BOL - Boom Logistics

[Dreadweave]

Such enthusiasm & euphoria within half an hour the sp dropped almost 10%
heres the same chart with added humble pie in face end bit. View attachment 33120
This is what you call the OTS BUY effect
Still holding, just above stop loss
think things should go according to script from here (up)

I hold @ .555 Currently and Im feeling good about this stock. I see their cranes everywhere, and all their equipment on sites all over Melbourne. Also they currently have some large contracts In the latrobe valley where their only competition is a small mom n pop crane hire buisness who cant really supply the numbers needed for the 5 local power stations, paper mill, char plant and brickett factory maintenance projects.

They also have new contracts with 'Vestas energy' to provide logistics for the construction of wind towers, and have purchased new mobile tower cranes for the job.

 

[Dreadweave]

BOL surge almost 7% today with no posted news, This follows the previous day of strong growth. Anyone got an explanation for this?

edit: I just read back at 'Out too soon's" charts, seems your prediction was right !! nice job. lets hope it keeps climbing.

 

[Out Too Soon]

BOL surge almost 7% today with no posted news, This follows the previous day of strong growth. Anyone got an explanation for this?

edit: I just read back at 'Out too soon's" charts, seems your prediction was right !! nice job. lets hope it keeps climbing.

Well it came right after it scared me luckily I held on

BOOM!


God I love bull markets

Now could we have some clever analysis from ppl who use Elliott wave or whatever 'cause I've got no idea where to set a stop loss or profit trigger on this (& I don't want to be Out Too Soon )

 

[Out Too Soon]

Well it came right after it scared me luckily I held on

BOOM!
View attachment 33953

God I love bull markets

Now could we have some clever analysis from ppl who use Elliott wave or whatever 'cause I've got no idea where to set a stop loss or profit trigger on this (& I don't want to be Out Too Soon )

Once again Boom is dropped like a hot potato last thing friday ( hmm! I should be buying BOL friday just before the bell ) This time it triggered my Stop & I'm out at a small profit better than a loss

PS could've done with a crystal ball, be interesting to see what happens next friday.

 

[Dreadweave]

Once again Boom is dropped like a hot potato last thing friday ( hmm! I should be buying BOL friday just before the bell ) This time it triggered my Stop & I'm out at a small profit better than a loss

PS could've done with a crystal ball, be interesting to see what happens next friday.

Word on the street in the construction Industry is that people are recommending to not buy BOL, or to sell out if you hold.

My father who has been working in the industry for 30 years explained to me that many people believe a recent acquisition made by boom is too unprofitable and is dragging them down.

He couldn't be specific about the acquisition and Im sure that many of the people talking about it don't actually know. I think its one of those rumours that spreads around an industry like wildfire. Fueled by strong feelings because alot of people in the industry hold BOL.

Having worked in construction for several years myself I can actually see this idea as holding some serious weight. Basically because of the number of people holding BOL from years ago when it was at its high point. These people may be finally giving up and cutting their losses. And now maby making up excuses and rumour to justify their decisions.

I remember some years ago there was big talk in the industry that Boom would boom and of course they soon did as many people invested.

I fear that this may be the same thing again, but in reverse.

edit: Please be sure to take this all with a grain of salt though as like I said, this Is rumours with no real basis coming to me third hand from a construction worker who has never owned a stock in his life

 

[TheAbyss]

Word on the street in the construction Industry is that people are recommending to not buy BOL, or to sell out if you hold.

My father who has been working in the industry for 30 years explained to me that many people believe a recent acquisition made by boom is too unprofitable and is dragging them down.

He couldn't be specific about the acquisition and Im sure that many of the people talking about it don't actually know. I think its one of those rumours that spreads around an industry like wildfire. Fueled by strong feelings because alot of people in the industry hold BOL.

My tip would be he is referring to the Sherrin buy out. The BOL sp has been terrible ever since.

More importantly, what do people make of the current circumstances? We have a capital raising with a retail component of 30 cents a share. Shares due to re open tomorrow.

On the flip side, McAleese have put a buy out offer on the table at 60 cents per share which has been rejected.

Be an interesting open tomorrow for sure. Current sp is 47 cents. My guess is the sp will fall as the 30 cent price is real where as BOL have rejected a 60 cent buy out. A lot more left to play out here for sure.

 

[TheAbyss]

Sp down 14% to 40 cents.

30 cents before 15 December unless McAleese make another offer i suspect. Cant see why they would though as they can buy on market for less than the 60 cents they have already offered.

Surely Boom could have let McAleese increase holding from the current 12.5% to reduce the capitalisation requirement? 30 cents vs the 60 offered makes the management look pretty selfish in my view.

thoughts?

 

[skyQuake]

Sp down 14% to 40 cents.

30 cents before 15 December unless McAleese make another offer i suspect. Cant see why they would though as they can buy on market for less than the 60 cents they have already offered.

Surely Boom could have let McAleese increase holding from the current 12.5% to reduce the capitalisation requirement? 30 cents vs the 60 offered makes the management look pretty selfish in my view.

thoughts?

BOL management must be fairly confident about going forward then. Bid is still below NTA so they are playing for a turnaround.
The 60c bid was pre-dilution. Would be worth less now. Punters still think its good though, making it rally 9% (terp = 38.5)

 

[skc]

Pretty solid day for BOL... The SP is now resting on a support zone around 39-41c, which also happens to be 62% retracement for the up leg from ~25c to 70c. Sorry don't have a good chart...

