One million shares
Company positives:
Positives
-Real Pinkie with real income. “Please come visit”attitude with an operation and personnel that love to have investors get a feel for them. This isn’t just a great idea with a great potential product. They are producing in some areas right now.
-Initial Income base created in 97 with a gravel pit
Yabba Dabba Doo.
-Blue collar firms adding fringe income Const, Pools, Trucking etc. Not a get rich quick scheme.
-Smart they limit headaches and liabilities of business by subcontracting personnel ie Truck drivers, Investor Relations etc
-Super location. Sadly for New Orleans, PBLS’s services are being sold at a premium and for many years to come. Those of you that talk of selling the sand and gravel entity are beyond nuts. This isn’t a glamorous business but it will always provide a stable steady income flow. That cash can provide super credit, income for management and staff, cash for other income businesses.
-Great reputation locally (New Orleans area) just signed binding agreement with another local firm in Covington for 185 mil. Would you cast your lot with the local Pawnbroker or PBLS. No offense to any Pawnbrokers.
-CEO Family man. (See “We’re Back” PR after Katrina. He’s made good money the past 8 years or so. Has leveraged that money. What soul in his right mind would risk it all by perjuring himself in public and risking a very nice existing income, his family and their reputation.
-Oil & gas will always be a warm to hot sector. Need for it is not going away for many years. With all the new buyers in this world , it’s a sellers market.
-Share buy back. Much like the oil situation, the supply and demand is on the longs side.
-No debt. Name another Pinky with no debt, 8 years of income and almost 1 billion in assets with gravel and oil.
-Repeated intention of getting on a reputable Board within 7 months.
-Having oil and gas extraction along with pipes and logistics is a synergistic business concept that makes sense.
Negatives-
-Does anyone really know the OS?
-How much was paid out to get the Progas deal? It sounds like an old Sergeant on “Hogan’s Heros’ I know nosing. In five years are five billion shares hitting the market?
-No audits and no data certified by one of them their CPA guys. Trust me on these numbers.
-I believe it ran so hard and fast the MM’s did get caught with their knickers down and are leveling the books. This may take a while to rectify. No short term runs IMHO. We may get sucked a whole lot lower so they get shares from us nervous nellies trying to preserve our capital.
-Oil unlike sand and gravel is a tricky business. They may project oil in certain locations but do they really know if it’s there? How long will Kentucky last? If it’s so great, why didn’t a larger entity in the oil usiness tap into the Wyoming field?
Bottom line. You have a Grandpa with his son working at a business together. He loves living in New Orleans and has established a solid business. He went into this business with a couple of buddies. The guy is a real person with good relationship skills. There don’t appear to be any fallings out with the Buddies. Partnerships are like a marriage and he has done well with this. He has made some excellent decisions in the past with materials and construction entities. Without going into debt, he has acquired and partnered with new groups. He seems to be trying to maintain the float at a reasonable level. He has never done a reverse split on stockholders in 8 plus years. He is the key to the entire puzzle. How is his health? It good or his kid is learning from Pop, this could be a real winner for a lot of patient people.
This post is an opinion and should not be considered reason to buy or sell any security, or to besmirch, belittle or berate any person, religion, cult, creed, race, sex, political party, company or company representative of any age or appearance.
