RE:Lonestar West – Record Revenues And EBITDAC In 2014The numbers are impressive to say the least especially given the current environment. Kudos to managemement. Lonestar deserves a higher multiple similar to Badgers.
Analyst Elias Foscolos, from Industrial Alliance Securities updated coverage on Lonestar on April 24th ahead of yearend reporting, noting that Lonestar’s current trading price is the approximate replacement cost of its fleet. Mr. Foscolos also made an interesting comparison to Lonestar’s largest competitor, Badger Daylighting (T.BAD) and its EV (enterprise value)/truck multiple valuation where Lonestar is $580,000 while Badger’s multiple is $1,130,000. Industrial Alliance rates Lonestar as a STRONG BUY with a 12 month target at $3.75 per share, more than a 75% return based on today’s trading price.