tag:blogger.com,1999:blog-41788017663961011422024-03-07T01:31:59.004+05:30BEST INVESTMENT PICKS, VALUE PICK, HIDDEN GEMS, MULTIBAGGER TIPS FOR INDIAN STOCK MARKET.Disclaimer: This Blog, its owner, creator / contributor is not a research analyst and expressing opinion only as an individual investor in Indian equities. He/She is not responsible for any loss arising out of any information, post or opinion appearing on this blog. Investors are advised to consult financial consultant before acting on any such information.
All information in this blog is posted for personal study, All information posted on blog is as available in public domain.The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.comBlogger166125tag:blogger.com,1999:blog-4178801766396101142.post-47621477742621822652019-12-19T10:24:00.001+05:302019-12-19T10:24:59.564+05:30Sterling & Wilson Solar Ltd - Techno Funda Pick<div dir="ltr" style="text-align: left;" trbidi="on">
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<img alt="Image result for STERLING WILSON SOLAR" height="198" src="data:image/jpeg;base64,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" width="320" /></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<br /></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
NSE: <b>SWSOLAR</b></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
CMP: <b>319</b></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
SL: <b>280</b></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
TARGET: <b>400 & 490</b></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
RISK: <b>12%</b> - REWARD:<b> 24% & 52%</b></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
The promoters of the Company are <b>Shapoorji Pallonji and Company Pvt Ltd</b> and Khurshed Yazdi Daruvala.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
SW Solar is engaged in providing Solar engineering, procurement & construction (EPC) solutions.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
The company according to IHS Markit is the world's largest Solar EPC Solution Provider with presence in almost 30 countries.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
For FY 2019 company had revenues of 8240 crores, with net profit of 639 crores.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
The stock currently trades at a Market Cap of 5100 crores (Mcap/Sales of 0.61) and P/E of 8x.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
Sterling & Wilson Solar IPO opened in August 2019 at an issue price of 780 and the stock listed around 700.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
Post that the stock was marred with rating downgrades for the group over delay over loan repayment, The management during the IPO had promised to repay debt of 1000 crores it had taken as a loan (ICD) from SW Solar which will reduce 1000 crores out of total debt of about 2200 crore on the books of SWSOLAR by CY 2019 end.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
Due to group level liquidity crunch the management sought more time to repay the loans and said to be working on a new schedule of repayment.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
Due to such uncertainty over repayment of loans the stock price heavily corrected, SW Solar crashed from around 570 at start of November to about 245 at the start of December.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
As known Shapoorji Pallonji's wealth remains locked in shareholding of Tata Sons and the Ratan Tata v/s Cyrus Mistry (son of SP Group chairman Pallonji Mistry) boardroom scuffle has resulted in bitter relationship between the two groups.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
<a href="https://www.business-standard.com/article/companies/shapoorji-offloads-rs-397-cr-tcs-shares-to-strengthen-its-balance-sheet-119121300016_1.html">Recent media reports</a> suggested that the SP Group sold shares in TCS worth almost 400 crores, Now the NCLAT came out with a ruling in Cyrus Mistry's favour seeking to re-appoint Mistry as the Exec Chairman of Tata Group and if at all any announcements on Re-Payment of SW Solar loan comes there will be a huge bounce-back for the stock.</div>
</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<b>Funda</b>:</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
- Cheap valuations</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
- World's largest SOLAR EPC player</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
- Good financial performance delivered</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
- SP Group despite downturn remains a strong promoter group.</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<b>Techno</b>:</div>
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiUTUMuLKds2n3R_iEYHrQvdVbR5WNF2S42VCe6A4amRuiafdSL6yCZq2BZCSq30bF54aj27SZZiVxbatvrAPXI1yEfVSzsSfcBxVnMPDjB8b-UgF1sFWfcZOAHVBTZCNbXzxsLq4b8Uws/s1600/swsolar.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="535" data-original-width="1035" height="330" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiUTUMuLKds2n3R_iEYHrQvdVbR5WNF2S42VCe6A4amRuiafdSL6yCZq2BZCSq30bF54aj27SZZiVxbatvrAPXI1yEfVSzsSfcBxVnMPDjB8b-UgF1sFWfcZOAHVBTZCNbXzxsLq4b8Uws/s640/swsolar.png" width="640" /></a></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<br /></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
The stock as said has gone through heavy correction, the fall has been vertical and has left a lot of gaps on the charts, Since we are punting on a turnaround in fundas, the techno gap-filling at 400 and 490 can happen, The highest single day volume post listing day was at lower levels close to 259, Recent lows of 290 should act as technical support which is why our SL is placed at 280 with a target of 400 and 490 in the next 20 trading sessions.</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<br /></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; color: #444444; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<span style="font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</b></span></span><br style="font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b><br /></b></span></span><span style="font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></span><span style="font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: “Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</b></span></span><br style="font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b><br /></b></span></span><span style="font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></span><span style="font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Disclosure: It is safe to assume that i might have Sterling & Wilson Solar Ltd in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</b></span></span></div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-53571700446137534332019-12-18T16:11:00.002+05:302019-12-18T16:14:14.549+05:30Techno Funda - We Are Back<div dir="ltr" style="text-align: left;" trbidi="on">
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
<img alt="Image result for we are back"" height="179" src="https://encrypted-tbn0.gstatic.com/images?q=tbn%3AANd9GcTXr25qoEbFjyowDmF64jUi-vX7Ebge4qXd8UT6I_0Q1L4pG44S" width="320" /></div>
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
Dear Readers,</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
I have been writing this blog since 2014.</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
Have shared a lot of stocks, Many turned out to be huge multibaggers while many turned out to be duds.</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
This blog has largely been focused on Value Investing but since 2018 we haven't had a lot of value emerge in stocks hence the blog has stayed muted.</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
Since a lot of value is not on the table I feel its a good time to start updating the blog with some quality techno-funda ideas and broader market views.</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
So to sum it up, The Ace Investor blog is back and now slightly more adaptive as we will be using a mix of both basics of Technicals & Fundamentals to pick stocks with stop loss, targets and time frames defined.</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
Hoping for your continued patronage,</div>
<div class="p p1" style="background-color: white; box-sizing: border-box; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; margin-bottom: 15px;">
The Ace Investor</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-41452888234534227392019-07-03T15:46:00.000+05:302019-07-03T15:46:11.473+05:30Parag Milk Foods Ltd - Value Pick<div dir="ltr" style="text-align: left;" trbidi="on">
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_99-Ap9M1bjUmytGGSxKoVCUpTMAaBSgqkyCiBtCOX_iUfnBIoAYcg8p6uEi_ZqMVXjvLlxiReoOkoGzO_mL9Ze0F4fmWHZf_hH4oKdpK67BGk64W9GkZ6qA2IS9aQ1kfBojlR3du2iM/s1600/paragmilk.jpg" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" data-original-height="400" data-original-width="800" height="200" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj_99-Ap9M1bjUmytGGSxKoVCUpTMAaBSgqkyCiBtCOX_iUfnBIoAYcg8p6uEi_ZqMVXjvLlxiReoOkoGzO_mL9Ze0F4fmWHZf_hH4oKdpK67BGk64W9GkZ6qA2IS9aQ1kfBojlR3du2iM/s400/paragmilk.jpg" width="400" /></a></div>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b><br /></b></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>PARAG MILK FOODS LTD</b></span></span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>CMP: </b>270 (ACE Equities clients at 250)</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Market Cap:</b> 2200 crores</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Book Value:</b> 98</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>52 Week High/Low</b>: 344.70/197</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>FY19:</b> Sales 2396 crores, Net Profit 121 Crores, EPS 14.36.</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Mcap/Sales</b>: 0.91X, P/E 18.80.</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Promoter Holding</b>: 45.97%.</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><br /></span></span><span style="background-color: white; color: rgba(0, 0, 0, 0.9); font-family: -apple-system, system-ui, BlinkMacSystemFont, "Segoe UI", Roboto, "Helvetica Neue", "Fira Sans", Ubuntu, Oxygen, "Oxygen Sans", Cantarell, "Droid Sans", "Apple Color Emoji", "Segoe UI Emoji", "Segoe UI Emoji", "Segoe UI Symbol", "Lucida Grande", Helvetica, Arial, sans-serif; font-size: 14px; white-space: pre-wrap;">Parag Milk is one of the very prominent dairy players in India, Parag is slightly better on the margin side compared to its peers because of great focus on value added dairy products such as Cheese.
Parag owns brands such as: Gowardhan (ghee milk paneer), GO (cheese, yogurt, value added products), PRIDE OF COWS (superior quality milk with zero human intervention from by far one of the most modern dairy farm in India), TOPP UP (flavored milk drinks), Avvatar (India's first domestic manufactured pure Whey Protein from a dairy farm.
For FY19, Parag Milks had a revenue of 2396 crores, with net profit of 121 crores and an EPS of 14.36.
At current market price of 270, Parag is at a p/e of 18.80 and with Mkt Cap of 2200 crores mcap/sales is nearly 0.90x.
With continued focus on consumption names, I think Parag is a good stock at current valuations.</span><br />
<span style="background-color: white; color: rgba(0, 0, 0, 0.9); font-family: -apple-system, system-ui, BlinkMacSystemFont, "Segoe UI", Roboto, "Helvetica Neue", "Fira Sans", Ubuntu, Oxygen, "Oxygen Sans", Cantarell, "Droid Sans", "Apple Color Emoji", "Segoe UI Emoji", "Segoe UI Emoji", "Segoe UI Symbol", "Lucida Grande", Helvetica, Arial, sans-serif; font-size: 14px; white-space: pre-wrap;"><br /></span>
<span style="background-color: white; color: rgba(0, 0, 0, 0.9); font-family: -apple-system, system-ui, BlinkMacSystemFont, "Segoe UI", Roboto, "Helvetica Neue", "Fira Sans", Ubuntu, Oxygen, "Oxygen Sans", Cantarell, "Droid Sans", "Apple Color Emoji", "Segoe UI Emoji", "Segoe UI Emoji", "Segoe UI Symbol", "Lucida Grande", Helvetica, Arial, sans-serif; font-size: 14px; white-space: pre-wrap;">The company today announced induction of Mr Venkat Shankar as the CEO, so far the company was largely managed by the family only now with Mr Shankar's induction who is the Ex VP of Britannia's dairy division and has also served Pepsico in past, I think Parag makes a case in point for some major re-rating. P/E valuations of close to 30 means almost 60% price appreciation from current levels.</span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><br /></span></span><span style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</b></span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b><br /></b></span></span><span style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></span><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: “Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</b></span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b><br /></b></span></span><span style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></span><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><span style="font-size: 13.2px;"><b>Disclosure: It is safe to assume that i might have Parag Milk Foods Ltd in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</b></span></span></div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-86964437106721498892019-05-15T11:18:00.003+05:302019-05-15T11:18:36.699+05:30TRENDS<div dir="ltr" style="text-align: left;" trbidi="on">
<br />
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<b style="mso-bidi-font-weight: normal;"><span lang="EN" style="font-size: 18.0pt; line-height: 115%; mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-bidi-font-size: 11.0pt; mso-hansi-font-family: Calibri;">TRENDS<o:p></o:p></span></b></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">There has been a lot of talk on the street about an economic slow down in
India, the key indicators being taken as a proof for the same are sluggish auto
sales trend and a few fmcg majors like HUL (Unilever Plc) moderating their
growth forecasts for the Indian market.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">I feel, this is not an economic slow down but a major economic shift that
India is going through. The high young population percentage of India means a
lot of decision making and disposable income coming into the hands of
millennial and if we have to think or talk about the future we need to get an
inside scoop of the millennial thinking, How young India thinks and acts.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN">Note: This is not a well researched piece so pardon me for inaccuracies,
This is more of what I have observed or heard from people as I travel or talk
to people across India and try to observe them, their thinking pattern and
catch a trend. Since this is more of general talk, I am not attaching data of
any kind to the whole thing but just logic that i feel is correct.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
</div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
I pen down a lot of my
thoughts on a very scattered way on Twitter, so I thought of writing this one
piece where I can integrate many of it into one.<span lang="EN"><o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">So here are some interesting observations or say my own millennial thinking
on stuff :-<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<b style="mso-bidi-font-weight: normal;"><span lang="EN" style="font-size: 16.0pt; line-height: 115%; mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-bidi-font-size: 11.0pt; mso-hansi-font-family: Calibri;">Banking</span></b><span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">: <o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Retail banking was a pretty big theme for investing in India, 10-15 years
ago a large percentage of our population was not connected to the banking
system.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Today, almost entire India is connected to the banking system after Jan
Dhan Yojana. Leaving aside a small percentage of population that continues to
be disconnected to the banking system.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Therefore, any new bank or even a old bank trying to get hold of a lot of
accounts might not really work out even if they expand their branch networks
aggressively.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Infact, Technology which has replaced the middle-men across the sectors
will emerge as a major threat to traditional banking system going ahead. With
the emergence of Fin Tech Companies: Your mobile wallets, digital bank accounts
and mPOS have already started to disrupt the financial world. Now going ahead,
traditional banking which is the largest middle man in the economy will witness
challenges from P2P lending and many such intriguing concepts. The banking
giants which actually slept on technological innovation will have to wake up
and smell the coffee sooner or later to compete with these fintechs and smaller
banks aspiring to grow big have to create fintech brands or keep trying to talk
about biting the retail banking cake and end up being eaten.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<b style="mso-bidi-font-weight: normal;"><span lang="EN" style="font-size: 16.0pt; line-height: 115%; mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-bidi-font-size: 11.0pt; mso-hansi-font-family: Calibri;">Auto Sector</span></b><span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">: <o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;"><a href="https://twitter.com/StocksResearch/status/1045585293540249601"><span style="color: windowtext; text-decoration: none; text-underline: none;">https://twitter.com/StocksResearch/status/1045585293540249601</span></a><o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">On my personal twitter handle, Last year in September I had posted about an
