todays sharp fall through crucial support, will in my opinion be the continuation of bigger declines. I have marked $2.06 as a high probablity target, coinciding with the pattern (descending triangle) and previous support/resistance in '05 and '06.

A really interesting thing about this chart however, is the huge amount of negative divergence between the MACD and price, indicating that declines were inevitable. This is one of the most obvious divergences I have ever seen on a weekly chart. Great time to go short for a medium term trade in my opinion.

(For some reason, the chart will not update, however today's close was at $2.72) on a big red candle. Apologies


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## roland (4 November 2007)

Hi, I notice that Aegis have ASB listed on their best stock ideas for some time. Also have noticed an announcement dated 2nd November regarding loss of US navy contract - not sure of the full impact, but suspect it's not going to positive on their SP


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## nomore4s (3 December 2007)

Signs of a bottom?

Looks to be a sellling climax after the bad announcement at the start of Nov, with a massive vol bubble in the 10 days or so after the massive sell down on the 2.11.07. The vol halted prices around the $2.60 area and appears to have soaked up the supply at this level, after a short rally back to nearly $3.00 which brought out some more supply, prices have drifted back down to the $2.60 level but look at the volume now, it's very low - back to "normal" for this stock. *Maybe* indicating the people buying in the vol bubble are yet to sell?
What is it they say about smart money buying on bad news and selling on good news?

What is also of interest is the spring which dropped slightly through the previous low but rebounded nicely on relatively low vol, with the following day doing pretty much the same thing.


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## nomore4s (1 January 2008)

Updated ASB chart.

Price fell through support at $2.60 for what looks to be a terminal shake out. But look at the difference in volume between the the selling climax and the terminal shakeout.

The terminal shakeout has been followed by a sign of strength, the volume on the SOS doesn't look to be high but in context of the low vol of the general market over the holiday period it is probably reasonable. 

Now looking for a last point of support to confirm the SOS. 
The last 2 bars are putting forth a good case for a LPS with reducing vol and spread with closes well of the low of the bars.

There hasn't been a large base of accummulation but supply looks like it is drying up or has been asborbed.

For discussion only, DYOR


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## Kelpie (14 March 2008)

So what do people think ATM? Seems to have broken above resistance and now in an uptrend. Also back on Aegis' best stocks list (a couple of months ago).....


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## Sunburnt Land (13 October 2008)

Haven't seen any talk on this one for a while. A quality WA shipbuilding company. Has suffered with the rest of the market lately but appears oversold on low volumes. The sharp drop in the Aussie dollar has no doubt impacted on the share price. A strong company with a dominant position in their sector. Pays 13c dividend per share, yielding 7.5% fully franked at today's price. P/E is a very low 6.13. Constantly being awarded new government and private contracts around the world.

Think it may have slipped under the guard of investors. Views anyone?


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## niknah (13 October 2008)

The big US military contracts may not have a future anymore because the US will have less moneys to spend on their navy.  The project was not looking very good before.
And the Hawaiian superferry didn't get a good reception for environmental reasons.

A lower AUD will help all manufacturers, but it negates the recent drop in alumimium/metal prices.

They have $250m cash, and earlier in the year there was a share buy-back.  They could possibly start buying back shares again soon.
At $1.86, the market cap is $349m, so the rest of the business(excluding cash) is valued at $99m?  Profit for the last 2 years was $52m, $49m.

Numbers look good, but so do a lot of things in the stock market at the moment.


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## BrightGreenGlow (3 December 2010)

Does anyone know much about the US Navy contracts?? I believe congress can make it possible for Austal and another company to build many billions of $$$ of new ships. If this doesn't happen the US Navy will choose one... if this is AUSTAL or the first option happens I think ASB will rally quite a fair bit..

Does anyone else know much about the Austal / US Navy contract news??


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## So_Cynical (31 August 2012)

I have watched this stock with a keen interest for a long time and today decided it was time to buy in @ $1.41 ~ and so ASB became portfolio stock #24

I like the business, i like how the fortunes and SP can swing wildly, some of the contracts can be enormous others not so, over the years ive watched this stock the story has just got better and bigger over time and yet the SP has fallen solidly for the last 22 months...go figure.

I know there are alot of issues with Austal, currency movements, contract wins/losses, new technology, crappy margins, US Govt spending and debt issues, world growth etc etc...but for me the ASB story is compelling.

Anyway results highlights below.


