RESULT UPDATE - PINCON SPIRIT - SKM EGG - WATERBASE

PINCON SPIRIT LTD

 Pincon Spirit Ltd posted on the blog at 115.50 on 16th May 2015.

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Company has announced March 2015 quarter numbers today as follows.

As seen above: The numbers are way above the expectations. I was expecting full year topline to be around 575 crores and EPS was expected to be around 14.

The company however has reported growth of 80% in the top line and 67% increase in the bottom line.

The annual sales have already reached near 700 crores and Full year EPS is around 17.

For the first time, Pincon has even announced dividend which is great news for shareholders.

At current market price of around 125 the P/E comes at 7 which is extremely cheap for a fast growing company in an overall expensively valued sector.

As a investor i think it is a strong-buy and hold for me.

SKM EGG PRODUCTS EXPORT (INDIA) LTD

   Skm Egg Products Export (India) Ltd posted on the blog at 47.90 on 15th October 2014.

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Company has announced results as follows.

 

As seen above: The full year numbers are great. The quarterly numbers were decent but market was over-expecting a bit from the company which is why the stock has already corrected more than 15% after results.

The company has also announced dividend after gap of five years.

The company has just sent sample assignments to Russia and soon it will actively start exporting to a lot more countries and regions so i think the growth has just started here and a lot of action to happen in future.

With EPS of 8.85 at current price of around 150 the stock is trading at a P/E of around 17 which looks expensive but with the company being a market leader and in a unique business where no listed competitors are there, I think the stock is still undervalued so i am going to hold it for multibagger returns with my eyes set on future growth prospects.

WATERBASE LTD

   Waterbase Ltd posted on the blog at 54 on 19th March 2015.

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Company has announced results as follows.

As seen above: The full year numbers are great. The quarterly numbers were not so great and the market has already punished the stock due to that, But next quarter onwards good growth is expected.

The company has also announced dividend for the first time which will help the sentiment bounce back towards the bullish side again.

Its only listed peer Avanti Feeds too was a 200-300 crore company back in 2011-2012 when shares were trading around 40s and 50s so Waterbase is quite interesting at current valuations and if the management runs the company properly i don't see why they can't become Avanti of the future.
 

With EPS of 5.06 at current price of around 55 the stock is trading around P/E of 10 which is not expensive as only two companies are listed in this field. Avanti Feeds too is trading cheaply at p/e of 12, I am personally expecting both the stocks to rally sooner or later to trade at P/E of 20 and above.

As Daniel Kahneman says: "If owning stocks is a long-term project for you, following their changes constantly is a very, very bad idea. It's the worst possible thing you can do, because people are so sensitive to short-term losses. If you count your money every day, you'll be miserable"

Holding with patience is the right decision here.

Please note: My blog was hacked for a brief period and today i have regained access to it, Sorry for the outage.