Whopper Investments
Deep value, special situations, event-driven, arbitrage

Is It Time To End A Pleasant Day At The Lake?

Editor's note: at time of publication, this article incorrectly stated that the interest rate floor on the Sr. financing is 11.25%. This error has since been corrected; the actual floor is 6.25%.

Late last week, Lakeland reported blow out quarterly results that sent the stock up 35% in the day. Investors who took my advice and bought the stock at the beginning of June have been rewarded with a quick 50%+ return.

But all that's in the past. The question is if shares continue to make sense at today's price of $5.60.

There's certainly an argument to be made that the shares are cheap. Adjusted for warrants, book value per share sits over $8.50 per share. Excluding the troublesome Brazil

...
Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
WITH SEEKING ALPHA PRO, INVESTORS CAN ALSO:
  • Access Top Ideas, chosen by Seeking Alpha’s editors
  • Filter long and short ideas by market cap and sector
  • Get Coverage of over 5,000 stocks, many of which have little or no coverage elsewhere
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO." Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else." Patrick Rice, Mainstay Capital Management
100% Satisfaction Guaranteed
Money back guarantee. Seeking Alpha PRO members receive a no-questions-asked refund for membership on months paid and not used. Details