Record revenue of $653.0 million, up 29.7%
Order book: $2.57 billion, up 72.5%
Earnings before interest and tax: $16.6 million
New shipbuilding contracts totalling approximately $1.3 billion during the year
Net assets: $277.0 million
Philippines shipyard transformational strategy implemented

http://media.corporate-ir.net/media_files/IROL/15/159601/Annual_Results_Announcement.pdf
~


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## herzy (1 September 2012)

Trading below NTA? Can't complain with that, depending on the assets of course. Given such a long down trend, do you have any reason to expect a re-valuation of sp? My only issue also is small profit margin ~2.5%. 16 mill profit on 600 mill revenue. Doesn't leave much margin for error, and I assume the high AUD helps inflate earnings/revenue a bit.


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## So_Cynical (1 September 2012)

herzy said:


> Trading below NTA? Can't complain with that, depending on the assets of course. Given such a long down trend, do you have any reason to expect a re-valuation of sp? My only issue also is small profit margin ~2.5%. 16 mill profit on 600 mill revenue. Doesn't leave much margin for error, and I assume the high AUD helps inflate earnings/revenue a bit.




As i said there are issues and the 16 mill profit on 600 mill revenue is a stand out issue...on the glass half full side there is considerable potential for them to increase the profit from such a large amount of revenue, on the flip side perhaps it was all they could do to just squeeze the 16 mill out. :dunno: time will tell all.

I'm guessing that if they can land additional littoral ship contracts and build em in both Alabama and the new Philippines ship yard then there would be considerable savings to be had with the Filipino operation...the Philippines is very very US friendly and the US military is very friendly with the Filipino Military and Govt.

The Filipino ship yard opens all sorts of doors to cost savings and puts Austal in the centre of the Asian ship building market, Asia = growth and money and Asia needs ferry's and all sorts of littoral type vessels...the Philippines is 4000 islands and probably has more ferry's per head of population than anywhere else on earth.

I'm betting Austal can squeeze more profit outa there operations...to put it bluntly the Alabama operation was profitable and the Aussie operation wasn't, so transfer all the non military work from Australia to the Philippines and bingo its profitable..its an incredible position that Austal finds itself in after just 15 years as an Aussie Alloy ship builder, incredible that an Aussie company built this beautiful ship.
~


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## Ves (1 September 2012)

herzy said:


> Trading below NTA? Can't complain with that, depending on the assets of course. Given such a long down trend, do you have any reason to expect a re-valuation of sp? My only issue also is small profit margin ~2.5%. 16 mill profit on 600 mill revenue. Doesn't leave much margin for error, and I assume the high AUD helps inflate earnings/revenue a bit.



The capital structure is a mess.   They're clearly bleeding cash and funding operations from debt.  I don't think NTA is relevant in this case, because it is likely that most of those assets only have limited use in other businesses  (ie.  they will not recover close to a $1 of cost on the balance sheet for a $1 in a fire sale).  I wouldn't be surprised if they had to raise capital soon.  

If you take out the property revaluation in the 2012 Financial Accounts they actually made a loss.

There does not look to be much buying interest in this stock, and probably for very good reason!  The return on invested assets over the last few years would have been better off in the bank...


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## So_Cynical (1 September 2012)

Ves said:


> The capital structure is a mess.   They're clearly bleeding cash and funding operations from debt.  I don't think NTA is relevant in this case, because it is likely that most of those assets only have limited use in other businesses  (ie.  they will not recover close to a $1 of cost on the balance sheet for a $1 in a fire sale).  I wouldn't be surprised if they had to raise capital soon.
> 
> If you take out the property revaluation in the 2012 Financial Accounts they actually made a loss.
> 
> There does not look to be much buying interest in this stock, and probably for very good reason!  The return on invested assets over the last few years would have been better off in the bank...




Big picture Ves..13 years ago Austal was building 5 or 6 boats per year in Fremantle, fishing boats, small ferry's and high end pleasure boats..now they build super ships for the US Navy and work with company's like General Dynamics and Northrop Grumman. 

Austal has come along way...any big specialist builder like Austal is always going to have issues with capital and expenditure and profitability, these issues will come and go over time and contracts...its the nature of the business.

Now having said all that there is no way i would be adding ASB to my portfolio unless i already had a very large and diverse portfolio, there is some single stock risk to ASB that's for sure and who knows when the SP will stop falling? i certainly don't...but i do get it right 80% of the time given a 6 months time frame. 

http://www.facebook.com/Austal


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## Ves (1 September 2012)

I'm talking big picture as in the next 10 years, as I don't hold short-term or medium term positions (unless my original investment thesis is contradicted, in which case I sell).

