6/4/24 - $lake - interesting/ cheap, just not my flavor6/4/24 - vrockstar - NASDAQ:LAKE - seems like a decent placeholder for cash, but that's just not my style - don't see a big pop potential like tech/discretionary which is where I do most of my work. but at $1.5 eps power next year, clean balance sheet and super low double digit PE (10-11x) growing earnings (in theory), generating cash enough to give you minimally MSD and at best HSD yields, not bad. commenting here mainly for my records, but don't disagree if you hold this - i just don't see the massive upside potential all else equal.
LAKE trade ideas
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$LAKE Deep Dip and Flip Pandemic pt.2$LAKE is finally pulling back a bit now getting towards support in a big way. Price is falling quite hard so by no means am I interested in the first approach (unless extremely strong) but, if there is a pandemic part two that shows its ugly face in the nearer future, this could go nuts again.
Lakeland Industries undervalued at current priceConsidering the strong earnings reported in the most recent two quarters, LAKE has proven to be managing its position during this pandemic very effectively. A summary from the latest conference call on earnings does well to explain their situation:
"The takeaways for Lakeland are that we have developed a resilient and flexible global manufacturing platform, a diversified and expanding customer base, growing brand power for high-quality competitively priced PPE, and exceptional balance sheet and an operating model with tremendous leverage".
Short interest in the stock is high, as investors see the boom in PPE related companies to be unsustainable and overdone, putting downward pressure on the SP.
It's my opinion that this opportunity will put the company in a strong financial position, and will be reflected in the medium and long term prices, potential short squeeze in the shorter term from news catalysts.
A PPE company that I am watchingI have had my eye on this company for a while. It's been making PPE for 30+ years and is arguably one of the first to the industry. They've had a long road of trying to master their craft. Some recent transformations may have finally had them turning the corner after having a record quarter.
I am watching this closely for an epic breakout. I should forewarn something with this post though: this company has disappointed before as you can see. It's never broken out before. Will this time be different? Will the new CEO and CFO turn it around? Time will tell.
$LAKE Back in Gear Following Booming EPS DataLAKE is ripping once again as the virus data picks back up. The stock broke above a key zone marked by the boundaries of a clear symmetric triangle on blow-out earnings earlier this month.
The bears worked to contain the move. But they have apparently failed at this point. On the radar.
$LAKE breaking out$LAKE looks to be trying to break out to new all time highs. Looks like larger inverse head and shoulders pattern. With increasing demand for PPE hear their last quarter revenue growth was 85% Q/Q. With the trend continuing in the future this increase in revenue is supportive of setting new highs.
$LAKE Have sales matched the P/E
The Once heavily traded COVID stock has now taken somewhat of a backseat as the markets have rallied,
will be interesting to see have the sales lived up to the now elevated P/E
P/e ratio quite high at 33
Short interest high at 19%
Company profile
Lakeland Industries, Inc. engages in the manufacture and sale of safety garments and accessories for the industrial and public protective clothing market. Its products include disposable protective clothing, chemical protective clothing, woven protective clothing, fire protective gear, heat protective clothing, reflective protective clothing, hand and arm protection, arc or fire retardant rated rainwear, and fire retardant protective clothing. The company was founded in April 1982 and is headquartered in New York, NY.
LAKE Inv. H&S on 200 MADaily:
-Consolidation supported by 200 day EMA (also seen on 200 SMA)
-VWAP from peak has been consistent resistance
1HR:
-Easily seen symmetry playing out in Inv. H&S/Rounding bottom bullish reversal
-Wedge forming above gap filled area of support
-Price finding support on 1HR atop converging EMAs. 50 EMA soon to cross 200 EMA, price is likely to be pushed higher, specifically given prior price action on 5/29 and 6/2 where the 50 EMA acted as strong and rising support level
Bullish as long as price remains above the gap area (>$14). I am looking for breakout of wedge/pennant on 1HR to enter this trade, I will place sell order for 1/2 position at the VWAP level.
$LAKE a Technical "Rerun" as Shares Revert to Familiar TerritoryLAKE shares have a clear history of finding a bid as disease outbreak fears rear up, with the last big spike occurring in 2014 when Ebola came back into the headlines in a scary way. Now, we see a similar dynamic.
The technicals don't make much of a case here.
$LAKE ready to runLAKE has one last upward trendline to rule them all dating back to December 2019.
Bullish divergences on the 4 hour and hourly.
MACD crossing bullish on the 4 hour (bottoming on the daily).
Daily sitting right on the 200 EMA.
I would not be surprised to see a shakeout Monday/Tuesday down to the 200 MA at 12.50 before this thing runs.
A close today at 13.40+ would be the clincher for me.
Invalidation point for me would be a close below that 200 MA at 12.50.
Targets: 16 then 18 dollars
LAKE IND into earnings Lakeland Industries, Inc. engages in the manufacture and sale of safety garments and accessories for the industrial and public protective clothing market. Its products include disposable protective clothing, chemical protective clothing, woven protective clothing, fire protective gear, heat protective clothing, reflective protective clothing, hand and arm protection, arc or fire retardant rated rainwear, and fire retardant protective clothing. The company was founded in April 1982 and is headquartered in New York, NY.
$LAKE could be a big mover on earnings and forecast Lakeland Industries, Inc. (LAKE) (the "Company" or "Lakeland"), a leading global manufacturer of protective clothing for industry, healthcare and to first responders on the federal, state and local levels, will release its financial results for the fiscal 2020 fourth quarter ended January 31, 2020, on Wednesday, April 15, 2020, after the closing of the stock market and will conduct a conference call thereafter on the same day at 4:30 p.m. eastern.
The conference call will be hosted by Charles D. Roberson, President and CEO, and Allen E. Dillard, Chief Financial Officer. Investors can listen to the call by dialing 844-369-8770 (Domestic) or 862-298-0840 (International). For a replay of this call through April 22, 2020, dial 877-481-4010, Pass Code 33950.
About Lakeland Industries, Inc.:
We manufacture and sell a comprehensive line of industrial protective clothing and accessories for the industrial and public protective clothing market. Our products are sold globally by our in-house sales teams, our customer service group, and authorized independent sales representatives to a network of over 1,600 global safety and industrial supply distributors. Our authorized distributors supply end users, such as integrated oil, chemical/petrochemical, automobile, steel, glass, construction, smelting, cleanroom, janitorial, pharmaceutical, and high technology electronics manufacturers, as well as scientific, medical laboratories and the utilities industry. In addition, we supply federal, state and local governmental agencies and departments, such as fire and law enforcement, airport crash rescue units, the Department of Defense, the Department of Homeland Security and the Centers for Disease Control. Internationally, we sell to a mixture of end users directly, and to industrial distributors depending on the particular country and market. Sales are made to more than 50 countries, the majority of which were into the United States, China, the European Economic Community ("EEC"), Canada, Chile, Argentina, Russia, Kazakhstan, Colombia, Mexico, Ecuador, India, Uruguay and Southeast Asia.
Lakeland Industries, IncEVERY TRADE IS DANGEROUS IN THE CURRENT MARKET, DON'T GO CHASING LOSSES.
Lakeland Industries, Inc. engages in the manufacture and sale of safety garments and accessories for the industrial and public protective clothing market. Its products include disposable protective clothing, chemical protective clothing, woven protective clothing, fire protective gear, heat protective clothing, reflective protective clothing, hand and arm protection, arc or fire retardant rated rainwear, and fire retardant protective clothing. The company was founded in April 1982 and is headquartered in New York, NY.