Lonestar West Inc. V.LSI

Gravy Jobs and spookey unseen competition

[Aubrey]

Management expressed optomism for Q2 and Q3...via a material increase in requests for bids on pipeline work,...ie. gravy jobs.  When the wheels get turning, these investments in staff and equipment will show a significant payoff .....for years... I like that Lonestar is somewhat insulated from comodity prices, and diversified into infrastucture....also..because.trucks are mobile, as a service , we can go where the money is... 
  The excavation world was transformed by using hydrauiics ..now the nitch market for advanced excavators ...hydrovac ..is growing rapidly. The rapid expansion of LSI was necessary as there are a couple of USA companies who also manufactue equipment..and the USA has great skills and great talent.....so there are possible future service companies comming...but in the distant future.  

Baddger and now Lonestar have an early mover advantage in this enormous service industry. How large is it?   anyone ?  The Americans have started building trucks...search  mud dog   but this development just strengthens our case. ..they are playing catch up. ..we have time on our side .Lonestar is now  branded as a quality service provider..with safety qualifications ..which take time,..and a large fleet...the capacity to bid on multiple pipeline jobs....and infrastructure jobs.  .

The oil and gas sector ...the sweet spot for the energy service sector occurs when both Gas and oil prices remain high....as in over the past 6 mths...just saying .
 My dog and my girlfriend do not take my advise...neither should you.

[PAGODA5]

Your girlfriend and your dog are missing out.  I am not missing out on this opportunity however.    LSI is a revenue story right now.  I am unconcerned about the slight cost increases they witnesses last quarter.  We need to hit the economices of scale Badger has.  Once that happens, cost go down as revenue accelrates.   The cost of making these trucks presents

[PAGODA5]

Peter Imhof on BNN on LSI today Owns a small portion of this. Considers this as a small, mini Badger (BAD-T). Hasn’t done very well, but is starting to do a little better over the last couple of months. Originally they were going to build a hydrovac company similar to Badger. Raised some money, but the last couple of quarters have not been very good where Badger has come out with excellent

[resourceful701]

If I recall he also said to give it a couple of quarters before investing ie wait and see what they do in the mean time. Another guest said Badger was still the better investment.  

[PAGODA5]

First clip in the video.   https://watch.bnn.ca/#clip1084327 Badger is the number one company in the sector, no doubt, but there is so much opportunity for Lonestar to gain market share if they execute.  I thinki they will execute and I would rather buy now and take the gains before everyone piles in.   You have to like the way LSI is trading in this very choppy market.