impending auto-slow down.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">In real terms the auto slow down came a bit late but now it is the biggest
talking point on the street.</span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">While many are taking this as an economic indicator of prosperity and
financial power I feel otherwise.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">We had a good amount of growth in the 2 wheeler and 4 wheeler space in
India, most of the metro cities in India are over populated both with humans
and vehicles, Parking is a huge issue for all the car owners, Maintenance
costs are high, Petrol Diesel haven't been really cheap despite Acche Din.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">The car buying is slow not because people dont have money but because
people have options like Uber & Ola in big cities, they are now venturing
into small cities as well.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">The buying a second car idea is not even on most minds anymore.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">If you have options to spend small and get services like Uber & Ola you
might not instantly look to spend big on a vehicle and pay EMIs, you would
rather spend it on some other things (This is how the millennial thinking is
shaping up)<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Plus due to the above stated issues a large percentage of people no longer
see a car as a status symbol, flaunting an iPhone or flaunting about a holiday
on Instagram has become more interesting or worthy rather than driving your
tall boy Wagon-R. Now going ahead the Car Sales will soon turnaround because
while cities are done with owning a car obsession, smaller towns and cities
would witness a trend to buy cars and even if they don't once Uber & Ola
start to penetrate your smaller towns and cities you will anyway see amount of
growth returning in the sales figures soon.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Meanwhile 2 wheelers will be a growing trend, A lot of second car buying
would convert into owning a 2 wheeler for quicker commute, Plus the rise of
Swiggy, Zomato, Uber Eats largely the Delivery Boy Culture will also trigger a
good amount of growth in 2 wheeler buying.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<b style="mso-bidi-font-weight: normal;"><span lang="EN" style="font-size: 16.0pt; line-height: 115%; mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-bidi-font-size: 11.0pt; mso-hansi-font-family: Calibri;">FMCG</span></b><span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">: <o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">HUL which is present across so many categories of FMCG has cut its growth
forecast in their latest quarterly results and the volume growth was unexciting
for analysts.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">This whole thing of FMCG slowdown that is being peddled may not be a slow
down but a case of shrinking market share for these large mncs.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Just think about it a Patanjali which came out of nowhere and disrupted and
grew big even though even that is slower now points out at what?<br />
<br />
It points out at a lack of loyalty in the mind of Indian consumer, this young
Indian consumer is not shy of trying new brands and things or eat new stuff.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">For instance, India's total potato chips market both organized and
unorganized stood at close to 18000 crores in 2017 while the leaders continue
to grow at exciting or moderate growth rates, the latest entrant with a niche
of baked healthy snack, crisps, chips and innovative products like foxnuts and
quinoa puffs "Too Yumm" a brand by CESC endorsed by Virat Kohli went
on to clock almost 300-500 crore sales in their first year which is not a mean
feat. Even DFM Foods in their latest march quarter delivered a 30% revenue
growth backed by new launches like cheese balls and more.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">The entire thing about India being hugely populated country and FMCG being
a huge growth story has caused a lot of start-ups, new companies venturing into
this field of business with a renewed focus on pricing and innovation, these
small companies with their small brands are so many in number that they are
managing to dent the market share of these biggies (It is actually good for
India)<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Its not just limited to food but across the board, E-Commerce push has also
helped to cut off distribution headache and making it easier to sell your new
brand to large population.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">For instance the best selling shampoo on Amazon right now is WOW's Apple
Cider Vinegar Shampoo priced at a discounted rate of 384 for 300 ML and it has
5951 customer reviews already and on an average 4 star reviews.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Their website: buywow.com tells us that Wow Skin Science is a beauty
company based in "Bangalore" so you know now its a start-up.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">HUL's clinic plus comes as second best seller.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Across skin care there are brands like Skinsalad, Jovees, mcaffeine and
practically a lot many which are slowly starting to have their own set of
customers and are biting the market share of biggies.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Another example is that the best seller product in Chips category on Amazon
is Too Yumm's Multigrain Dahi Papdi Baked Chips and the second best seller is
Lays American Onion<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">So one thing is becoming clearer that the young millennial Indian customer
is not a very loyal or attached fellow to any brand, He is not shy of trying
things and he/she has a lot of options now compared to what they had earlier.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<b style="mso-bidi-font-weight: normal;"><span lang="EN" style="font-size: 16.0pt; line-height: 115%; mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-bidi-font-size: 11.0pt; mso-hansi-font-family: Calibri;">FMCG / Fast Food/ Restaurants contd: </span></b><span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;"><o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Packet food is also getting disrupted by availability of fresh food through
swiggy and other such food delivery apps which can replace your hunger of Maggi
with a paneer wrap from your nearby Dhaba.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">QSR, Take Away and Food Delivery is becoming a pretty booming business in
India, big cities like Mumbai or Kolkata or smaller towns like Indore: The
Demand is Real.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">Zomato AR: </span><a href="https://www.zomato.com/blog/annual-report-19">https://www.zomato.com/blog/annual-report-19</a><span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;"><o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">A simple question also is, if HUL’s growth forecast turning tepid hints at
recession does the mad growth of food delivery apps and restaurants hint at
India becoming an economic super power? NO for both.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">This is not such a great news for a Dominos or Mc Donald’s because of
variety of options becoming available to people.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">But in turn it is also fueling the hunger across people to order so they
are not complaining as they all are targeting the Kitchens as well not just each
other.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<b style="mso-bidi-font-weight: normal;"><span lang="EN" style="font-size: 16.0pt; line-height: 115%; mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-bidi-font-size: 11.0pt; mso-hansi-font-family: Calibri;">Overall:<o:p></o:p></span></b></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">I have left many sectors uncovered here, But the moot point I am trying to
make is that the disruption is pretty high and across industries, and there are
many opportunities for many companies and start-ups to make it big.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">A lot of the listed company’s results or growth forecasts might or might
not reflect this due to shrinking market shares for big companies.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">But this whole consumption slowdown does not seem very real to me,
Investors as well as young businessmen should try to identify new themes in the
consumption or service bracket to tap.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<span lang="EN" style="mso-ansi-language: EN; mso-ascii-font-family: Calibri; mso-bidi-font-family: Calibri; mso-hansi-font-family: Calibri;">There is a lot at stake for FMCG Biggies and also a lot of Stake in the
market share to be won by younger companies.<o:p></o:p></span></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<br /></div>
<div class="MsoNormal" style="line-height: 115%; margin-bottom: 10.0pt; mso-layout-grid-align: none; text-autospace: none;">
<br /></div>
<div class="MsoNormal">
<br /></div>
<br /></div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-29888583782163698802019-05-03T14:57:00.002+05:302019-05-03T14:57:44.359+05:30Varun Beverages Ltd - Value Pick<div dir="ltr" style="text-align: left;" trbidi="on">
<br />
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhqmnN1n2jUw8nEuXV_NCbB7P0W-yMimX2hdpweiVIwM7HYWw_OUp58vLFicyBQ-v6hDy6WJmZ8_kebQzDLWxBll-05nhFflp-VzATQf9y-hnsY-kecxwF-Yl4Ookc2Pb7lykpH0Gqdqlw/s1600/vbl+logo.jpg" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" data-original-height="444" data-original-width="633" height="280" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhqmnN1n2jUw8nEuXV_NCbB7P0W-yMimX2hdpweiVIwM7HYWw_OUp58vLFicyBQ-v6hDy6WJmZ8_kebQzDLWxBll-05nhFflp-VzATQf9y-hnsY-kecxwF-Yl4Ookc2Pb7lykpH0Gqdqlw/s400/vbl+logo.jpg" width="400" /></a></div>
<br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><b>VARUN BEVERAGES LTD</b></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>CMP: </b>900 (ACE Equities clients at 840)</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>Market Cap:</b> 16100 crores</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>Book Value:</b> 110</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>52 Week High/Low</b>: 954/654</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>FY18:</b> Sales 5105 crores, Net Profit 293 Crores, EPS 16.03.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>Mcap/Sales</b>: 3.16, P/E 56.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>Promoter Holding</b>: 73.56%.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">VBL is India's bottling partner (contract manufacturer) for PepsiCo.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">With recent development in Feb 2019, States of Gujarat, Maharashtra, Karnataka, Kerala, Tamil Nadu, AP, Telangana too are now in Varun's fold as the leading Pepsi bottler.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">Apart from India, Varun is also Pepsi's partner for countries like: Nepal, Sri Lanka, Zambia, Zimbabwe and Morocco.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">Almost 80% of Varun's revenue come from India, Nepal & Sri Lanka.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">Brand products of VBL are: Pepsi and all its varieties, 7up, Mountain Dew, Mirinda, Everess, Tropicana, Nimbooz, Aquafina, Gatorade.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">As per data:-</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">The carbonated beverages segment is around 80% of Varun's revenue pie.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">The remaining 12-13% is from Packaged water and another 6-7% is from non carbonated beverages such as Tropicana fruit juice.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">- The company with recent re-franchising by Pepsi now stands to gain a major foothold in west India and south India market of beverages.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">- Consumption of Soft-Drinks stood at 44 bottles per capita in India in 2016, in USA it was 1496 bottles, Mexico was at 1489 bottles and developing economy like Brazil was at 537 bottles.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">- Large section of Rural India did not have access to electricity, If electricity is pushed to all villages, A village can have atleast one public fridge, and cold drinks are popular because they are consumed cold.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">- The per capita consumption of Cold Drinks would increase significantly with electrification and access to fridge and cold storage.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">Key Risk: Health awareness, Competition, Swadeshi Awareness etc.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">At 3 times Mcap/Sales being the largest cold beverage maker in India, VBL does not look expensive, the valuation can easily stretch to 5 times market cap to sales.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">Which leaves a price target of close to 1500 with current set of numbers</span></span><span style="color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">.</span><br />
<span style="color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">However, With the recent addition of states a HUGE percentage of market gets captured by VBL which means revenue would grow very sharply in forthcoming fiscals.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">A price of north of 2000 is what we expect in the Long-Term from Varun and give it a space in our portfolio.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</b></span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b><br /></b></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: “Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</b></span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b><br /></b></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><b>Disclosure: It is safe to assume that i might have Varun Beverages Ltd in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</b></span></span><br />
<br /></div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-30589857775252391292019-03-01T10:30:00.000+05:302019-03-01T10:30:02.250+05:30The Road Ahead<div dir="ltr" style="text-align: left;" trbidi="on">
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Dear Readers,</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">2013 to 2018 was one way bull run in midcap small cap, with every tom dick harry becoming a stock picker and every tom dick harry stock becoming a multibagger. When such excesses are there we have a bear market impending (<a href="http://theaceinvestor.blogspot.com/2017/11/be-value-sensitive.html">I had warned in Nov 2017 with my post Be Value Sensitive</a>) post Jan 2018 this time the bear market came but on midcap and small stocks mainly and not on the indices, now most of the dust is settled and bull run in mid & small cap will begin meanwhile individual cases where there are excesses will continue to get punished.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">All these are normal market phases we need to adapt to.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">We have recently witnessed Media Outlets are picking up any stock and announcing that they have spotted corporate governance issues and as a result stocks crashes 10-20% just like that.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Remember, how in 2017 there were "Rocket Emojis" flying all over the whatsapp groups related to stock markets, every stock picker was having a great time, every stock was a potential multibagger. </span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Just like that now every other stock has issues, is a fraud company, or over-valued according to popular belief.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Some popular beliefs that got trashed recently was Market will crash due to BJP losing state elections, Market will crash due to Auto nos being weak, Market will crash due to Urjit Patel sudden resignation.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Another popular belief that has made space in everyone's mind now is that Midcap and Small Cap will continue to fall, Everyone believes till election nothing will happen in the midcaps and smallcaps.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Markets generally are under no obligation to reward popular belief.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">I feel we are now in a situation when valuations are comfortable but panic is high, fear mongering about corporate governance is at peak. But, there might not be any panic selling left because there is no one left who would sell.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Some people also believe the current India Pakistan tension is going to play a big spoil sport for the markets. I beg to differ on this, India is a growing economy with comfortable macros for now after the Crude price crash, Pakistan will not be able to afford any war with India and escalations would just be hyped by Media.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<span style="font-family: Verdana, sans-serif;">So the point i am trying to make is, Like the BULL RUN had its excesses and it got reversed I feel the BEAR RUN in midcaps and small-caps is over now and it is time for a sharp rebound in quality mid & small cap names and it should start before the general elections itself.</span><br />
<span style="font-family: Verdana, sans-serif;"><br /></span>
<span style="background-color: white; color: #14171a; letter-spacing: 0.27px; white-space: pre-wrap;"><span style="font-family: Verdana, sans-serif;">2013 to 2017 was a period of many multibaggers, Right stocks went up 5x and 10x easily.
