LBL - Laserbond Limited

[Spec-Invest]

Laserbond Limited (LBL) specialises in the reclamation and surface engineering of industrial components operating in severe industrial environments. Products include LaserBond, HP HVOF and Plasma Thermal Spray's.

today the speculator announced that he has added them to his portfolio. jumped 16%

very small company which has potential to do well.

does anyone have any further infomation about this company?

 

[Spec-Invest]

Re: LBL - Laser Bond

here is the article if anyone is interested..

http://money.ninemsn.com.au/article.aspx?sectionid=2338&subsectionid=79751&id=593882

copy and paste the link.

cheers

 

[pan]

Re: LBL - Laser Bond

Hi spec. Nice article

At 15c the company's 65.5 million shares carry a market capitalisation of $9.8 million ”” about twice net tangible assets value following the float. The punters will be looking for a turnaround when results are posted for the full 2007-08 year, or at least the promise of one. That is expected to come from new service contracts with major companies, especially those in the resources sector.

Very small market capital, interesting to see that the top 20 share holders own around 50 million or 77% of the 65 million shares on issue. They also own 23% of the 5 mil options due to expire next year.

cheers

 

[pan]

Re: LBL - Laser Bond

Laser bond has secured a five year contract with Alcoa. They will be providing engineered coating to extend the life and reliability of high value components.

Thats a big cilent to have.....

cheers

 

[Huskar]

10% jump yesterday on top of a strong runup over the last 12 months

microequities has just released a covering report which should increase interest and was probably part of the reason for the rise

interesting company with interesting technology: it fortifies metallic surfaces so that industrial machines and mining parts last longer

I wish I had bought in when I first looked at the company 6 months ago but hesitated

 

[robusta]

I wish I had bought in when I first looked at the company 6 months ago but hesitated

Same here, first spotted them in SKC's portfolio... one day may pick some up

 

[skc]

Same here, first spotted them in SKC's portfolio... one day may pick some up

Good company and a great buy back <10c.

At 22.5c the valuation is pretty full imo.

It is really a small business with some machineries in a few large sheds. Capacity expansion is limited so growth will have to come at pretty heavy capital expenditure.

 

[prawn_86]

Actually came across these guys today outside of stock research and am surprised they are listed. Surely the ongoing costs of being a listed co would outweigh the possible growth for them?

 

[greggles]

The Laserbond share price has taken off today after announcing that it has signed its second Technology License Agreement, this time with a UK based multinational engineering company. The agreement involves the supply of a LaserBond® designed and constructed laser cladding system, ongoing training and support and consumable sales. The company says the agreement will yield an increase in revenue this financial year by more than 10% year on year with associated overhead recovery and increase in profits.

LBL is a very thinly traded stock and has been trading between 7c and 17c for the last five years, bouncing back and forth in between that trading range. However, today's price action has finally seen it break out of that range and it is currently up 37.04% to 18.5c.

Its FY18 financial results have not been announced yet, so it will be interesting to see how LBL have been performing this year.

 

[galumay]

Yes, its on my watchlist. I have been interested for a while, but havent invested yet.

 

[CBerg]

Great news lately for any holders out there, revenue up 44% for the quarter. It's been on my list since March and regret not getting in at those prices and still haven't purchased . Closed today at $0.24 with a high of $0.25.

 

[galumay]

I got in at 16.5c, I bought all I could at that price but didn't get as big a position as I would have liked!
I will add to my position any time there is softness, but its quite illiquid so I dont expect many opportunities!

 

[galumay]

Well, I wish I had been a bit more adventurous in building my position! Up another 15% today on news of new sales into the US. Never the less, a 60% gain in 3 months is not to be sneezed at!

 

[Trav.]

@galumay congrats mate on you selection here.

Would you mind sharing your strategy on locking in profits as this is something that intrigues me as there is no right or wrong answer. eg. Trailing stop or price target....sell at high and buy back on retrace....

Cheers

Trav

 

[galumay]

@galumay
Would you mind sharing your strategy on locking in profits as this is something that intrigues me as there is no right or wrong answer. eg. Trailing stop or price target....sell at high and buy back on retrace....

Cheers

Trav

Hey Trav, my personal strategy as an investor means I dont use stops of any sort, I see them as a tool for traders and useful for them, but not helpful for me. I dont have any hard and fast rules for selling, but in general if nothing material changes in the business and the price gets a long way ahead of my range of calculated value I may sell all or part of my holding.

As long as the thesis remains intact and management continue to execute in a responsible manner then I will prefer to hold regardless of price, if the range of IV changes pounethical sitively because of increased cash flow, increased margins, decreased competition, etc. then the decision to continue to hold is easier.

The hardest decision for me has been when management fail to execute, or actually start to behave in an unethical manner, in these cases I have been to slow to sell out. AHZ is a clear example of where I specifically identified management behaving in a very devious and unethical manner and I failed to sell out.

Conversly some of my best multibaggers have been high conviction positions where I averaged down over a fair period of time with businesses that were out of favour with mr market - NWH which is a 7 bagger for me and CDA which is now a multi bagger also.

So there is no rule for all situations, and many times I have made the wrong decision, mainly due to psychological biases.

You are correct, there are no right and wrong answers, its dynamic, and as an investor I feel I am constantly learning and adding information into the loop. As I said, the lesson with LBL is that i fell for the anchoring bias and failed to increase my position size, despite my range of IV being way higher than the price at the time and also my high conviction that the business as well managed and had some competitive advantage.

 

[Trav.]

Thanks for your detailed response @galumay , I incorrectly assumed you were trading this due to the share price being 16.5c when you got in. But investing at this price range can obviously give you very nice gains as highlighted. And you are even getting a dividend!

I had to google IV as that is a new term for me and something I will follow up on.

I like your terminology 'high conviction position' as I have a couple of those and I can see were you are coming from.

So all time high with LBL and very small number of shares on issue will hopefully see you continue to build on those gains.

 

[galumay]

So all time high with LBL and very small number of shares on issue will hopefully see you continue to build on those gains.

Its probably worth pointing out that the illiquidity means that the price can fall just as quickly as it went up! My experience is that you need a specific temperament to invest in illiquid micro caps. While I believe there are significant opportunities for the small retail investor to outperform in this area, you need to be able to weather significant drawdowns and/or long periods of boredom!

 

[galumay]

So up again this week, now a double bagger for me. I continue to fret about adding to my position and while i fiddle it just keeps going up!

 

[barney]

Missed the conversation etc on this one ….Well done @galumay …..

 

[galumay]

LBL released their HY report today and while it documents very good financial perfomance on a srong balance sheet, it would hardly be a surprise to the market, none the less, is up another 12% to 43c.

Its back to better than a double bagger for me, despite averaging up into a bigger position.