Why I Just Bought the Pullback in nLIGHT (LASR)

As you know, my investment playbook is inspired by Peter Lynch. I am constantly on the hunt for under-the-radar companies with the right ingredients to become stocks that can grow 10 times my initial investment.

The recent pullback in nLIGHT (NASDAQ: LASR) presented a nice buying opportunity. While casual investors often panic when a high-flying stock drops 25% from its peak, a closer look reveals that nLIGHT fits the tenbagger recipe. As a specialized leader in high-performance semiconductor and fiber lasers, the company provides the essential "picks and shovels" for two massive, long-term structural trends: the modernization of advanced manufacturing and high-energy directed-energy systems for global aerospace and defense contracts.

Financially, nLIGHT possesses the resilience and runway required to scale, boasting over $330 million in cash to fund its expansion out of lower margin legacy sectors. Prominent institutional funds have already begun increasing their stakes, signaling strong conviction during market dips. By ignoring short-term volatility and establishing my small position at $65 instead of chasing the $86 peak, I secured a stake in a fundamentally strong, $3.6 billion small cap company whose long-term growth story is just beginning to unfold. Will continue to add to my position if the price dips further.

Disclaimer: This post is not financial advice. Always do your own due diligence.