</span></span><br />
<div style="height: 0px;">
<span style="font-family: Verdana, sans-serif;"><span style="background-color: white; color: #14171a; letter-spacing: 0.27px; white-space: pre-wrap;">
</span><span style="background-color: white; color: #14171a; letter-spacing: 0.27px; white-space: pre-wrap;">2019 to 2021 will be a period of many right stocks doubling and/or tripling, One should not get huge 10x multibaggers easily right now as the cycles and markets have started to mature up.</span></span></div>
<div style="height: 0px;">
<span style="font-family: Verdana, sans-serif;"><span style="background-color: white; color: #14171a; letter-spacing: 0.27px; white-space: pre-wrap;"><br /></span></span></div>
<div style="height: 0px;">
<span style="font-family: Verdana, sans-serif;"><span style="background-color: white; color: #14171a; letter-spacing: 0.27px; white-space: pre-wrap;"><br /></span></span></div>
<div style="height: 0px;">
<span style="font-family: Verdana, sans-serif;"><span style="background-color: white; color: #14171a; letter-spacing: 0.27px; white-space: pre-wrap;"><br /></span></span></div>
<div style="height: 0px;">
<br /></div>
<span style="font-family: Verdana, sans-serif;"><br /></span>
<div style="-webkit-text-stroke-width: 0px; color: black; font-family: "Times New Roman"; font-size: medium; font-style: normal; font-variant-caps: normal; font-variant-ligatures: normal; font-weight: 400; letter-spacing: normal; margin: 0px; orphans: 2; text-align: left; text-decoration-color: initial; text-decoration-style: initial; text-indent: 0px; text-transform: none; white-space: normal; widows: 2; word-spacing: 0px;">
</div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Which are these stocks? Right from 2014 I have been writing about stocks I like for free and would continue to do so going forward.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">We also provide research to our clients at ACE Equities.<br /><br />For more about ACE Equities, readers can Whatsapp on +91-9163555553.</span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;"><br /></span></div>
<div style="text-align: left;">
<span style="font-family: Verdana, sans-serif;">Thanks & Regards,<br />The Ace Investor</span></div>
<div style="text-align: left;">
<br /></div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-42134596206210561682019-01-16T11:11:00.001+05:302019-01-16T11:11:12.364+05:30Coffee Day Enterprises Ltd - Value Pick<div dir="ltr" style="text-align: left;" trbidi="on">
<img alt="Related image" height="246" src="https://admin.mbarendezvous.com/uploadimages/bannerimage_1463407053.jpg" width="400" /><br />
<br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">Coffee Day Enterprises Ltd.</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">CMP 280 (ACE Equities clients at 260)</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">Market Cap: 5980 crores</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">Book Value: 115</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">52 Week High/Low: 374.60/237</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">FY18: Sales 3274 Crores, Net Profit 106 Crores, EPS 5.03.</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- Headed by V G Siddhartha (ex JM Financial portfolio manager).</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- Cafe Chain started in 1990s which triggered cafe culture in India .</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- As of date is India's largest cafe chain with a foot print of 1600 + stores across 220+ cities in India. </span><br />
<span style="background-color: white;"><span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">- One of the rare chains to have sustained in the same business for more than 2 decades despite regular competition from global players like Costa Coffee, Barista, Coffee World and now Starbucks.</span></span></span><br />
<span style="background-color: white;"><span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">- CCD also has outlets outside India in countries like Nepal, Malaysia, Czech Republic and more.</span></span></span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- Coffee Day Enterprises as the holding company for Cafe Coffee Day outlets business and Coffee Machine vending business, It has stake in Mindtree (17%) 53.8% holding in SICAL Logistics, Land parcel of 135 + acres in Bangalore and Mangalore, The Serai (resorts) and 85% stake in way2wealth stock broking.</span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- In late 2018, Cafe Coffee Day signed exclusive agreement with UBER Eats to launch new cloud kitchen brands in partnership, Cafe Coffee Day outlets would have new exclusive menus for Uber Eats that will create exclusive brands.</span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- Company tied up with Australian dairy player named Frosty Boy for milk shakes (The deal went largely under-reported in Indian media). FrostyBoy remarked it as their entry to Indian Food Market.</span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- Company also recently tied up with PowerSquare to offer wifi charging soon at all its outlets.</span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- Company has launched interesting combos as it looks to take on the entry and increasing competition from Starbucks.</span><span style="font-family: Georgia, Times New Roman, serif;"><br style="background-color: white; color: #444444; font-size: 13.2px;" /></span><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">- Company has launched its own app called CCD and gives discounts etc to users. Also the ability to order on the go through the app, take a pick up and stuff like that. </span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white;"><span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">- Company has announced a restructuring plan to divest their stakes in group businesses such as Sical Logistics, Kotak is advising them on the same.</span></span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"> I believe Coffee Day which is India's first cafe chain is cautiously cooking up something really interesting, First their tie up with FrostyBoy, then their exclusive tie-up with Uber Eats and now their plan to divest stake in various other businesses.</span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">As remarked above: </span><span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">Cafe Coffee Day holds 17.08% stake in Mindtree, Current Value about 2400 crores, CCD has total debt of 5000 crores, Interest Cost FY18 was 349 crores on PAT of 106 crores, if interest cost is halved PAT would be 280 crores and EPS of 13 in FY18 itself.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">This Uber-Eats tie up and creation of new exclusive brands can create lot of value for the shareholders sooner or later.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">The company's first brand with uber-eats is named Home Cravings and is offering combo meals and home cooked style food experience in Bangalore. The brand appears to be in beta stage to test the market dynamics but the ratings across bangalore on the Uber-Eats app have been good.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">Key Risk: Failure in combating Starbucks threat and </span><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">deteriorating</span><span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"> brand value.</span><br />
<span style="background-color: white;"><span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span></span>
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;">However, here actually our bet is on the Jockey (V G Siddhartha) more than the horse itself, A guy who was doing a stock market job and can do so many exciting things such as Way2Wealth, Build such a great empire, Pioneer Cafe Culture in India, survive in the business despite global competitors would surely do something to sustain further. The developments they have been under-taking such as tie-ups and all does hint at one thing, The promoter is not willing to let this business die a slow death.</span><br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">All in All, Coffee Day at 1.40 mcap/sales does not look expensive to me at all.</span></span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;">The Costa Coffee acquisition by Coca Cola with an eye on China network does show us how the sector is exciting with more global players looking to get into this space.</span></span><br />
<div>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span></div>
<div>
<br /></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<br /></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</span></b></div>
<b style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></b><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 12pt;">
<div align="center" class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"></span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: </span></b><span style="font-family: "times new roman", serif; font-size: 12pt;">“Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Disclosure: It is safe to assume that i might have Coffee Day Enterprises Ltd in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</span></b></div>
</div>
</div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-89326082530140498222019-01-11T10:11:00.001+05:302019-01-11T10:11:21.217+05:30Finolex Industries Ltd - Value Pick<div dir="ltr" style="text-align: left;" trbidi="on">
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span>
<img alt="Image result for finolex pipes" height="231" src="https://myvaluepicks.files.wordpress.com/2017/09/finolex-pipes1.png?w=640" width="400" /><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><span style="font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Finolex Industries Ltd.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">CMP 530 (ACE Equities clients at 500)</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Market Cap: 6650 crores</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Book Value: 216</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">52 Week High/Low: 713/463</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">FY18: Sales 2738 Crores, Net Profit 299 Crores, EPS 24.06.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Half yearly FY19 EPS for Finolex is at 14.48 for Sept 18 v/s 8.71 Sept 17. (66% bottom line growth)</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">The margins growth latest quarter was backed by good growth in their PVC Resin segment (Which is not going to be around for a long time)</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Since the company is converting from B2B to B2C, Most of their PVC Resins will be utilized in their PVC Pipes manufacturing itself.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Even though numbers look very rosy the annual eps projections for FY19 are pegged between 27 to 29 v/s 24 of FY18.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">At an EPS of 27, current P/E for Finolex is at around 17.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">If we look at the five year average P/E that Finolex has commanded it has been around 17.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">The peak P/E was 79 (though erratic) lowest p/e was 9.65.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">If we look at the P/E it had at all time high of 760+ in 2017, It was at a P/E of 27.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- The company is changing from B2B to B2C with total focus now on Pipes segment.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- 70% of pipe sales are Agriculture driven.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- Is increasing focus in plumbing pipes, their total capacity is 3,70,000 MT for Pipes & Fittings.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- Has entered the higher margin Cpvc Pipes business (Astral's core area)</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- In 2017, Co. signed agreement with Lubrizol the inventor and largest manufacturer of CPVC compound in the world.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- Has a capacity of 6000 MT for CPVC, did sales of 5900 MT in FY18 at 147 crores. </span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- Is going to increase the CPVC Capacity to 15000 by FY20.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- We are seeing a total shift in demand from construction sector in favour of Plastic Pipes v/s DI Pipes and Iron Pipes.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- Old buildings, socieities also witnessing repairs in rusted pipelines leading to demand for Plastic Pipes.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- We believe the market can grow at a pretty aggresive growth rate soon and branded players like Finolex which has great distribution reach should be able to tap it to their benefits.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">- Company holds stake worth 1000 crores in family owned Finolex Cables (Though bothers within the families have been at loggerheads) </span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Key Risk: CRUDE price volatility, It is widely known that the company will witness inventory losses because of sharp crash in crude (PVC Resin segment)</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">However, with migration towards B2C, tapping margin accretive category such as CPVC we expect the company to negate some of the risks.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">At annual EPS of 27 the stock is at a P/E of 18, and at a MCAP/Sales of 2.19.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">cPVC Pipes player Astral Poly trades at a P/E of 61 and a Mcap/Sales of 5.32.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Stock has remain muted due to volatility in Crude prices, it will be very interesting to see how the management has managed the crude risk in next two quarter results.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Considering the future outlook, discounting short-term hiccups due to crude volatility throwing the spread for a toss, lower crude price is a long-term positive for Finolex Industries.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Once the business becomes totally B2C focussed, and builds on the brand value and makes a mark in the cpvc segment, will not be surprised if it is given a rating similar to Astral which trades like the Paint Sector.</span><br />
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="color: #444444; font-family: Georgia, Times New Roman, serif;">Hence we have a LONG TERM buy rating on Finolex with recent lows of 430 expected to be a potential bottom for the mid/long term.</span><br />
<br />
<span style="font-family: Georgia, Times New Roman, serif;">NOTE: When we bought Finolex Industries, we anticipated that the company will suffer an inventory loss due to crude fall and erosion in the value of pvc reisins, like last time when crude fell. However, This time despite the crude price correction, PVC Reisin has seen a price increase, Which means there should not be any inventory loss. </span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<br />
<br />
<span style="background-color: white; color: #444444; font-family: Georgia, "Times New Roman", serif; font-size: 13.2px;"><br /></span><span style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></span><span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;">::LINKS::</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.finolexpipes.com/?w=1" style="color: blue; text-decoration-line: none;">Finolex Website</a></span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.bseindia.com/xml-data/corpfiling/CorpAttachment/2018/10/0b7eb3e8-3bbc-45bf-a561-031c9739e6dd.PDF" style="color: blue; text-decoration-line: none;">Latest Investor Presentation</a></span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.screener.in/company/FINPIPE/" style="color: blue; text-decoration-line: none;">Screener of Finolex</a></span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><br /></span><span style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></span><br />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<br /></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</span></b></div>
<b style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></b><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 12pt;">
<div align="center" class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"></span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: </span></b><span style="font-family: "times new roman", serif; font-size: 12pt;">“Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Disclosure: It is safe to assume that i might have Finolex Industries Ltd in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</span></b></div>
</div>
</div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com1tag:blogger.com,1999:blog-4178801766396101142.post-545380864651353392019-01-03T09:40:00.001+05:302019-01-03T09:40:09.013+05:30Advanced Enzyme Technologies Ltd - Update<div dir="ltr" style="text-align: left;" trbidi="on">
<img src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjdYpX-JUIf4miMOyctU4FyWUd4SepGfClyVTRdBOAlwBYcS6qWtGfVRqmTWOl7YQc550vzk8t2-AVDK07iG_im0ovK3xdcEjSv_xvHW20zyPBZ-vhvBrL7rzw5rwyosgvcmNP5eGTH92A/s320/advenzymes.jpg" /><br />
<br />
Stock posted on blog at 220 on 9th September, CMP at 175.<br />
<a href="http://theaceinvestor.blogspot.com/2018/09/advanced-enzyme-technologies-ltd-value.html">LINK TO POST</a><br />
Exit with -20% loss.<br />
<br /></div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-81418863717176395232018-12-21T12:40:00.002+05:302018-12-21T12:40:53.300+05:30Aster DM Healthcare - Value Pick<div dir="ltr" style="text-align: left;" trbidi="on">
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<div class="separator" style="clear: both; text-align: left;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhOgEI_iTaPTT6UHWdSOWU6rbMxRlHmrMVuyR6Wg63JaxPZG-YSc_5arhdAJGBUrfdicMMmlecmIGH0ToIXdrOqERfr96OTbOXeVbCyapQaEoyY1mfsHyM4XhOou3ly8pA_akIh8vrQADc/s1600/aster+dm.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="163" data-original-width="405" height="128" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhOgEI_iTaPTT6UHWdSOWU6rbMxRlHmrMVuyR6Wg63JaxPZG-YSc_5arhdAJGBUrfdicMMmlecmIGH0ToIXdrOqERfr96OTbOXeVbCyapQaEoyY1mfsHyM4XhOou3ly8pA_akIh8vrQADc/s320/aster+dm.png" width="320" /></a></div>
<br />
<br />
