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saur9681

09/14/11 9:22 AM

#4974 RE: Scandle34 #4970

These acquisitions are extremely accretive to the company, but they've yet to prove they care about the shareholders. You're absolutely right though, how dare they increase their capacity by 80%! GRRR. However, they've yet to throw us a bone ( a tiny dividend) which is probably the underlying reason this stock isn't higher right now. Look at companies like DEER and AERL for example; they have dividends and have better valuations. DEER has a P/E of about 4.5 and AERL has a P/E of around 4. I know those valuations aren't that great, but they're a helluva lot better than 1.5. Give LPH a 4 P/E and we're selling for $4 next year. This is why I hope they hold off on the next acquisition until they initiate some sort of share repurchase program or initiate a dividend. Get the shareholder on board, improve the valuation, and you'll get further institutional backing. And the bone doesn't even have to be that big to achieve this.