Laserbond Limited (LBL) AI Stock Analysis

• Market Cap: AU$42.94M
• Dividend Yield: 3.29%
• Average Volume (3M): 124.45K
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.91
• Revenue Growth: 4.36%
• EPS Growth: -38.12%
• Country: AU
• Employees: 147
• Sector: Industrials
• Sector Strength: 92
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): <0.01
• Shares Outstanding: 117,651,990
• 10 Day Avg. Volume: 164,177
• 30 Day Avg. Volume: 124,455
• PEG Ratio: -0.82
• Price to Book (P/B): 1.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 13.84
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: AU$0.62
• Price Target Upside: 72.22% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 77 Outperform
• Price Target: AU$0.50 ▲(38.89%Upside)

Laserbond Limited scores well due to its strong financial performance, highlighted by consistent revenue growth and efficient cash flow management. Technical analysis supports a positive short-term outlook, with favorable market momentum indicators. The valuation is reasonable, providing a balanced risk-reward profile. The absence of recent earnings call data and corporate events does not impact the overall assessment significantly.

Positive Factors

Earnings Growth

Management expects sustainable double-digit growth in earnings, driven by national expansion and increasing technology adoption.

Market Expansion

The US expansion is de-risked by several large customers requesting a local manufacturing base, enhancing market reach and customer satisfaction.

Revenue Streams

75% of LBL’s revenue is derived from its proprietary technology in laser cladding systems, significantly boosting its financial stability.

Negative Factors

Operational Costs

The need for a local US manufacturing base, while beneficial, could potentially increase operational costs in the short term.

Regulatory Challenges

Tightening ESG requirements in heavy industries may pose challenges, although they also present opportunities for Laserbond's remanufacturing services.

Laserbond Limited Business Overview & Revenue Model

Company Description

LaserBond Limited, a surface engineering company, engages in the development and application of materials, technologies, and methodologies to enhance operating performance and wear life of capital-intensive machinery components in Australia. The company offers composite carbide steel mill rolls; and drilling tools. It also provides laser cladding, welding, machining, heat treatment, metallurgy laboratory, surface coating, remanufacturing, and vacuum heat treatment services, as well as thermal spraying, hard facing, and polymer coating services. In addition, the company licenses its surface engineering technologies. It serves mining, drilling, mineral processing, power generation, transport and marine, plant and machinery, manufacturing, fluid handling, and agriculture industries. The company was incorporated in 1992 and is headquartered in Sydney, Australia.

How the Company Makes Money

Laserbond Limited generates revenue through the provision of its surface engineering services, which are tailored to meet the specific needs of industries such as mining, manufacturing, and transport. The company earns income by offering customized solutions that extend the lifespan and efficiency of industrial components, thereby reducing maintenance costs for its clients. Additionally, Laserbond may engage in partnerships and collaborations that expand its technological offerings and market reach, further contributing to its revenue streams.

Laserbond Limited Financial Statement Overview

Summary

Overall, Laserbond Limited is in a strong financial position, exhibiting consistent revenue growth, solid profitability, and efficient cash flow management. While there are concerns regarding the slight decrease in EBIT margin and increased leverage, the company's robust equity position and efficient cash generation capabilities suggest a stable financial trajectory.

Income Statement

Laserbond Limited demonstrates strong financial performance with consistent revenue growth over the years, highlighted by a 8.72% increase from 2023 to 2024. The company maintains solid profitability, with a gross profit margin of approximately 51.54% and a net profit margin of 8.39% in 2024. However, there was a slight decline in EBIT margin from 17.52% in 2023 to 14.01% in 2024, indicating a potential area for operational improvement.

Balance Sheet

The balance sheet reflects a healthy equity position, with stockholders' equity representing 63.36% of total assets in 2024. The debt-to-equity ratio stands at 0.35, showcasing manageable leverage. Return on equity is robust at 9.17%, driven by solid net income. However, the increase in total debt raises caution for future leverage risks.