<span style="font-family: Georgia, Times New Roman, serif;">Aster DM Healthcare</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">CMP - 149</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Mkt Cap - 7500 Crores</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Revenue FY18 - 6721 Crores</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Net Profit FY18 - 269 Crores</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">P/E - 29x (FY18 Full Year)</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Debt To Equity - 0.96</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Promoter Holding - 37.45%</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">ISSUE PRICE - 180-190.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Aster DM Healthcare is a healthcare stock as the name suggests.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Aster is headed by Dr. Azad Moopen (Padma Shri 2011)</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Aster is the only listed hospital business which has a wide reach outside India.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">As of date, ASTER has 10 Hospitals across GCC (Gulf Countries), 104 Clinics and 216 Pharmacy Stores.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">While in India, they have 11 Hospitals and 9 Clinics.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">If we look at total Beds, Across GCC they have 1048 beds and in India they have a total of 4038 beds.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Out of which total operational beds are 841 in the GCC and 2906 in INDIA (Total 3747 operational beds)</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Occupancy is around 60% on a consolidated basis in total.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Aster has the largest number of medial centers or Poly clinics in the GCC it also is the largest chain of pharmacy in UAE.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Aster's key focus area remains GCC however they had expressed interest in tapping Tier II, Tier III cities in India but a properly structured plan has not emerged yet.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Aster has taken over many sick hospitals that have not been performing great which is why their operational beds figures as well as India numbers remain suppressed with lower realizations too.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Aster operates with an Asset Light Model in GCC, most of their hospitals are leased and not owned properties.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">While in India, Aster's majority of hospital properties are owned.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Aster came out with an IPO in February 2018 with an issue Price of 180-190.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">There is some degree of cyclicality in its business which makes December and March quarter their best ones.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Aster reported 83% revenue from GCC and 17% revenue from India.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">If we break up the segments, 46% of the revenue was from Hospital Business, 28% from Pharmacy and 26% from Clinics.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">The bottom-line had 50% contribution from Hospitals, 23% from Pharmacy and 27% from Clinics.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Coming to the valuations, While the market chorus would say there is other income and everything else in the figures.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">What makes ASTER a buy at current valuations?</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">We feel ASTER is the cheapest hospital stock available in the markets right now.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Lets take a look at ratios :-</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Aster trades at a P/E of 29 (including large other income in profits)</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Apollo trades at a P/E of 144 (consolidated)</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Apollo trades at a P/E of 70 (standalone)</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Fortis P/E is n/a as its loss making.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">On price to book front :-</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Aster trades at 2.60</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Apollo trades at 4.64</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Fortis trades at 1.84.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Now they key ratio which I like to look at is Market Cap to Revenue.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Let us look at the latest M&A in this industry first, that is IHH Healthcare takeover of Fortis Healthcare.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Fortis today trades at a market cap of 7200 crores on a revenue of 4561 crores.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Fortis has a total of 4800 operational beds, Fortis has been largely under the clouds and litigation for wrong doings of their erstwhile promoters.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Thats a mcap/revenue of 1.57.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Now take a look at Apollo Hospitals.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">AH trades at a market cap of 17316 crores on a revenue of 7720 crores.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">AH has a total of 10084 operational beds and we can call it the listed market leader.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">But if we take Apollo Hospital consolidated numbers the revenue figure is 8243 crores.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">That's a mcap/revenue of 2.10.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Now ASTER DM</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">On a Market Cap of 7500 crores, its total revenue for FY18 was 6721 crores.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">With total operational beds at 3747.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">Aster trades a mcap/revenue of 1.11.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">Yes, lower valuations compared to the often called "cloudy" Fortis.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;">The promoter of Aster has recently been buying from open market according to insider trade declarations. </span><br />
<span style="font-family: Georgia, Times New Roman, serif;">I have chosen to ignore smaller listed players like Shalby Hospitals which command far more premium at 3.55 mcap/sales and also at par valuation smaller players like Narayana Hrudalaya and Kovai Medical.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">All in all we feel Hospital & Healthcare sector is going to be in focus going forward, Aster is a good bet and a unique Multi national healthcare business available at cheaper valuations.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">With the buzz word being Political-Risk free and also Recession-Proof, Hospital Industry is supposed to do well both in India and abroad.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">While most of the hospital businesses listed in India have a Pharmacy element of atleast 15-20% in their bottom-line and the way e-Pharmacy becoming a threat in India.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="font-family: Georgia, Times New Roman, serif;">We think Aster hedges that risk well because it is a GCC focused business which is not a HOT start up arena for E-Pharmacy.</span><br />
<span style="font-family: Georgia, Times New Roman, serif;"><br /></span>
<span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;">::LINKS::</span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="http://asterdmhealthcare.com/" style="color: blue; text-decoration-line: none;">Aster Website</a></span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.bseindia.com/xml-data/corpfiling/CorpAttachment/2018/11/f4373a1d-387d-47d9-a3c4-490ac53ee0c5.pdf" style="color: blue; text-decoration-line: none;">Latest Investor Presentation</a></span></span><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" /><span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.screener.in/company/ASTERDM/consolidated/" style="color: blue; text-decoration-line: none;">Screener of Aster</a></span></span><br />
<span style="background-color: white; color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><br /></span>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<br /></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</span></b></div>
<b style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></b><br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 12pt;">
<div align="center" class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"></span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: </span></b><span style="font-family: "times new roman", serif; font-size: 12pt;">“Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Disclosure: It is safe to assume that i might have Aster DM Healthcare Ltd in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</span></b></div>
</div>
</div>
</div>
<br /></div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-57566007045008279262018-11-05T13:19:00.000+05:302018-11-05T13:19:12.173+05:30Are you having Free Lunch or you are someone's Breakfast?<div dir="ltr" style="text-align: left;" trbidi="on">
<b>Original Story: SeekingAlpha</b><br />
<div class="clearfix" style="background-color: white; box-sizing: border-box; color: #565657; font-family: Arial, Helvetica, sans-serif;">
<div class="about-author-name" style="box-sizing: border-box; color: #424242; float: left; font-family: arial; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; font-weight: bold; line-height: normal; margin: 7px 20px 15px 0px;">
<div class="username" itemprop="name" style="box-sizing: border-box; font-size: 22px;">
Logan Kane</div>
<div class="username" itemprop="name" style="box-sizing: border-box; font-size: 22px;">
<span style="font-family: Verdana, Georgia, Arial, Helvetica, sans-serif; font-size: 32px;"><br /></span></div>
<div class="username" itemprop="name" style="box-sizing: border-box;">
<span style="font-family: Verdana, Georgia, Arial, Helvetica, sans-serif;"><span style="font-size: large;">Robinhood Is Making Millions Selling Out Their Millennial Customers To High-Frequency Traders</span></span></div>
<div class="username" itemprop="name" style="box-sizing: border-box; font-size: 22px;">
<span style="font-family: Verdana, Georgia, Arial, Helvetica, sans-serif; font-size: 32px;"><br /></span></div>
<div class="username" itemprop="name" style="box-sizing: border-box; font-size: 22px;">
<div class="p p1" style="box-sizing: border-box; color: black; font-family: Arial, Helvetica, sans-serif; font-size: 14px; font-weight: 400;">
<div class="article-summary article-width" style="box-sizing: border-box; margin: 0px 0px 25px; width: 640px;">
<h2 style="box-sizing: border-box; color: inherit; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: 26px; margin: 0px 0px 15px;">
Summary</h2>
<div class="a-sum" itemprop="description" style="box-sizing: border-box; margin: 0px 0px 0px 15px; padding: 0px 0px 0px 25px;">
<div style="box-sizing: border-box; display: list-item; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: 26px; list-style: disc outside none; margin-bottom: 10px;">
Robinhood is marketed as a commission-free stock trading product but makes a surprising percentage of their revenue directly from high-frequency trading firms.</div>
<div style="box-sizing: border-box; display: list-item; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: 26px; list-style: disc outside none; margin-bottom: 10px;">
It appears from recent SEC filings that high-frequency trading firms are paying Robinhood over 10 times as much as they pay to other discount brokerages for the same volume.</div>
<div style="box-sizing: border-box; display: list-item; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; line-height: 26px; list-style: disc outside none; margin-bottom: 10px;">
Robinhood needs to be more transparent about their business model.</div>
</div>
</div>
</div>
<div class="sa-art article-width" id="a-body" itemprop="articleBody" style="box-sizing: border-box; color: black; font-family: Verdana, Arial, helvetica, sans-serif; font-size: 16px; font-stretch: normal; font-variant-east-asian: normal; font-variant-numeric: normal; font-weight: 400; line-height: 26px; overflow-wrap: break-word; width: 640px;">
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
In English folklore, Robin Hood is an outlaw who takes from the rich and gives to the poor. Robinhood was founded to disrupt the brokerage industry by offering commission-free trading. They may not be all that they represent in their marketing, however. The question you should be asking whenever someone in the financial industry offers you something for free is "<em style="box-sizing: border-box;">What's the catch</em>?" And yes, there is typically a catch.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
<strong style="box-sizing: border-box;">After digging through their SEC filings, it seems that today's Robinhood takes from the millennial and gives to the high-frequency trader.</strong></div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
Not only does Robinhood accept payment for order flow, but on a back-of-the-envelope calculation, they appear to be selling their customers' orders for over ten times as much as other brokers who engage in the practice. It's a conflict of interest and is bad for you as a customer.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
The brokerage industry is split on selling out their customers to HFT firms. Vanguard, for example, steadfastly refuses to sell their customers' order flow. Interactive Brokers (IBKR), which is the preferred broker for sophisticated retail traders, doesn't sell order flow and allows customers to route orders to any exchange they choose.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
Robinhood not only engages in selling customer orders but seems to be making far more than their competitors from it. Among brokers that receive payment for order flow, it's typically a small percentage of their revenue but a big chunk of change nonetheless. Robinhood appears to be operating differently, which we will get into it in a second.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
All brokerage firms that sell order flow are required by the SEC to disclose who they sell order flow to and how much they pay. The people Robinhood sells your orders to are certainly not saints. Citadel was fined 22 million dollars by the SEC for violations of securities laws in 2017. Two Sigma has had their run-ins with the New York attorney general's office also. Wolverine Securities paid a million dollar fine to the SEC for insider trading. It's easy to miss, but there is a material difference in the disclosures between what Robinhood and other discount brokers are showing that suggests that something is going on behind the scenes that we don't understand at Robinhood.</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
-----------------------------------------------------------------------------------</div>
<div class="p p1" style="box-sizing: border-box; margin-bottom: 15px;">
Well if this is happening in a strictly compliant developed market like USA, Wonder how you might be getting ZEROed in India?</div>
<div class="p_count" style="box-sizing: border-box;">
</div>
<div class="p_count" style="box-sizing: border-box;">
</div>
<div class="p_count" style="box-sizing: border-box;">
</div>
</div>
</div>
</div>
</div>
<div>
<br /></div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-61189028552931802292018-09-23T21:52:00.000+05:302018-09-23T21:59:12.254+05:30Violent Moves<div dir="ltr" style="text-align: left;" trbidi="on">
<br />
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">Dear Readers,</span><span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">Market is abuzz with a lot of
rumors right now.</span><span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">There were violent movement across stocks on Friday (21st September 2018)</span></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;"><br /></span></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">Many stocks including shares of NBFC
companies led by DHFL (Dewan Housing) crashed 20-50% in Intraday last week on
Friday (21 September 2018) some recovered some did not..</span><span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">Lets look at past instances of large companies
ideally part of the F&O segment crashing by more than 20-30% in a day or
intraday and how they are doing as of date. (Except 2008 January crash on P-Notes news
when Indices hit the lower circuit).</span><span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 16.0pt;">1- Satyam
Computers: 17<sup>th</sup> December 2008 (Before the Scam) and 7<sup>th</sup>
January 2009 (Scandal)<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Talk about a Satyam crash and everyone starts
talking about 2009, But before the eventual Satyam Scandal break-out that
happened in Jan 2009.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Shares of Satyam Computers (traded in F&O)
crashed more than 30% on 17<sup>th</sup> December 2008. The stock ended close
to 226 on 16<sup>th</sup> December 2008 and went on to hit a low of 153 on 17<sup>th</sup>
December 2008. (32% crash) <span style="mso-spacerun: yes;"> </span>The trigger
behind the crash was management decision to acquire two promoter related
companies (Maytas Group) Companies promoted by Raju’s son. The company later
cancelled the plan to buy the two companies.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; color: black; font-family: "times new roman" , "serif"; font-size: 12.5pt;">Satyam chairman B Ramalinga
Raju expressed surprised at the market reaction to this decision that was
supposed to “delight” shareholders but resulted in a shock, He said the board
"decided to call off these actions. . . in deference to the views
expressed by many investors".</span><o:p></o:p></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 16.0pt;">Satyam
Computers: 7<sup>th</sup> January 2009 (Satyam Scandal)<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">After the Dec 2008 crash, Satyam in 2009 crashed
again. This time the one last time.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">The stock on 7<sup>th</sup> January 2009 crashed
from 179 to hit a low of 30.70 (82 % crash).<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Shares of Satyam which means Truth in Sanskrit saw
this collapse after B Ramalinga Raju announced his resignation as the chairman
of Satyam confessing manipulating the books to the tune of under 15,000 crores.
