Laser Photonics Corp LASE has soared past its initial public offering (IPO) price. In the last month Laser’s stock value has increased by over 215% at time of writing, to cap off a year when other microcaps have been suffering.
There are several features that traders and investors often pay attention to when looking for microcap companies that perform well, including whether the company trades on a major exchange, if it indicates significant and continued growth over time and reports positive earnings data.
Laser Photonics - which trades on the NASDAQ stock exchange - has seen robust stock value increase, and closed out the first month of 2023 at $5.23. The company, which produces a variety of photonic-based industrial products, has a market cap of over $42 million. The vertically-integrated laser company has a special focus on laser cleaning technology and works with both private and public companies. Its laser technologies range from 3D printing and engraving to laser-blasting brand CleanTech. Its clients include Fortune 1000 leaders and the U.S. military.
LASE Showing Resilience In Photonics Industry
The company made its IPO at $5 in September 2022, with an offering of 3 million shares. Within two weeks of its IPO, Laser first saw a sharp dip and then a sudden rise.
The stock got a lift from several key announcements in 2022. The company got an order with the U.S. Navy for its hand-held, industrial-grade LPC-1000CTH CleanTech Laser Blasting System. This was followed by the announcement that Coca-Cola Co. KO started using the CleanTech Handheld LPC-50CTH Laser at its manufacturing facilities — news that saw another increase in stock.
It also received a major order from North America’s largest glass manufacturer, Vitro Architectural Glass, in mid-December. Vitro made an order for Laser Photonics’ CleanTech laser systems as a cost-effective solution for cleaning their products - an announcement that received a positive reaction in the market.
Since the New Year Laser Photonics has seen a steady climb in stock value. This was boosted by the board of directors announcing a $2 million share buy back in mid-January.
The company raised $12 million at the original IPO, and has seen improvement in its finances and bottom line since then. Wayne Tupuola, chief executive officer, said, “With approximately $1.50 per share in cash, no debt and profits, we believe the stock is significantly undervalued. Given this gap in perception, our board of directors has approved a 2 million share buyback.”
The company's ability to generate such a significant increase in stock value over a short period of time could be seen as an indicator of company health. It may suggest a bright future for the company as it sets the standard for laser products in the industrial cleaning industry.
Other companies involved in the laser-technology market include Lumentum Holdings Inc. LITE, CyberOptics Corp. CYBE and IPG Photonics Corp. IPGP.
To learn more about Laser Photonics, visit its website.
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