They make many more boats and ships than they once did,  but how many assets did they need to put on the balance sheet to get this far?  What return are they getting on these?  Are their margins and returns any better than they used to be?


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## Ves (20 November 2012)

Ves said:


> I wouldn't be surprised if they had to raise capital soon.



And here we are.  Thoughts, SC?


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## So_Cynical (20 November 2012)

Ves said:


> And here we are.  Thoughts, SC?




Well first up...someone couldn't keep a secret....the SP was tanking on the day of the Halt announcement, i get the feeling they were forced to ask for a halt due the the sudden SP slide.

Obviously i entered to early again (i do have a habit of doing that) but if offered, i will participate in the cap raising and if the opportunity arises ill buy a few more on market to bring my average price down...as always im in for the long haul.

I don't buy unless im willing to hold.


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## So_Cynical (22 November 2012)

OMG - an over the top capital raising...eeek

Accelerated pro-rata non-renounceable entitlement offer.


 9 new shares for every 10 held.
 Issue price 50c 
 Raising 86 million.
 Entitlement is not tradable.
 Funds to be used for debt reduction and working capital. 

http://austaloffer.reachis.com/PDF/ASB Capital raising Investor Presentation.pdf

I will be taking up my entitlement and applying for a few extra....not happy about it because its not a good look to be issuing so many shares at such a deep discount..not a good look at all.


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## Ves (22 November 2012)

So_Cynical said:


> I will be taking up my entitlement and applying for a few extra....not happy about it because its not a good look to be issuing so many shares at such a deep discount..not a good look at all.



Perhaps they are in more trouble than it first appeared.

That's major dilution.  I have heard the shipping industry is struggling.  So it is no surprise they had to raise funds to pay debt in that respect.

I didn't realise you actually held - I thought you would be watching though.


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## McLovin (22 November 2012)

Woah! 9 for 10. That's not a cap raising that's a recapitalisation. Why do they pay so little in interest? The numbers don't add up.

I actually owned some of these wayyy back in 1999. I did sell at a profit, not sure what that profit was though.


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## skc (23 November 2012)

Looks like the bankers got a bit nervous with respect to their US navy / fiscal cliff exposure?

I have no idea how to determine the risk/reward of a position taking this into account.

It's a shame because Asutal is one fo the few Australian company that has unique and world class IP. But the application of this IP has not be rewarding for shareholders in the last few years.


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## McLovin (23 November 2012)

skc said:


> Looks like the bankers got a bit nervous with respect to their US navy / fiscal cliff exposure?




The US Navy has been shrinking since the end of the cold war. I have no idea how many ships ASB sell but I do know that InCat (the Tasmanian super fast catamarans builder) can have their best or worst year depending on whether or not they sell a single ship. Their IP is outstanding but shipbuilding is a tough capital intensive business. You need to make large investments into PP&E, and then function on fairly lumpy sales. This gets worse the bigger the boats that you're building.


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## skc (23 November 2012)

McLovin said:


> The US Navy has been shrinking since the end of the cold war. I have no idea how many ships ASB sell but I do know that InCat (the Tasmanian super fast catamarans builder) can have their best or worst year depending on whether or not they sell a single ship. Their IP is outstanding but shipbuilding is a tough capital intensive business. You need to make large investments into PP&E, and then function on fairly lumpy sales. This gets worse the bigger the boats that you're building.




There's 10 JHSV and 12 LCS (2 already built) for the US navy. They probably sell 1-5 other ships in a year - small cat/trimarans and ferries.

Agree with the rest. It makes Austal a difficult investment despite its IP. And on hindsight they didn't have the right capital structure to support the nature of the business.


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## Ves (23 November 2012)

McLovin said:


> The US Navy has been shrinking since the end of the cold war. I have no idea how many ships ASB sell but I do know that InCat (the Tasmanian super fast catamarans builder) can have their best or worst year depending on whether or not they sell a single ship. Their IP is outstanding but shipbuilding is a tough capital intensive business. You need to make large investments into PP&E, and then function on fairly lumpy sales. This gets worse the bigger the boats that you're building.



Have you ever had a look at Carnival (CCV on the NYSE) by any chance?  It's actually a pretty interesting study, in the same broader industry.  Geoff Gannon has written some stuff on it if you want to skip to the meat of the whole picture.


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## skc (23 November 2012)

Ves said:


> Have you ever had a look at Carnival (CCV on the NYSE) by any chance?  It's actually a pretty interesting study, in the same broader industry.  Geoff Gannon has written some stuff on it if you want to skip to the meat of the whole picture.