The stock eventually went on to hit single digits and was later on taken over
by Tech Mahindra and eventually merged with Tech Mahindra.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 16.0pt;">2 – Akruti City
(Akruti) now (Hubtown) : 20th March 2009 and 26<sup>th</sup> March 2009. <o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Today you see Hubtown Ltd is a listed company with
a market cap of 300 odd crores at a Stock Price of 50.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">But the company has a rather glorious past. The
share prices of Akruti rose 2300 in March 2009 from 800 at the start of the
month. A rally of almost 190% in an F&O stock.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">But on 20<sup>th</sup> March 2009 struck the bears,
The shares of Akruti which was heavily traded in F&O collapsed from 2210 on
19<sup>th</sup> March to hit 1570 on 20<sup>th</sup> March 2009 almost 30%
crash in a day. The main reason behind the crash on 20<sup>th</sup> was merely NSE
announcing F&O exclusion of the stock amid growing question marks on the
sharp unusual rally in the stock while other real estate stocks were biting
dust. <o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">On 26<sup>th</sup> March 2009, which was the last
traded day for this stock in F&O as all forward contracts expired on this
day. The stock crashed 1850 to hit a low of 700 (62% crash in a day).<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">The stock ended close to 1000 (still being down by
close to 45%) versus a day ago.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Post removal from F&O admist SEBI enquiries on
the rally and the fall and all the WHYs and HOWs among traders and investors
the stock went to hit levels close to 300 (Almost 90% wealth destruction from
highs) in the next couple of months and eventually faded to oblivion.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 16.0pt;">3 – Core
Education & Technologies aka Core Projects : 10<sup>th</sup> October 2008
and later February 2013. <o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Heavily traded F&O counter, Core Projects (Core
Education) plummeted from 250 on 8<sup>th</sup> October to hit 123 on 10<sup>th</sup>
October 2008, A fall of more than 50%.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">After lot of whys and hows the stock started
trading normally, went on to recover and traded above 300 later on in next
couple of years.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">In September 2012, the Stock was kicked out of the
F&O segment.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Later in 2013, Core Education shares tumbled more
than 80% in three days. From 300+ price on 22<sup>nd</sup> February 2013, the
stock hit 56 bucks on 27<sup>th</sup> February 2013.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">A crash of more than 80% in a couple of days. Again
a case of lot of Whys and Hows with various theories. The key reason claimed
was sell of pledged shares which was repeatedly denied by the company, S&P
even assigned a B+ stable rating on the company’s bonds.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">The stock later became a penny stock and as of
today it ceases to exist, as shareholders still wonder what went wrong.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 16.0pt;">4 – GTL Ltd:
17<sup>th</sup> June 2011 and 20<sup>th</sup> June 2011. <o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Telecom Infra stock GTL Ltd, another well traded
counter of F&O was the victim or rather the culprit in June 2011.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">On 17<sup>th</sup> June 2011, Shares of GTL Ltd
crashed from 408 day ago to hit 314 (23% crash) before ending the day at 338.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">What followed was your usual sweet nothings from
the management, denying any material change in business, any negative, any
selling etc. Etc.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">However, Next day when market opened on 20<sup>th</sup>
June 2011, Shares of GTL Ltd crashed from 338 to hit a low of 124 (Almost
another 65%)<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">That is a Total 70% crash in couple of days,
Investors continued to wonder what happened, again management clarified they
are pious.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">The company even filed a complaint to SEBI asking
them to enquire what is wrong with their stocks price.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Note: Not just GTL another group entity listed by
name of GTL Infra cracked 55-60% in two days.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;"><br />
As of today, these two loss making debt laden companies continue to serve as a
horrific memory of euphoria and panic for the market participants.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 16.0pt;">5 – Infibeam
Ltd: 25<sup>th</sup> September 2017, 29<sup>th</sup> December 2017 and 21<sup>st</sup>
September 2018. <o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">One of the few listed fancy E-Commerce business,
Infibeam seems to often have discount sale on their share prices too.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">This F&O Counter has had a great track record
of aberrations.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Infibeam shares ended at 143 on 22<sup>nd</sup>
September 2017, Opened at 143 on 25<sup>th</sup> September and went on to hit a
day low of 87.15 (Almost 40% knocked off) before closing at 120.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Everyone wondered what happened there.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Then up next on 29<sup>th</sup> December 2017,
Infibeam from 165 crashed to 98 (40% crash) before ending the day at 141.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">The company clarified that it is business as usual
for them, and whatever info was due to be shared was already shared with the
exchange.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">But now again on 21<sup>st</sup> September 2018 the
stock crashed from 235 to hit low of 141 (40% crash) to later end the day at
182.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 16.0pt;">6 – PC
Jeweller Ltd: 2<sup>nd</sup> February 2018, 15<sup>th</sup> February 2018 and later
on. <o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Shares of PCJ a listed jewellery chain tanked 484
to hit low of 218 on 2<sup>nd</sup> February 2018 (down: 55%) later the stock
recovered to end at 364, Next day the stock rallied back to 470.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">The trigger behind this correction was a link with
Vakrangee (A busted listed company that went from 500 to 30.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Apparently, Vakrangee from open market bought 20
lakh shares of PCJ. PCJ denied any link with Vakrangee and later it became business
as usual.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Then on 15<sup>th</sup> February 2018 PCJ again
crashed from 376 to hit a low of 302 (Almost 20%) before ending the day at 356.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">This time it was because of Nirav Modi scam that
broke out, The company clarified that they do not function like how Nirav Modi
had functioned and remains clean.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">Later in the year, repeated rumours of the CEO
being arrested to ED quizzing the management and much more, Today the stock
hovers at around 70 bucks. (Down 85% from where it all started).<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 16.0pt;">7 – 21<sup>st</sup>
September 2018- DHFL, YESBANK, INDIABULLS HOUSING, SHRIRAM TRANSPORT FINANCE,
INFIBEAM ETC.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 16.0pt;">DHFL </span><span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">a leading housing finance company
part of the F&O segment corrected heavily on 21<sup>st</sup> September
2018.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">The stock which closed at 610 on
Thursday, Opened at 615 on Friday, Made a low of 274.75 (55% crash) and closed
the day at 337 resulting in a Day on day down tick of 44.80%.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">Despite various clarification,
con-calls and everything else the stock still ended the day at some of the
worst seen single day crash for a large company of 20,000+ crore market cap
size (now 11000 crores).</span><span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">The key trigger for such an
euphoric crash is still not clear: There were some murmurs about
reclassification of Loan Against Property being shown as Home Loans in the
books of NBFCs. While the key reason being pinpointed by everyone right now is
that: DSP Mutual Fund sold the DHFL NCDs at a higher yield triggering
speculation of a rating downgrade.</span><span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="font-family: "times new roman" , "serif"; font-size: 12.5pt;">DSP sold NCDs — short-term debt instruments issued
by company — of DHFL worth ₹300 crore at a yield of 11%. The yield was way
higher than the rate at which the previous deal happened, sparking speculation
that DHFL could be facing liquidity issues, which has been strongly denied by
the company.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">The company did quite a few
concalls and televised interviews to counter allegations. Yet the stock ended
the day almost 45% down.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 16.0pt;">YES BANK </span><span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">shares too ended the day being
down by 30%, after RBI made it clear that Rana Kapoor has to resign and YES has
to find a successor for him at the Bank's top soon (Jan 19) citing
concerns over asset quality disclosures</span><span style="color: black; font-family: "times new roman" , "serif"; font-size: 12.5pt;"><o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 16.0pt;">INDIABULLS HOUSING FINANCE </span><span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">shares went wild on Friday, the stock went from 1160 to hit 765.65 (A
crash of <span style="mso-spacerun: yes;"> </span>34%) it also recovered sharply
to end the day at 1062.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 16.0pt;">SRTRANSFIN </span><span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">like all NBFCs too went wild on
Friday, the stock went from 1192 to hit low of 970 (A crash of <span style="mso-spacerun: yes;"> </span>18%) it also recovered sharply to end the day
at 1161.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">Not a long ago on 4<sup>th</sup>
July 2018, Shriram Transport went down from 1297 to hit a low of 1048 (19%
crash) later closing at 1145.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">The reason for 4<sup>th</sup> July
was that Lenders of SVL Ltd, an unlisted holding company of the Shriram group,
are planning to invoke the guarantees of Shriram Transport Finance Company
(STFC) after a majority of the SVL's investments turned bad. SVL's subsidiaries
like Shriram EPC, Orient Green Power and Haldia Coke are facing insolvency proceedings
in the National Company Law Tribunal after a loan default.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 16.0pt;">INFIBEAM </span><span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">as pointed out above gave another
huge crash on Friday (21<sup>st</sup> September 2018) and it remains a stock to
watch for violence going ahead.<o:p></o:p></span></div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 12.5pt;">There have been many more stocks
that have crashed over the years such as Vakrangee, Amtek Auto etc, where the
movements were violent, however we left out of some due to lack of data
availability and clarity.<o:p></o:p></span></div>
<div style="border-bottom: solid windowtext 1.0pt; border: none; mso-border-bottom-alt: solid windowtext .75pt; mso-element: para-border-div; padding: 0cm 0cm 1.0pt 0cm;">
<div class="MsoNoSpacing" style="border: none; mso-border-bottom-alt: solid windowtext .75pt; mso-padding-alt: 0cm 0cm 1.0pt 0cm; padding: 0cm;">
<br /></div>
</div>
<div class="MsoNoSpacing">
<br /></div>
<div class="MsoNoSpacing">
<span style="background: white; font-family: "times new roman" , "serif"; font-size: 16.0pt;">ALL IN ALL: </span><span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;">While some investors are of the view that these are good opportunities to bottom fish these stocks, I feel as the above data points out, 20-60% violent movements in stocks that are actually big in terms of market cap is not a normal </span><span style="font-size: 16.6667px;">occurrence</span><span style="font-size: 12.5pt;">.</span></span></span><br />
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><br />There are less chances of smoke without any fire.</span></span></span><br />
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><br /></span></span></span>
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;">Hence, I would not subscribe to the "this time it is different" feeling and make it a point to avoid these counters that have given violent moves.</span></span></span><br />
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><br /></span></span></span>
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;">Such HUGE </span><span style="font-size: 16.6667px;">Draw-downs</span><span style="font-size: 12.5pt;"> are not normal.</span></span></span><br />
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><br /></span></span></span>
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><br /></span></span></span>
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><br /></span></span></span>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</span></b></div>
<span style="background-color: white;"><span style="font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><b style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></b><br /></span></span></span>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 12pt;">
<div align="center" class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"></span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: </span></b><span style="font-family: "times new roman", serif; font-size: 12pt;">“Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Disclosure: It is safe to assume that i might or might not have the discussed stocks in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</span></b></div>
<div>
<b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;"><br /></span></b></div>
</div>
</div>
</div>
</div>
<br /></div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com6tag:blogger.com,1999:blog-4178801766396101142.post-84723150525776591992018-09-09T14:27:00.000+05:302018-09-09T14:27:04.046+05:30Advanced Enzyme Technologies Ltd - Value Pick - GTS 8<div dir="ltr" style="text-align: left;" trbidi="on">
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Received 101 answers to the Guess The Stock 7 and only 3 got it right: Amit Khan, Vijendra and Shashi G.</span></b></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<br /></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
</div>
<div>
<b style="font-size: 13.2px; line-height: 18.48px;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></b></div>
<div>
<b style="font-size: 13.2px; line-height: 18.48px;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></b></div>
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjdYpX-JUIf4miMOyctU4FyWUd4SepGfClyVTRdBOAlwBYcS6qWtGfVRqmTWOl7YQc550vzk8t2-AVDK07iG_im0ovK3xdcEjSv_xvHW20zyPBZ-vhvBrL7rzw5rwyosgvcmNP5eGTH92A/s1600/advenzymes.jpg" imageanchor="1" style="background-color: transparent; clear: left; float: left; margin-bottom: 1em; margin-right: 1em; text-align: left;"><img border="0" data-original-height="412" data-original-width="1599" height="82" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjdYpX-JUIf4miMOyctU4FyWUd4SepGfClyVTRdBOAlwBYcS6qWtGfVRqmTWOl7YQc550vzk8t2-AVDK07iG_im0ovK3xdcEjSv_xvHW20zyPBZ-vhvBrL7rzw5rwyosgvcmNP5eGTH92A/s320/advenzymes.jpg" width="320" /></a><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;">Advanced Enzyme Technologies Ltd</span></span><br />
