I know, i know, this is LNR board but after reading this post on DRX board and doing some research i agree that DRX will double again before year end even thought it is up 70% in the last 7 weeks. I just bought a few shares at the opening. Call me a pumper but i will get back to you in a few weeks.This stock trades at crazy low multiples.I posted this on a few other board.When investors see realize the impact of this new automated line on the results of DRX, then the valuation will be more in line with a company that will earn close to $1 / share Be curious and do you own DD. Have a look at their web site. You will see a video of their new one of a kind in north america automated welding line with 4 robots.what use to take 6 employees now take only one. DRX web site Accueil - Groupe ADF inc. (adfgroup.com) Here is the posting on DRX board DRX is up 70% in the last 7 weeks.
Being so illiquid and with such a tiny float(15,924,000 shares) this company is only followed by small investors like me.
Eventually,some investors that got in bellow $2.25 will want to lock in their profits.
This will create some pressure on any stock that his so illiquid and has so few followers.
But this company as transformed itself to a very profitable one and that is mostly unknown
because DRX is a small cap not followed by institutionnal investors
We are only in the first inning of a tremendous upward move.
I agree with Micro, DRX will make 80 cents / share this year if not more and i think with
the huge margin increases cause by their new Zebau automated line and with the huge sale increases, they could make more than $1 in 2024.
This company has a pristine balance sheet and it still trades bellow book value( but
not for long).
It will take a few months but with each new contract announcement and with the next few earning
announcement, the stock will pop.It will be an eye opener for investors.
The higher it will go, the more attraction it will get.
It’s always the same...
So ask yourself, what price would you be willing to pay for a company that will earn 80 cents or more this year and more that $1 next year.Certainly not $3.82.
DRX will once again double if not more within a year.In the recent CC,management said that an annoucement for another automated line could come as soon as Q3.Adding a smaller Zebau line in Montana will happen with all the success that the first line is giving them in Terrebone.
The lack of skilled employees will not improved in the short term and having these highly productive lines will propel DRX to yet another level.
Again, for patient investors like me who are not traders but investors time does wonders.
Talking about battery plant,since april there are strong rumours about a Swedish company(Nortvolt) going to build a 5.3US or 7 billion CDN plant in Saint Basile le Grand QC. DRX is actualy building 2 battery plant in Michigan.So if they can win contracts in Michigan with all the cost of transportation of the steel, can you imagine bidding on a $7 billion contract that will be located 44 km from their Terrebone plant. In this shortage of specialized workers(welders),company that will succed the most are the one
that are automating themself.The automation give them a huge edge on their competitors
and that is what DRX as done.They had the vision to be the first and so far the only north american
company to have this huge welding automated line that take only one six of time to weld vs the
old traditional way. Every were we look, they are lots of new construction to be build(New arena, airport, manufacturing and wharehouses..)
With the onshoring, infrastructure bill and new EV and battery plants being announced,
DRX is in the sweet spot for the next few years.They will have more contracts opportunity then what they can do.
Here are the links to the news, one in english from yesterday and one in french from april Northvolt nears deal with Canada on $5.3bn battery plant (thenationalnews.com) Filire des batteries | Le Qubec sur la liste de Northvolt | La Presse