Isn't that the company with the Italian cruiser that sunk?


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## trillionaire#1 (23 November 2012)

skc said:


> Isn't that the company with the Italian cruiser that sunk?




Costa cruises were the operators (carnival is the parent company i believe)

carnivals- SP dropped about 10 percent after the accident ,yet is up more than 25%since.


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## Ves (23 November 2012)

skc said:


> Isn't that the company with the Italian cruiser that sunk?



Yes - the articles were before this happened.  They seem to generate pretty good free cash flow for a capital intensive business.  I find it interesting for that reason - not that I would buy it.


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## So_Cynical (23 November 2012)

McLovin said:


> The US Navy has been shrinking since the end of the cold war.




My thinking on this and why Austal will prosper is that while the US Navy is shrinking its also up-scaling technologically and strategically...the days of the Battleship are over and for that matter cruisers are also pretty much redundant, the modern US navy will be smaller, lighter, faster, cheaper to operate and more manoeuvrable.

Littoral type combat ships and other fast alloy craft will be very much a part of the new US navy going forward, Austal is at the forward end of the curve and building what the US navy wants, in the US.


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## McLovin (23 November 2012)

Ves said:


> Have you ever had a look at Carnival (CCV on the NYSE) by any chance?  It's actually a pretty interesting study, in the same broader industry.  Geoff Gannon has written some stuff on it if you want to skip to the meat of the whole picture.




Thanks, had a quick look but will read it in more detail later.



So_Cynical said:


> My thinking on this and why Austal will prosper is that while the US Navy is shrinking its also up-scaling technologically and strategically...the days of the Battleship are over and for that matter cruisers are also pretty much redundant, the modern US navy will be smaller, lighter, faster, cheaper to operate and more manoeuvrable.
> 
> Littoral type combat ships and other fast alloy craft will be very much a part of the new US navy going forward, Austal is at the forward end of the curve and building what the US navy wants, in the US.




You're probably right, I disagree that cruisers are redudant though. The main strike force of the US navy is it's carrier battle groups. One question, if China and India are the new threat for the 21st century then wouldn't the US need to be building blue water capacity rather than littoral? It's not like they're going to be able to get near those countries and any battle will likely take place out at sea.

Oh, and does any navy still run battleships?


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## So_Cynical (24 November 2012)

McLovin said:


> One question, if China and India are the new threat for the 21st century then wouldn't the US need to be building blue water capacity rather than littoral? It's not like they're going to be able to get near those countries and any battle will likely take place out at sea.
> 
> Oh, and does any navy still run battleships?




What will Naval warfare look like in the decades to come? will the Carrier task force still be relevant? How many (38 million dollar) drones does it take to sink a ($6.2 billion dollar) carrier? what's a 2 carrier 180 plane task force worth now? 50 or 60 billion? and what's it cost to run that?  

Smarter, Smaller, Lighter, Faster, Cheaper is the future.


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## So_Cynical (5 March 2013)

Some good news for Austal today, business as usual.




			
				http://www.austal.com said:
			
		

> Austal USA’s order backlog has grown by approximately US$681.7 million as a result of two additional Littoral Combat Ship (LCS) contract options being exercised by the United States Navy.




http://www.austal.com/en/media/medi...-Austal-LCS-Team-to-build-two-more-ships.aspx

Another 700 million worth of work to add to the backlog...just have to get those costs under control.


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## pixel (18 July 2013)

So_Cynical said:


> Some good news for Austal today, business as usual.
> 
> 
> 
> ...




More good news today: Up the Earnings Guidance 
Market likes to hear that. (So do I; topped up earlier, although there is a chance the gap might be filled.)


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## piggybank (24 January 2014)

The reliability of the Navy’s first three Littoral Combat Ships “has been degraded by frequent critical system failures” in early operations, the Pentagon’s chief weapons tester said. Testing in fiscal 2013 and analysis of data from fiscal 2012 “continued to identify deficiencies in the LCS” and “essential mission systems,” such as mine-hunting equipment, Michael Gilmore, the Defense Department’s director of operational testing, said in a section of his annual report obtained by Bloomberg News.

The report documents challenges the Navy is facing in producing the vessels, designed to operate in shallow coastal waters, and in defending its plans for the troubled ship after a Jan. 6 Pentagon directive to reduce the number of ships it purchases by 20 to 32. The initial plan to build 52 ships by 2026, in two versions made by Lockheed Martin Corp. (LMT) and Austal Ltd. (ASB), has drawn a growing list of questions about the vessels’ manning, mission, firepower, defenses and survivability as costs have soared amid Pentagon budget cuts. The total cost to develop and build the ships is currently projected at $32 billion.