<div style="text-align: left;">
NSE: ADVENZYMES | BSE:540025</div>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;">Market Cap: 2400 Odd Crores.</span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">CMP: Around 220</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">Current P/E: Around 20-21 against FY19E EPS.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span><span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">Advanced Enzyme Technologies Ltd (AETL) incorporated in 1989 is in the business of enzymes.</span></span></span><br />
<div style="text-align: center;">
<br /></div>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">The company is having more than 400 proprietary enzyme products developed from 65 indigenous enzymes. The company offers these products to more than 700 developed customers, spanning presence across 50 countries worldwide.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">The products find application in a wide array of industries including: human health care and nutrition, animal
nutrition, baking, fruit & vegetable processing, brewing &
malting, grain processing, protein modification, dairy
processing, specialty applications, textile processing and
others.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"> </span></span></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">AETL is among the top 15 enzyme companies in the world. There are only two companies listed in this sector across the globe, one is AETL and the other is market leader Novozymes.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;">As for Financials have a look at the table below :</span><br />
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiom6o0d-lnqkmaeETHjn8DWJWEqulme5g4UZW6Iz-30JmG4uu9BHJfvuCOSxVY7BoVegJiyBiRXwh6BwEELkNfHfU3WnrJ_01M5U4U6xxEajTJohWRWZlEoTZzmZdxsIPKw-Jgr1nlivk/s1600/AETL+RESULTS.png" imageanchor="1" style="clear: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" data-original-height="125" data-original-width="417" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiom6o0d-lnqkmaeETHjn8DWJWEqulme5g4UZW6Iz-30JmG4uu9BHJfvuCOSxVY7BoVegJiyBiRXwh6BwEELkNfHfU3WnrJ_01M5U4U6xxEajTJohWRWZlEoTZzmZdxsIPKw-Jgr1nlivk/s1600/AETL+RESULTS.png" /></a><br />
<b style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></b>
<b style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;">Financials</b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;">: The company has reported robust growth in its business over time, 2018 was an exception when their net profits declined YoY, otherwise the company has delivered good earnings and now it seems to be back on track with its numbers and the management has guided for FY19 to be great and FY20 guidance is positive as well.</span><br />
<br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">Here is a overview of this stock with most of its positives and negatives :-</span></span></span><br />
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh0OZz-KGopLA_3REV6-Z37irWqCzfr1o08Nql24krqaKI6JUlFScXvEYcOyKr3nUR_8PYtyyXKPMmO0hXm2ubd4_sVx6-Bw3Ei8ka3pFHAa-NH4j-RkGPoVjkpi71NJAj1hc0YaTSEMTM/s1600/aetl+negatives+positives.png" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" data-original-height="365" data-original-width="1014" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEh0OZz-KGopLA_3REV6-Z37irWqCzfr1o08Nql24krqaKI6JUlFScXvEYcOyKr3nUR_8PYtyyXKPMmO0hXm2ubd4_sVx6-Bw3Ei8ka3pFHAa-NH4j-RkGPoVjkpi71NJAj1hc0YaTSEMTM/s1600/aetl+negatives+positives.png" /></a></div>
<div class="separator" style="clear: both; text-align: center;">
</div>
<br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">Technical Breakout above 228-230 on the daily charts :-</span><br />
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEit7jPjBiHbdKe_5XQBD9Uqp-Sw6HlVx4CkN4aYBXMYqGeldkh0fwAY52wHzxDr4IbPno1WVhdoGoqbVdqRf7blhH3HPEIpFb7qsCNdSN979D4Po3waP-uz79UU6TmlIZINF8CRdtgDeWU/s1600/advenzymes+chart.png" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" data-original-height="556" data-original-width="942" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEit7jPjBiHbdKe_5XQBD9Uqp-Sw6HlVx4CkN4aYBXMYqGeldkh0fwAY52wHzxDr4IbPno1WVhdoGoqbVdqRf7blhH3HPEIpFb7qsCNdSN979D4Po3waP-uz79UU6TmlIZINF8CRdtgDeWU/s1600/advenzymes+chart.png" /></a></div>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">All in All, The stock seems to be in the under-valued territory and I sense a case for almost 100% appreciation from CMP.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">Note: The above overview captures most of the positives and negatives of the stock, I feel that dollar strength can create a ripple or a huge wave in stocks like these going ahead.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><br />::LINKS::</span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.advancedenzymes.com/" style="color: blue; text-decoration-line: none;">Corp Website</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.bseindia.com/xml-data/corpfiling/AttachHis/d3b3c35e-b951-49ab-a750-f9a542e82aaa.pdf" style="color: blue; text-decoration-line: none;">Latest Investor Presentation</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.advancedenzymes.com/wp-content/uploads/2018/08/Transcript-of-Earning-Conference-Call-Q1-FY-2019.pdf" style="color: blue; text-decoration-line: none;">Latest Concall Transcript</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.screener.in/company/ADVENZYMES/consolidated/" style="color: blue; text-decoration-line: none;">Screener of AETL</a></span></span><br />
<br />
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;"></span>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<br /></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</span></b></div>
<b style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></b><br />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 12pt;">
<div align="center" class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman" , serif; font-size: 12pt;"></span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman" , serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: </span></b><span style="font-family: "times new roman" , serif; font-size: 12pt;">“Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman" , serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Disclosure: It is safe to assume that i might have Advanced Enzyme Technologies Ltd in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</span></b></div>
<div>
<b><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></b></div>
</div>
</div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-71131718326948468672018-09-06T14:26:00.001+05:302018-09-06T14:40:37.458+05:30Guess This Stock 8<div dir="ltr" style="text-align: left;" trbidi="on">
<h2 style="background-color: white; margin: 0px; position: relative;">
<span style="line-height: 20px;"><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<img src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgERflKy9rtxW05ifozMnH4eiUrY5odkMgmzuSiXcupkXucn3PuVi8ImACGRLvuqvV2kNaOBjllnIfjxkXDzPhzf4Zh-p6rlhtkWOd09VEjUtQ4WnnuOdki055ClXd4mrmDI0lJdcvj9Gk/s320/question+mark.png" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 1px solid rgb(233, 233, 233); box-shadow: rgba(0, 0, 0, 0.1) 1px 1px 5px; padding: 5px;" /></div>
<span style="color: #4b4b4b; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 22px; white-space: pre-wrap;">
</span><span style="color: #4b4b4b; font-family: "roboto" , sans-serif; font-size: 15px; white-space: pre-wrap;">
</span><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: left;">It is the series of "Guess This Stock", this is GTS 8. Try to identify the stock from the given clues and send the answers to my email id- theaceinvestor@gmail.com. </span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: left;">The stock along</span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: left;"> with detailed su</span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: left;">mmary and name of readers who guessed right will be announced on the blog this Sunday (9th September 2018).</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: left;"><br /></span></div>
<div style="text-align: center;">
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;"></span></span><br />
<div style="text-align: center;">
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;">:CLUES:</span></span></div>
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;">
</span></span>
<br />
<div style="text-align: center;">
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;"><br /></span></span></div>
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;">
</span></span>
<div style="text-align: center;">
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;">1) Current Market Cap is under 4000 crores</span></span></div>
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;">
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
2) Current Stock Price is under 475.</div>
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
3) Promoters Hold more than 50%.</div>
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
4) FY18 Net Profit Margin is in double digits</div>
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
5) FY18 Sales growth in double digit YOY</div>
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
6) Company is listed on both NSE & BSE.</div>
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
7) Current P/E is under 30.</div>
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
8) Market Cap/Sales is under 12.</div>
<div style="text-align: center;">
<br /></div>
<div style="text-align: center;">
9) The stock is less than 40% above its 52 week low.<br />
<br /></div>
</span></span></div>
</span></h2>
<h2 style="background-color: white; margin: 0px; position: relative;">
<span style="line-height: 20px;"><div style="text-align: center;">
<div style="text-align: center;">
<div style="margin: 0px;">
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;">10) Currently the only listed company in its sector on BSE & NSE..</span></span></div>
</div>
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;">
</span></span>
<div style="margin: 0px;">
</div>
</div>
</span><div style="color: #444444; font-family: "trebuchet ms", trebuchet, verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center;">
<span style="line-height: 20px;"></span></div>
</h2>
<h2 style="background-color: white; margin: 0px; position: relative;">
<span style="line-height: 20px;"><div style="text-align: center;">
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;"></span></span><br />
<div style="text-align: center;">
</div>
<span style="font-size: 16.6667px; font-weight: 400; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif;">
</span></span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-family: "roboto" , sans-serif; font-size: xx-small; white-space: pre-wrap;"><br /></span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-family: "roboto" , sans-serif; white-space: pre-wrap;"><span style="font-size: small;">Email your answers on theaceinvestor@gmail.com. Right answer with a write-up along with your name will be posted on the blog on 9th September 2018, Sunday afternoon.</span></span></div>
</span></h2>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-92065490631251384792018-07-01T11:57:00.002+05:302018-07-01T11:57:51.580+05:30Matrimony.com Ltd - Value Pick - GTS 7<div dir="ltr" style="text-align: left;" trbidi="on">
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhT2u19tQpr3pQPIpw1MAeMg19Ng2ZEGdPRew1px4TbVSiGpb_yTUJE1YlTZrlQ17RnrokPBa0Yb3m5suPqt3XFX2yhU8scyHcPxN75LSRh_IkyxELtt0VVaQWHC7k8RNAyNqCmaKSIcNs/s1600/matrimony.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="432" data-original-width="1130" height="244" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhT2u19tQpr3pQPIpw1MAeMg19Ng2ZEGdPRew1px4TbVSiGpb_yTUJE1YlTZrlQ17RnrokPBa0Yb3m5suPqt3XFX2yhU8scyHcPxN75LSRh_IkyxELtt0VVaQWHC7k8RNAyNqCmaKSIcNs/s640/matrimony.png" width="640" /></a></div>
<div class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm; text-align: center;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></b></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></b></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Received 125 answers to the Guess The Stock 7 and only 5 got it right: Prashant G, Harsha, Ankush, Aadesh Chajjed, Animesh Chanchani, I guess this time the clues were very tough.</span></b></div>
<div>
<b style="font-size: 13.2px; line-height: 18.48px;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></b></div>
<div>
<b style="font-size: 13.2px; line-height: 18.48px;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></b></div>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">Matrimony.com Ltd</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;">Market Cap: 1600 Odd Crores.</span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">CMP: Around 730</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">Current P/E: Around 21against FY18 EPS.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">POSITIVE: B2C business, Recession Proof, Under tapped market, Mayawati Proof.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">NEGATIVE: No entry barriers, Competition.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span><span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">Matrimony.com (MCL) incorporated in 2001 is an online matrimony venture </span></span></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px;">headed by Murugavel Janakiraman.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">The company is operating a wide portfolio of websites, mobile apps etc. providing match-making services to Indians living in India and abroad.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">The company operates flagship brand (BharatMatrimony.com), EliteMatrimony.com, SecondShaadi.com, religion wise (Jain Matrimony.com) etc and Community wise (GujaratiMatrimony.com etc), The company also has websites like ManglikMatrimony.com.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">The company has now also ventured into total marriage services offering a solution from wedding venues, photographers, apparel to honeymoon packages etc.</span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">MCL is currently the market leader in online match making services in India with a market share of north to 60%.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">According to an analytics firm comSCORE's report in 2017, MCL's online properties registered far more visitor traffic and a lot more of time was spent on its portals compared to Shaadi.com or JeevanSaathi.com.</span><br />
<div style="text-align: center;">
<br /></div>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">India as we all know is a Young Country, as per an UN report backed by Census data released back in 2014, The average age of an Indian would be 29 in 2020.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">We have been seeing a shift from offline services to online services across industries, backed by swelling penetration of mobile & internet technologies and availability of low cost data services.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Right now, the Indian match-making market is largely ruled by the unorganized sector, From social contacts, news paper ads to brokers (Yes brokers charge a certain % of fees of the total wedding budget from both the parties in many regions).</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">About 1-1.2 crores wedding take place in India annually and only 6% of the population go online to find a match. With changing dynamics the online matrimony option is bound to find a more influential place in our match-making system.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">An area of concern for MCL would be a rise in popularity of dating applications such as Tinder and Facebook offering dating services. However, people have used Orkut, Facebook, HI5 etc to date since years and now Tinder has taken all the limelight but the fact is Dating is a lot different from the concept of Matrimony. More indian parents would want their children on MCL websites, create the profile on their behalf, see other profiles rather than browsing through a lot of I am looking for FUN profiles on Tinder.</span></span><br />