Cash Flow

Laserbond Limited's cash flow statement is favorable, with a strong operating cash flow to net income ratio of 1.90 in 2024, indicating efficient cash generation from operations. The free cash flow to net income ratio is 1.67, reflecting effective capital expenditure management. Despite a decline in free cash flow from the previous year, the company maintains a solid cash position.

Breakdown
TTM	Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
42.00M	41.98M	38.61M	30.71M	24.66M	22.18M
	Gross Profit
21.16M	21.64M	11.75M	9.29M	6.19M	6.55M
	EBIT
7.98M	5.88M	6.76M	5.68M	3.01M	3.81M
	EBITDA
6.21M	9.54M	10.26M	8.68M	6.38M	6.19M
	Net Income Common Stockholders
2.87M	3.52M	4.76M	3.63M	2.84M	2.81M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.19M	5.76M	8.93M	5.68M	4.91M	4.00M
	Total Assets
60.42M	60.67M	51.83M	44.50M	29.53M	23.60M
	Total Debt
12.67M	13.56M	11.83M	9.29M	10.70M	8.48M
	Net Debt
8.48M	7.80M	2.90M	3.60M	5.79M	4.48M
	Total Liabilities
21.63M	22.23M	20.76M	17.00M	15.27M	11.37M
	Stockholders Equity
38.79M	38.44M	31.07M	27.51M	14.26M	12.24M
Cash Flow		Free Cash Flow
3.48M	5.88M	6.38M	2.35M	4.31M	3.66M
	Operating Cash Flow
4.14M	6.71M	7.70M	4.24M	4.76M	4.26M
	Investing Cash Flow
-5.57M	-5.78M	-1.33M	-10.86M	-1.27M	-594.01K
	Financing Cash Flow
-4.58M	-4.09M	-3.13M	7.37M	-2.58M	-1.86M

Laserbond Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.36
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:LBL, the sentiment is Negative. The current price of 0.36 is below the 20-day moving average (MA) of 0.39, below the 50-day MA of 0.39, and below the 200-day MA of 0.50, indicating a bearish trend. The MACD of -0.01 indicates Positive momentum. The RSI at 40.53 is Neutral, neither overbought nor oversold. The STOCH value of 11.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:LBL.

Laserbond Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LBL	77 Outperform	AU$42.94M	14.60	8.11%	3.29%	4.36%	-38.12%
Sector *	66 Neutral	$4.50B	12.28	5.32%	248.52%	4.13%	-12.36%
FRCEF		$2.03B	―	-1.32%	―	―	―
27P		€153.97M	8.32	5.38%	―	―	―
QCKSF		$26.78M	―	7.36%	―	―	―
SNC	75 Outperform	AU$116.07M	7.25	13.15%	6.73%	-13.51%	-9.61%
AMC	68 Neutral	AU$32.09B	16.39	20.24%	5.62%	-1.42%	25.16%

Laserbond Limited Corporate Events

LaserBond Announces Interim Dividend and Director’s Share Acquisition

LaserBond Limited has announced the payment of a fully franked interim dividend of 0.4 cents per share to its shareholders. Additionally, the company disclosed a change in the director’s interest, with Philip Suriano acquiring 5,330 shares through the Dividend Reinvestment Plan, reflecting continued confidence in the company’s financial health and strategic direction.

Laserbond Limited Announces Quotation of New Securities on ASX

Laserbond Limited has announced the application for the quotation of 320,482 ordinary fully paid securities on the ASX, issued under a dividend or distribution plan. This move is indicative of the company’s strategic efforts to enhance its financial positioning and shareholder value, potentially impacting its market presence and stakeholder interests positively.

Laserbond Limited Confirms Dividend Reinvestment Plan Price

Laserbond Limited has announced an update regarding its dividend distribution, confirming the Dividend Reinvestment Plan (DRP) price. This update pertains to a six-month financial period ending on December 31, 2024, with key dates including a record date of March 7, 2025, and an ex-date of March 6, 2025. This announcement reflects the company’s ongoing commitment to shareholder returns and may influence investor sentiment positively.