If you want to read the remainder of the article, then click on this link:- http://www.bloomberg.com/news/2014-01-16/pentagon-said-to-order-cutting-littoral-ships-by-20.html

​
Up just over 5.5% to close @ 93c, it's highest close since November 2012.

​


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## So_Cynical (24 January 2014)

piggybank said:


> Up just over 5.5% to close @ 93c, it's highest close since November 2012.




So despite all the commentary the SP is striking higher and the up trend continues...my super fund position approaches break even...time + Quality wins again.


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## pixel (24 January 2014)

So_Cynical said:


> So despite all the commentary the SP is striking higher and the up trend continues...my super fund position approaches break even...time + Quality wins again.




I've been thinking along similar lines, S_C;
It;s probably some American interest groups that can't stand the thought of a non-US company doing as good, if not better a job. 







> The total cost to develop and build the ships is currently projected at $32 billion.



Shock Horror! That's about ten days' worth of bonds the Fed has been buying for years in the name of QE.

So far, the chart seems to suggest a breakout. If 93c becomes support, we should fast get back into the "Serious Stock" region above $1.


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## beachlife (25 January 2014)

So an article saying the boats have problems causes the stock to do that?


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## So_Cynical (24 March 2014)

So_Cynical said:


> (1st-September-2012) who knows when the SP will stop falling? i certainly don't...but i do get it right 80% of the time given a 6 months time frame.




I would reckon i have a 90% 'success' average when the time frame is pushed out to 2 years...as supported by today's share price action with Austal trading above $1 for the first time in 16 months, putting my ASB position in profit by about 3%.

Once again i was in way to early and once again rescued by a large average down combined with patience and no leverage costs, and the fact that Austal was and is a good company with a very viable business.

The orders just keep on coming.

http://www.austal.com/en/media/medi...-funds-two-further-Littoral-Combat-Ships.aspx

http://www.austal.com/en/media/medi...o-72m-High-Speed-Defence-Support-Vessels.aspx


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## So_Cynical (13 May 2014)

Part exit today @ 1.14 sold most of my expensive parcel ($1.41) and a few of my cheap parcel ($0.50) for a break even result, leaving the rest of my shares with an average price of 71 cents and an open profit of 60% ~ really should of loaded up at 50 cents.

Austal just continues to build its business, US Navy continues to re position its fleet and the world ship building industry continues its slow recovery...the picture below is of the newly launched Destroyer USS Zumwalt, NOT built by Austal and not an alloy ship but is a clear indication of the future direction of the US navy.

http://www.independent.co.uk/news/w...as-a-fishing-boat-on-enemy-radar-9257304.html
~


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## So_Cynical (17 May 2014)

A recently produced National geographic documentary about the US Navy's new Littoral combat ships, featuring the Austal built USS Independence.
~


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## So_Cynical (24 November 2014)

So_Cynical said:


> (13th-May-2014) Part exit today @ 1.14 sold most of my expensive parcel ($1.41) and a few of my cheap parcel ($0.50) for a break even result, leaving the rest of my shares with an average price of 71 cents and an open profit of 60% ~ really should of loaded up at 50 cents.




I totally sold out today @ $1.375 for a profit of around 95% ~ good result overall however my portfolio income is suffering due to holding so many non dividend paying stocks, time for a bit of rebalancing and i feel that with so many positive announcements for ASB over the last 16 months that its time for a run of negatives.

Good luck to the holders.


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## pixel (24 July 2015)

yesterday's gap closed to $1.91
resistance broken > $1.95
not much on offer sub-$2

I'm accumulating with a tentative target $2.12, the High of May 5th.
Stop = Close below $1.91


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## peter2 (11 December 2015)

In response to a suggestion to look at ASB for a break-out entry.



> ASB: Thanks. I looked at this at the 1.90 and 2.10 (BO levels), but declined to buy. I've traded this successfully in the past (huge trend up),* but it's prone to large spikes down.* Not suitable (imo) for a tight exit stop, but trending up solidly. Great weekly chart since the BO back at 1.00.