<br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;">One of the key reasons for MCL's success in recent times has been their venture CommunityMatrimony.com today be it the Gujarati Matrimony.com or Tamil Matrimony.com the brands have established their leadership with community specific individual apps and websites. No.2 </span><span style="font-size: 16.6667px;">competitor </span><span style="font-size: 12.5pt;">Shaadi.com was late to launch their </span><span style="font-size: 16.6667px;">equivalent</span><span style="font-size: 12.5pt;"> apps such as Gujarati Shaadi. Shaadi.com today leads in the Hindi Belt (Uttar Pradesh and Bihar sort of states) they are also the most populous states of India.</span></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;">To topple the competition in Hindi Belt, MCL has launched HindiMatrimony.com and are making </span><span style="font-size: 16.6667px;">conscious</span><span style="font-size: 12.5pt;"> efforts to establish itself as the leading brand even in the Hindi Belt.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;">Even though this move involving aggressive pricing in Hindi Belt can result in some margin </span><span style="font-size: 16.6667px;">contraction </span><span style="font-size: 12.5pt;">from these regions it can also aid growth in a large manner because of the large population base.</span></span></span><br />
<br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">To do a Scuttle Butt i made my profile on Shaadi.com (GujaratiShaadi) and Gujarati Matrimony.com, while both the apps had good design, accessibility etc. GujaratiMatrimony had far more matches for me.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Another important aspect was the tele-calling, while Shaadi.com did not bother about my registration except a few text messages, GujaratiMatrimony got Gujarati girls and boys to call me and speak to me in gujarati language letting me know about the advantages of the subscription and how the relationship manager allotted to me will help me find a suitable match.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Coming to the pricing, Shaadi.com's paid upgrade costs about Rs 2450 for 1 month while the 3 months package is offered at Rs 4550.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">MCL's app on the other hand has no monthly package and it has a 3 months package priced at Rs 4500. However when the telecaller called me up she offered me a flat 30% discount leading to a 3 months package cost of Rs 3150.</span></span></span><br />
<br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;">The company's Marriage Service business has not yet turned into net profits, while there is a small amount of cash burn there, I feel it is a great opportunity for MCL to diversify from just match-making to total marriage solutions. The company can play the effective role of an aggregator by providing total marriage solutions in the long run with patience and right strategy.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;">As for Financials for have a look at the table below :-</span><br />
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgNZtsB1MHkA7H8oyhQnpaG2dSrZZsDav9szNtWaYJojjpo-LuDQU8GHeynseY7YEBh5rSjGb0j_e8fgXhZSZk4Zk_z4TCeqjL8DlzZWsdLpJ1G2ODs3Ag5jL3ai6uttE8MMbfIzwCFUGQ/s1600/matriresult.png" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" data-original-height="176" data-original-width="350" height="160" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgNZtsB1MHkA7H8oyhQnpaG2dSrZZsDav9szNtWaYJojjpo-LuDQU8GHeynseY7YEBh5rSjGb0j_e8fgXhZSZk4Zk_z4TCeqjL8DlzZWsdLpJ1G2ODs3Ag5jL3ai6uttE8MMbfIzwCFUGQ/s320/matriresult.png" width="320" /></a><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;">Financials: The company that has listed last year, went through a downturn and has reversed recently to start making profits at healthy margins. The company also declared its dividend.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;">MCL faced law suit from one of its investor Mr Desai of Real Soft from USA staking a claim on 10% of the company's equity. </span><span style="font-size: 16.6667px;">Litigation</span><span style="font-size: 12.5pt;"> cost over the years have said to impact the financial performance and business performance of the company.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;">However, as of today the </span><span style="font-size: 16.6667px;">litigation</span><span style="font-size: 12.5pt;"> has been settled as the company shelled out a settlement amount of 50 odd crores.</span></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt; text-align: center;"><b>Negatives</b>: Increasing competition, and no entry barrier remain a key concern for the company.</span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><b><br /></b></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 12.5pt;"><b>Positives</b>: The company is operating in an extremely under tapped sector with very high growth potentials. The promoter in a recent interview has highlighted these facts backed by various research reports on overall industry picture. Being in a B2C business political </span><span style="font-size: 16.6667px;">instability, trade wars etc. has no direct material impact on business and financial performance of the company. With the ever growing population this also becomes a sort of recession proof business if the management does the right things that are needed.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">There is an interesting thing in the shareholding pattern of the company, While promoters hold 50.34% stake, </span></span></span><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">45.96% stake is with FIIs, VCs, MFs, DIIs, AIFs etc.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">Another 0.42% is with Corporate Bodies, 0.48% with NRIs, 0.22% with director relatives, 0.66% with ESOP/ESOS/ESPS.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">That means a total of 98.08% is in strong hands (including 0.42% of corp bodies, and 0.48% of NRIs)</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">That leaves a float of just 1.92% for general retail investors which equals to just 4.36 Lac shares.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">Another important positive point is that as we head to states and general elections the market will be full of talks about political instability, in such a scenario MCL is a Mayawati Proof business, irrespective of who comes into power, Matchmaking and Marriages should continue to take place right?</span></span></span><br />
<br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><b>Valuations</b>: The stock is available at 21x its earnings on the P/E front against FY18 and at 4.88 Mcap/Sales. The company has no listed peer except Info-Edge (Naukri.com) which is trading at valuations of 56x to its earnings and at a Mcap/Sales of 15.77. (However Info-edge has various portals across industries from job market (Naukri.com) to 99acres in property it also has a 10% stake in Zomato). Another peer Justdial which has been punished heavily by the markets in last 3-4 years due to deteriorating margins, topping out of growth and google's venture into locals rendering Justdial with little utility left still trades at a valuation of 27x to its earnings.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">Internet businesses in general are rated at far higher valuations, such as INFIBEAM today is trading at a P/E of more than 100 and Mcap/Sales of about 13+.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;">Astronomical valuation for Internet companies is a global trend.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman" , serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 16.6667px; text-align: center;">All in All, The stock seems to be in the under-valued territory and multiplication from CMP should not be ruled out.</span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><br />::LINKS::</span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://matrimony.com/" style="color: blue; text-decoration-line: none;">Corp Website</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="http://communitymatrimony.com/" style="color: blue; text-decoration-line: none;">Community</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.financialexpress.com/industry/wedding-services-largely-unorganised-this-presents-good-opportunity-for-us-murugavel-janakiraman/1187696/" style="color: blue; text-decoration-line: none;">Management Interview</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.bseindia.com/xml-data/corpfiling/AttachHis/ab8c6276-2f0f-4273-8e69-7ef35ae64e85.pdf" style="color: blue; text-decoration-line: none;">Annual Result FY18</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman" , serif; font-size: 13.2px; text-align: center;"><a href="https://assets.kpmg.com/content/dam/kpmg/in/pdf/2016/09/Digital-classifieds-India-2020_new.pdf">KPMG Report on Digital Classifieds business</a></span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><b><br /></b></span><span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;"></span>
<br />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<br /></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</span></b></div>
<b style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></b><br />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 12pt;">
<div align="center" class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman" , serif; font-size: 12pt;"></span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman" , serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: </span></b><span style="font-family: "times new roman" , serif; font-size: 12pt;">“Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</span></div>
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman" , serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;">Disclosure: It is safe to assume that i might have Matrimony.com LTD in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</span></b></div>
<div>
<b><span style="color: #45494d; font-family: "times new roman" , serif; font-size: 12.5pt;"><br /></span></b></div>
</div>
</div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-58217858225453832462018-06-29T10:42:00.000+05:302018-06-29T10:42:47.363+05:30Guess This Stock 7<div dir="ltr" style="text-align: left;" trbidi="on">
<div style="text-align: center;">
<br /></div>
<h2 style="background-color: white; color: #444444; margin: 0px; position: relative;">
<span style="color: #4b4b4b; line-height: 20px; white-space: pre-wrap;"><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<img src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgERflKy9rtxW05ifozMnH4eiUrY5odkMgmzuSiXcupkXucn3PuVi8ImACGRLvuqvV2kNaOBjllnIfjxkXDzPhzf4Zh-p6rlhtkWOd09VEjUtQ4WnnuOdki055ClXd4mrmDI0lJdcvj9Gk/s320/question+mark.png" style="background-attachment: initial; background-clip: initial; background-image: initial; background-origin: initial; background-position: initial; background-repeat: initial; background-size: initial; border: 1px solid rgb(233, 233, 233); box-shadow: rgba(0, 0, 0, 0.1) 1px 1px 5px; padding: 5px;" /></div>
<span style="font-family: roboto, sans-serif; font-size: 15px;">
</span><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;"><br /></span></div>
<span style="font-family: roboto, sans-serif; font-size: 15px;">
</span><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;">It is the series of "Guess This Stock", this is GTS 7. Try to identify the stock from the given clues and send the answers to my email id- theaceinvestor@gmail.com. </span><span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;">The stock along</span><span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;"> with detailed su</span><span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;">mmary and name of readers who guessed right will be announced on the blog this Sunday (1st July 2018).</span></div>
<span style="font-family: roboto, sans-serif; font-size: 15px;">
</span><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
</div>
<br style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; white-space: normal;" /><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;">:CLUES:</span></div>
<div style="color: #444444; font-weight: normal; text-align: center; white-space: normal;">
<span style="font-family: Trebuchet MS, sans-serif; font-size: small;">1) Current Market Cap is under 2000 crores</span></div>
<div style="color: #444444; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; white-space: pre-wrap;"><span style="font-family: Trebuchet MS, sans-serif; font-size: small;">2) Current Stock Price is under 1025.</span></span></div>
<div style="color: #444444; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; white-space: pre-wrap;"><span style="font-family: Trebuchet MS, sans-serif; font-size: small;">3) Promoters Hold more than 45%.</span></span></div>
<div style="color: #444444; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-size: small; white-space: pre-wrap;"><span style="font-family: Trebuchet MS, sans-serif;">4) FY18 Net Profit Margin is in double digits</span></span></div>
<div style="color: #444444; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; white-space: pre-wrap;"><span style="font-family: Trebuchet MS, sans-serif; font-size: small;">5) FY18 Sales growth in double digit YOY</span></span></div>
<div style="color: #444444; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; white-space: pre-wrap;"><span style="font-family: Trebuchet MS, sans-serif; font-size: small;">6) Company is listed on both NSE & BSE.</span></span></div>
<div style="color: #444444; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; white-space: pre-wrap;"><span style="font-family: Trebuchet MS, sans-serif; font-size: small;">7) P/E is under 30.</span></span></div>
<span style="font-family: Times, Times New Roman, serif; font-size: small;">
</span></span></h2>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; line-height: 20px; white-space: pre-wrap;"><br /></span></div>
<h2 style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 22px; margin: 0px; position: relative; text-align: center;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; line-height: 20px; white-space: pre-wrap;"><span style="font-size: x-small;">Email your answers on theaceinvestor@gmail.com. Right answer with a write-up along with your name will be posted on the blog on 1st July 2018, Sunday afternoon.</span></span></h2>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: 15px; line-height: 20px; white-space: pre-wrap;"><br /></span></div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-49642609487417757512018-06-21T12:42:00.002+05:302018-06-21T12:42:34.268+05:30Take Solutions up 90% while other midcaps correct<div dir="ltr" style="text-align: left;" trbidi="on">
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;">
<img height="302" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEht4t8UcyWm3X9uaVBKGAu1xQ8iFrHpc1H4SnkRwKCR2LO8N1TfsGIKRfCOviNeqZ8yxZo_oCSyploJ8ePrLyqtKAYwFIDF1vBh7rNJGb9oh48XMUC1wjjeFCGdSVr_v_JUFHQOg8nHQ1E/s640/takesolution.png" width="640" /></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;">
<b style="font-size: 13.2px;"><span style="font-family: arial, helvetica, sans-serif;"><br /></span></b></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;">
<b style="font-size: 13.2px;"><span style="font-family: arial, helvetica, sans-serif;"><br /></span></b></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;">
<div style="font-size: 13.2px; line-height: 16.8px; text-align: center;">
<span style="font-family: inherit; font-size: 13.2px; text-align: justify;"><b>TAKE SOLUTIONS LTD.</b></span></div>
<div style="font-size: 13.2px; line-height: 16.8px; text-align: center;">
<span style="font-family: inherit; font-size: 13.2px; text-align: justify;">TAKE SOLUTIONS </span><span style="font-family: inherit; font-size: 13.2px; text-align: justify;">posted on the blog<span style="font-family: inherit;"> </span></span><span style="font-family: inherit; font-size: 13.2px; text-align: justify;">at Rs 162 on 29th October 2017.</span></div>
