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Logical Thought
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My name is Mark B. Spiegel and I'm the Managing Member of Stanphyl Capital Management LLC. I can be reached at: mark (at) stanphylcap (dot) com. My Twitter feed is @markbspiegel
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I don't have a blog, but here's a link to a WSJ article regarding my thoughts on the "flash crash"
  • I'm Long LOX.V (Lorex Technology) 10 comments
    Jun 24, 2012 9:13 AM | about stocks: LOXFF

    This company is growing well over 20%/yr. and I think it could make .15/share this year, which would put the current PE at only around 6.

    Disclosure: I am long OTC:LOXFF.

    Additional disclosure: I am long LOX.V, LOX:CA, LOX:CN (These are the various tickers used for Lorex on the Canadian Venture Exchange.)

    Themes: microcap, Canada Stocks: LOXFF
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  • WallStreetDebunker
    , contributor
    Comments (2276) | Send Message
     
    LOX had an unusually large increase in revenue last quarter. Any idea why?

     

    Also, many of their consumer products on Amazon have slightly lower average customer ratings than their competitors' products. Do you know if competitors like Motorola saw a similar increase in revenue for comparable products? LOX doesn't seem to have a price advantage, and Motorola has the benefit of a strong brand name. I'm trying to understand how LOX is getting traction in a competitive industry.
    25 Jun 2012, 05:17 AM Reply Like
  • Logical Thought
    , contributor
    Comments (4225) | Send Message
     
    Author’s reply » 1) Part of last quarter's 50% year-over-year revenue increase was probably due to higher pricing as the company passed along higher disk drive prices due to the flooding in Thailand, while the balance of the revenue increase was due to outright growth. Remote monitoring is a VERY hot sector, and within that sector these guys seem to be gaining market share. However, I certainly don't think 50% gains are sustainable, and that's why my little "Instablog blurb" here says only "well over 20%" growth.

     

    2) Yes, I've seen the Amazon ratings, as well as a number of reviews in various media outlets. The bottom line is that for the most part these guys build "a decent product at a great price," rather than a "great product at a higher price." As most of their business is on the consumer side (they also have a "pro" line that makes up a much smaller percentage of revenue) and consumers aren't exactly flush with cash these days, I'm okay with that. Also, they're continually innovating; check out the new line of hi-def sports cameras featured on the front page of their web site: http://bit.ly/OeYIwK

     

    The guy who runs the company owns 20% of the stock. He's 74 years old and built his last company (a wholesale consumer electronics business) into a multi-hundred million dollar business and then sold it. Lorex strikes me as great pure-play acquisition in a hot sector, and I expect that at some point a much larger company looking for entry there will come along and snap them up (although I also suspect that management is no hurry to sell while the company is growing as quickly as it is). Meanwhile, this is just about the cheapest high-growth company I can find anywhere.
    25 Jun 2012, 06:50 AM Reply Like
  • Logical Thought
    , contributor
    Comments (4225) | Send Message
     
    Author’s reply » Interesting new product:
    http://yhoo.it/NmYS6i
    14 Aug 2012, 09:02 AM Reply Like
  • carbuffalo
    , contributor
    Comments (3) | Send Message
     
    $LOXFF I am long Lorex and agree it looks like an undiscovered low PE high growth stock. I think some small Cdn investment houses are accumulating in blocks. Difficult to buy at your price due to low liquidity but should be over $1 very soon.
    16 Aug 2012, 04:13 PM Reply Like
  • Logical Thought
    , contributor
    Comments (4225) | Send Message
     
    Author’s reply » Hi carbuffalo,

     

    Yes, there were a few blocks bought this past week (and also last month) by a Canadian firm (with which I'm not familiar) called PI Financial. There does seem to be SOME stock for sale, but only at incrementally higher prices; i.e., "the bid" doesn't seem to get hit much, and if one wants to buy it in size, one seems to need to pay the "ask."
    17 Aug 2012, 08:26 AM Reply Like
  • calmneasy
    , contributor
    Comment (1) | Send Message
     
    Your company will take a good hit, once the word gets out that you don't allow negative comments to be posted on your products.
    8 Oct 2012, 03:33 AM Reply Like
  • Logical Thought
    , contributor
    Comments (4225) | Send Message
     
    Author’s reply » calmneasy,

     

    I agree that if they did this it would be uncool, but it's why I never rely on ANY company's product ratings on its own web site. There are hundreds of ratings on AMZN for these guys, and to my eye they seem to average around 3.5 stars, which is pretty solid. I've always thought of Lorex building a good product at a great price, rather than "the best thing out there" at an expensive price.
    8 Oct 2012, 11:55 AM Reply Like
  • Logical Thought
    , contributor
    Comments (4225) | Send Message
     
    Author’s reply » FLIR is buying LOX for $1.30... Way too cheap!
    http://mwne.ws/WL9rU0
    25 Oct 2012, 07:54 AM Reply Like
  • WallStreetDebunker
    , contributor
    Comments (2276) | Send Message
     
    Congratulations! I'm curious as to how you found out about a company as obscure as LOX. There are not many advisors who dig deep enough to find gems like this one. Kudos to FLIR management too for getting a good deal.
    25 Oct 2012, 12:42 PM Reply Like
  • Logical Thought
    , contributor
    Comments (4225) | Send Message
     
    Author’s reply » Thanks. Believe it or not, their IR firm came to me with the idea. I get things thrown at me all day long by IR firms and I'm very naturally skeptical about them-- especially re. a company listed on the TSX Venture exchange. But the amazing numbers and easy to understand story caught my eye, and when I checked the filings and saw that they had a "real" auditor, I dug in.

     

    P.S. I've been reading your various comments on the housing stocks and they're absolutely hilarious!
    25 Oct 2012, 02:17 PM Reply Like
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