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## So_Cynical (5 September 2016)

The ASB share price has had a wild ride over the last 6 years, reading thru the latest Allan Grey quarterly, they have a piece on Austal and a brave chart of the share price and their position size over time.

https://www.allangray.com.au/b/wp-c...-Gray-Australia-Quarterly-Report-Jun-2016.pdf

Contrarian investing, not everyone's cup of tea...balls of steel!
~


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## pixel (16 November 2016)

Following a spate of positive announcements, ASB has had a great run. Quite possibly, the US election has also helped, seeing that both candidates seemed committed to lift spending on military hardware. In vote-catching speak "Make America great again."




It does appear though that most of the promises have already been factored in, and ASB is pulling back from $2 resistance. Maybe close a gap or even two?
I'm off, waiting for the chart to show me the next support level.


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## pixel (24 November 2016)

Another breakout could come about soon. I'll set the alert for Break-and-hold $1.88.


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## sptrawler (4 December 2018)

Looks as though Austal, is spreading its wings, hopefully they keep the W.A shipyard going.

https://thewest.com.au/business/man...r-austals-new-vietnam-shipyard-ng-b881039640z

They have shown promise and resilience, but continue to lack growth, hopefully this turns the corner.

I don't hold ASB


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## $20shoes (14 April 2019)

This came up on my radar this weekend, Trawler and we're approaching a psychological resistance level. 

A significant capitulation in SP in December 2015 resulted in a multi year grind to get up and over the the $2 mark. 

But I quite like the shape of it now, chartwise. There is some negative divergence on some indicators but if you look at the last week or 2 of of trading bars there has been a bit of uncertainty and then a clear signal with Friday's bullish candle stepping up over the noise at 2.35. 

So this takes us to an interesting trading level. Will we stall again below $2.50 or will the bulls come out?
Friday's action was reasonably strong. I thank now that ASB has pushed this high, there will be an attempt at the old highs. I might take a bite this week.


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## rnr (30 April 2019)

About ready to breakout again?


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## just_jay (17 July 2019)

currently up 11% on earnings update
https://www.asx.com.au/asx/share-price-research/company/ASB

I bought in 2 weeks ago. Currently looking at where it closes to determine if I sell by end of day.


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## bigdog (1 May 2020)

ASX Announcement today
1/05/2020 9:25:11 AM   * US Navy Frigate Program awarded to Austal competitor (uploaded)





*
202


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## sptrawler (1 May 2020)

A mate was big into Austal years ago, another company that is always on the cusp of greatness, maybe the Australian Government could show a bit of patriotism and use them.


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## Dona Ferentes (1 May 2020)

sptrawler said:


> A mate was big into Austal years ago, another company that is always on the cusp of greatness, maybe the Australian Government could show a bit of patriotism and use them.



but on the same day:
_Construction of the six Capes for the RAN will commence immediately at Austal Australia’s Henderson, Western Australia, shipyard with deliveries scheduled from September 2021, then successively through to mid-2023._

*Shipbuilder receives $350 million lifeline to construct six new patrol boats during COVID-19*

https://www.abc.net.au/news/2020-05...t-navy-patrol-boats/12204238?section=business


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## sptrawler (1 May 2020)

Dona Ferentes said:


> but on the same day:
> _Construction of the six Capes for the RAN will commence immediately at Austal Australia’s Henderson, Western Australia, shipyard with deliveries scheduled from September 2021, then successively through to mid-2023._
> 
> *Shipbuilder receives $350 million lifeline to construct six new patrol boats during COVID-19*
> ...



There you go, they must have been reading ASF.
I havent checked on them since I finished work in 2011 and I remember the work mate saying they were around $2.40 and about to take off.
It would be great if Australia actually did make  some ships, it was a while ago State ships were the go.


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## UMike (19 January 2022)

Seems to be a bit of a trend Breaker.

Reportably Profitable.

On my watch list.


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## greggles (1 July 2022)

Big contract win for ASB announced today.



> Austal Limited (ASX:ASB) is pleased to announce Austal USA has been awarded a contract with a potential value of US$3.3 billion (A$4.35 billion), for the detail design and construction of up to 11 Offshore Patrol Cutters (OPC) for the United States Coast Guard (USCG).
> 
> The first vessel has been contracted by the US Coast Guard, with options for a further 10 vessels.
> 
> ...




This is the sort of contract that is likely to lead to other large US based contracts down the track due to the high profile of the client and the size and scale of the contract. A great outcome for ASB and the market in loving it with the ASB share price up 22.5% so far today.


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## Dona Ferentes (22 August 2022)

Results not yet out (sometime this week?); with ASB building on that big contract win, there was an update on Friday:
_Austal has upgraded its forecast FY2022 EBIT to $120.7 million, subject to audit._.


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