I posted a little about the raising here. https://www.aussiestockforums.com/forums/showpost.php?p=511676&postcount=99

Fundamentally their story is compelling if you believe in a strong recovery in construction / mining activities. High fixed costs and assets, so any incremental utilisation falls straight to the bottom line.

It's always interesting reading company presentations and you can get a glimpse of what kind of people are running the company. They repeatedly mention some mighty large crawler crane being the first in Australia etc... I am betting they are engineers who like their big toys.

 

[tronic72]

BOOM LOGISTICS ANNOUNCES 3 YEAR CONTRACT TO SUPPLY
CRANES AND SERVICES TO RIO TINTO
Boom Logistics (BOOM), Australia’s leading provider of cranage and related
industrial services, today announced that it has secured a three year panel
contract to supply cranes and associated services to Rio Tinto’s Iron Ore
operations, with two three year options to extend.
The scope of works will see BOOM utilise its existing fleet of cranes in
Australia’s North West for major shutdown and maintenance works across ten
major Rio Tinto mining operations in the Pilbara region.
Brenden Mitchell, CEO of Boom Logistics, said: “This new business
opportunity consolidates our position for growth in the North West of WA and
reinforces BOOM as a major provider to industry leaders in the region. This is
a significant step in building our long term sustainable revenue from the
resources sector. We estimate the revenue from this contract to be in the
vicinity of $20m over the next 3 years.”
“The Rio Tinto contract follows BOOM signing major contracts in December
2009 with TDK, a $4m contract to supply cranes and services for the Barrow
Island Construction Village for the Gorgon Project, the Newmont Asia Pacific’s
new Boddington Gold project in WA and the $3m contract with Sandvik Mining
and Construction at the Port Waratah Coal Services expansion project in
NSW,” said Mr Mitchell.

 

[matt1987]

does anyone have any opinions on how the sp will hold up after the record date for the share purchase place (at 30c ... record date is friday).

 

[skc]

does anyone have any opinions on how the sp will hold up after the record date for the share purchase place (at 30c ... record date is friday).

Record day? Do you mean closing day?

My guess is nothing on the closing day. This SPP will be heavily over subscribed and most likely scaled back. So people can't really short ahead of receiving the shares (it's not easy to find a broker who let you short this anyway).

Expect a bit of downward pressure on the day the shares are available for trading however. But more will probably depend on the overall market.

 

[skyQuake]

Record day? Do you mean closing day?

My guess is nothing on the closing day. This SPP will be heavily over subscribed and most likely scaled back. So people can't really short ahead of receiving the shares (it's not easy to find a broker who let you short this anyway).

Expect a bit of downward pressure on the day the shares are available for trading however. But more will probably depend on the overall market.

yeh the record date was last year!

SKC i dont think this will be that heavily oversubscribed as it was not an 'open' SPP - punters can't jump in before the record date. Going by entitlement takeup it wasn't too bad.

 

[skc]

yeh the record date was last year!

SKC i dont think this will be that heavily oversubscribed as it was not an 'open' SPP - punters can't jump in before the record date. Going by entitlement takeup it wasn't too bad.

Yes fair point. In fact I was surprised that they backdated the SPP. My wife now have a $500 parcel but not the entitlement.

The rights entitlement was unbelievably poor considering the share price was holding well above 30c at the time.

 

[matt1987]

yeh the record date was last year!

SKC i dont think this will be that heavily oversubscribed as it was not an 'open' SPP - punters can't jump in before the record date. Going by entitlement takeup it wasn't too bad.

sorry guys ... meant the closing date. had an early start this morning - not thinking straight!

thats a good point though about how well the sp has held up after the entitlement offer. hoping for the same this time around!

 

[drunkestdriver]

does anyone have any info on this stock. I bought it at 46c and has just dived ever since. ?? .

 

[oldblue]

does anyone have any info on this stock. I bought it at 46c and has just dived ever since. ?? .

BOL was trading around 46c in February when the company downgraded profit expectations for the year to the lower level of previous guidance.

The market appears to have believed them. Do you have reason to expect otherwise?

 

[Pioupiou]

Director buys

Appendix 3Y announced 6/03/2012
John Robinson [Rodney John Robinson]
Number acquired 40,000
Value/Consideration $10,400

Is BOL's SP on an upward track?

 

[tinhat]

Re: Director buys

Appendix 3Y announced 6/03/2012
John Robinson [Rodney John Robinson]
Number acquired 40,000
Value/Consideration $10,400

Is BOL's SP on an upward track?

Let's hope so, I thought I'd missed out on this one (my buy signal came up a couple of weeks ago but I didn't have the money to put into it). Bought today. Let's hope the pull-back is just that. My first target is 0.38. I owned BOL previously and sold in June 2010 for 43c.

I haven't been following BOL closely but they seem to be getting their balance sheet and their business sorted out slowly. Hopefully the Olympic Dam contract will give them some impetus with the rest of their quote book.

 

[tinhat]

I haven't read the report yet, but the market obviously likes it. The stock is up over 37% this week. It will be interesting to see if it can manage a close above 0.33 in the coming weeks.

http://www.smh.com.au/business/unde...r-yet-for-mining-services-20120815-247nn.html