<div style="font-size: 13.2px; line-height: 18.48px; text-align: center;">
<div style="font-size: 13.2px; line-height: 18.48px;">
</div>
<div style="font-size: 13.2px; line-height: 18.48px;">
<span style="font-family: inherit; line-height: 22px; text-align: justify;"><span style="font-family: inherit;"><a href="http://theaceinvestor.blogspot.com/2017/10/take-solutions-ltd-value-pick-gts-6.html" style="color: blue; text-decoration-line: none;">::LINK TO POST::</a></span></span></div>
<div style="font-size: 13.2px; line-height: 18.48px;">
<span style="font-family: inherit; line-height: 22px; text-align: justify;"> </span><span style="font-family: inherit; font-size: 13.2px; text-align: justify;">The stock touched a high of 308+.</span></div>
<div style="font-size: 13.2px; line-height: 18.48px;">
<span style="font-family: inherit; line-height: 22px; text-align: justify;">In just 8 months the stock has moved up by 90%+.</span></div>
<div style="font-size: 13.2px; line-height: 18.48px;">
<span style="font-family: inherit; line-height: 22px; text-align: justify;">This was a simple core portfolio company operating a very niche business.</span></div>
<div style="font-size: 13.2px; line-height: 18.48px;">
<span style="font-family: inherit; line-height: 22px; text-align: justify;">Can hold free shares from hereon for further up move.</span></div>
<div style="font-size: 13.2px; line-height: 18.48px;">
<span style="font-family: inherit; line-height: 22px; text-align: justify;">What is interesting is,Take Solutions has totally out performed the overall bearish sentiment playing in rest of the midcaps & smallcaps space.</span></div>
<div style="font-size: 13.2px; line-height: 18.48px;">
<span style="font-size: 13.2px;">Hope all the readers enjoyed!!!</span></div>
<div style="font-size: 13.2px; line-height: 18.48px;">
<span style="font-size: 13.2px;"><br /></span></div>
<div style="font-size: 13.2px; line-height: 18.48px;">
As I see good value emerging in markets, will be actively writing out about exciting value stocks.</div>
<div style="font-size: 13.2px; line-height: 18.48px;">
Like Take Solutions will be updating new set of clues for Guess This Stock 7 on Friday, 29th June 2018 morning.</div>
</div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-69413971992759543692018-06-08T10:26:00.002+05:302018-06-08T10:29:18.500+05:30VALUE EMERGING<div dir="ltr" style="text-align: left;" trbidi="on">
<b style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;">VALUE EMERGING</b><br />
<br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" />
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">Friends, On 7th November, when Nifty was around 10500 I wrote this article on blog "<a href="http://theaceinvestor.blogspot.com/2017/11/be-value-sensitive.html">Be Value Sensitive</a>" advising people to be cautious and not to buy stocks at high valuations. I remarked on the bottom of the article "</span><span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">This gyaan might seem pointless right now, Remember it when the fall starts :)"</span><br />
<div>
<span style="color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span></div>
<div>
<div>
<span style="background-color: white;"><span style="color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif;"><span style="font-size: 13.2px;">Today, Nifty is at 10700 but look at select midcap and smallcap stocks. Post 31st January announcement of Long Term Capital Gain Tax, most of the stocks have made sure that no one pays any long-term capital-gain tax. Of-course there have been exceptions that have gone up sharply such as the Graphite Twins (Heg, Graphite) or our Take Solutions <a href="http://theaceinvestor.blogspot.com/2017/10/take-solutions-ltd-value-pick-gts-6.html">(Read: </a></span></span><a href="http://theaceinvestor.blogspot.com/2017/10/take-solutions-ltd-value-pick-gts-6.html"><span style="color: red; font-family: trebuchet ms, trebuchet, verdana, sans-serif;"><span style="font-size: 13.2px;">Discussed at 162 now at 260</span></span>)</a><span style="color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif;"><span style="font-size: 13.2px;">.</span></span></span></div>
<div>
<br /></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">While many experts say P/Es are useless to look at, I feel for a layman it is an important tool.</span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">The bad thing about looking at P/E is we can miss out on wealth generation in stocks like Avenue Supermarts (Dmart) but the good thing is we also miss out on Manpasand Beverages and Vakrangees of the world. </span><span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">It's good to make less wealth than burn a lot of wealth you know.</span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;"><br /></span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">However, Don't decide anything by looking at the P/Es, we made that mistake in Narmada Gelatines and the stock never performed. Because minus the growth in earnings businesses enter a degrowth phase and once that happens your stock prices correct, irrespective of P/Es.</span></div>
<div>
<br /></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">Coming to the current market scenario, Nifty is at 10700 right now.</span></div>
<div>
<br /></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">As I had remarked in the BE VALUE SENSITIVE post :-</span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">"Lot of small,mid & even large cap stocks having completed their cycles of over-valuations in the past were in the undervalued territory in 2013-2014. From there they rallied sharply. As of date, Lot of them are in the fairly valued or over valued territory. That is when Analysts start estimating earnings of 2020 and justifying the valuations or over-valuations. But, A stock can fall to the under-valued territory again as well."</span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;"><br /></span></div>
<div>
<span style="background-color: white;"><span style="color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif;"><span style="font-size: 13.2px;">Today, I feel a lot of large caps are in the over-valued territory. There can be corrections in the large-caps soon now. But index might or might not even fall, Index looks to be really well managed, You can see select stocks leading a rally as the rest of the stocks go through corrections. So Index might show you 10700 or 11000, But re-balancing can certainly take place.</span></span></span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;"><br /></span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">But, for us Retail Investors. I feel there are good opportunities now emerging in midcaps & smallcaps space.</span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">There has been a sharp correction from highs, Some of the chased stocks that actually have good fundamentals and had become over-valued went through a correction and have come back close to the value territory. Though not highly under-valued yet.</span></div>
<div>
<br style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;" />
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">So what I mean by all this is, Time for "Value Investing" or rather "Value Hunting" is back.</span></div>
<div>
<span style="background-color: white;"><span style="color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif;"><span style="font-size: 13.2px;">Maybe we can have another wave of correction, But like the valuations got stretched on the upside in Jan 2018, Now there are chances the valuations can get stretched in the lower side now meaning that there isn't a lot of room left for Huge Corrections in select stocks.</span></span></span></div>
<div>
<span style="background-color: white;"><span style="color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif;"><span style="font-size: 13.2px;"><br /></span></span></span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">If everything goes well, some of the good stocks will not show these prices in next three years.</span></div>
<div>
<br /></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">Looking forward to write more about stocks going ahead,</span></div>
<div>
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">Prem Doshi (The Ace Investor)</span><br />
<span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;">ACE Equities</span><br />
<br /></div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com7tag:blogger.com,1999:blog-4178801766396101142.post-83172291854726571652018-02-26T06:38:00.000+05:302018-02-26T06:39:10.733+05:30ESS DEE ALUMINIUM LTD - Interesting Stock<div dir="ltr" style="text-align: left;" trbidi="on">
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">INTERESTING STOCK TO WATCH:</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">ESS DEE ALUMINIUM LTD.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">MCAP: 200 Crores.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">CMP: Around 64-</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">The stock has crashed from close to 800 in February 2014 to near 30 in 2017.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">Now it is hovering at 60.</span><br />
<br />
<div class="separator" style="clear: both; text-align: left;">
</div>
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span>
<br />
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgv8_wr_gbhrGrwo2WP7EjhTX-PgTwzWo7K5XKWFAQkX0ChtfJ4ZfRk02KomWw3-qq07wW6oRAT9ikkNdgsdECGeRtBNEQNsxbbvUHonhGwkLlIu-k5jaNNoWCJImijkfJmXgQU7s4qpKU/s1600/essdee.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="696" data-original-width="992" height="449" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgv8_wr_gbhrGrwo2WP7EjhTX-PgTwzWo7K5XKWFAQkX0ChtfJ4ZfRk02KomWw3-qq07wW6oRAT9ikkNdgsdECGeRtBNEQNsxbbvUHonhGwkLlIu-k5jaNNoWCJImijkfJmXgQU7s4qpKU/s640/essdee.png" width="640" /></a></div>
<div style="text-align: center;">
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span></div>
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">ESS DEE was major aluminium foil player for the pharma industry till 2014-2015.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">They were doing really well 2015 I reckon looking at the numbers.</span><br />
<span style="background-color: white;"><span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="font-size: 13.2px;">Near FY14-15 they had turnover of 700-800+ crores,EBIDTA margins of 20% + and a net profit close to 50 crores.</span></span></span><br />
<span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="background-color: white; font-size: 13.2px;">The company became NPA for its bankers, The business got shut and the stock nosedived.</span></span><br />
<span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="background-color: white; font-size: 13.2px;">Debt is nearly 800 crores now.</span></span><br />
<span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="background-color: white; font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="background-color: white;"><span style="font-size: 13.2px;">The company in its results note has remarked that through their Singapore based entity they are restructuring the debt to restart operations :-</span></span></span><br />
<br />
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjUK4whqXWsEpH9fOD5eKsIEZfhMpi5v8KInfnIUe7wY6guLOezCViTL-qa4qu3VyZKxgeXh8slAgY7JR0-pU8w5ab4G1PLyrQGYwgfS-ofGCeSg3YL3gWLMcfobZT6Ze8w0JfSuDuiCNk/s1600/essdee2.png" imageanchor="1" style="margin-left: 1em; margin-right: 1em;"><img border="0" data-original-height="302" data-original-width="648" height="297" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjUK4whqXWsEpH9fOD5eKsIEZfhMpi5v8KInfnIUe7wY6guLOezCViTL-qa4qu3VyZKxgeXh8slAgY7JR0-pU8w5ab4G1PLyrQGYwgfS-ofGCeSg3YL3gWLMcfobZT6Ze8w0JfSuDuiCNk/s640/essdee2.png" width="640" /></a></div>
<br />
<span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="background-color: white; font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="background-color: white; font-size: 13.2px;">So as the results note clearly states, they are looking for a turnaround, the ARC SSG Capital which recently bought a part of Bhushan Steel's debt as well is active and working to resolve the working capital issues.</span></span><br />
<span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="background-color: white; font-size: 13.2px;"><br /></span></span>
<span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="background-color: white;"><span style="font-size: 13.2px;">Even though the results note remarks expectations of resolution within another 10-12 weeks. Lets take that with a pinch of salt.</span></span></span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">Some Important minus and plus Points:-</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">- Business is Shut</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">- Management</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">- Resolving debt is not a cake walk</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">- Till turnaround actually takes place tough to believe anything.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">- 10-12 weeks timeline does not look convincing enough.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">+ Niche Business</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">+ Good Margins</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">+ Retaining clients should not be very difficult, They have worked with many many pharma companies.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"> Many of them have shifted to importing foils from China.</span><br />
<span style="background-color: white;"><span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="font-size: 13.2px;"> Medicine foil form a minuscule percentage of the total product cost, even if China is cheaper.</span></span></span><br />
<span style="background-color: white;"><span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="font-size: 13.2px;"> It is a no </span></span></span><span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">brainier</span><span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"> that you better get that work finished in India instead of having one extra import procedure.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;">+ If SSG Capital succeeds in resolving debt, Factory restart should not take Hell lot of time.</span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span>
<span style="background-color: white;"><span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;"><span style="font-size: 13.2px;">If at all the company is able to re-start. If it goes back to its glory days of 2014-15, It leaves a huge X potential of price appreciation for the stock. But this in no way is a safe investment grade stock, Totally risky and much like a gamble in disguise of a turnaround. </span></span></span><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"><br /></span><span style="background-color: white; color: #444444; font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: 13.2px;"></span><b style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px;"><span style="color: #45494d;"><span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;">Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</span></span></b><br />
<span style="background-color: white; color: #444444; font-family: "arial" , "helvetica" , sans-serif; font-size: 13.2px;"></span><br />
<div class="MsoNormal" style="-webkit-text-stroke-width: 0px; background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-style: normal; font-variant-caps: normal; font-variant-ligatures: normal; font-weight: 400; letter-spacing: normal; line-height: 18.48px; margin-bottom: 0cm; orphans: 2; text-align: center; text-decoration-color: initial; text-decoration-style: initial; text-indent: 0px; text-transform: none; white-space: normal; widows: 2; word-spacing: 0px;">
<div class="MsoNormal" style="margin-bottom: 12pt;">
<div class="MsoNormal" style="margin-bottom: 0cm;">
<div class="MsoNormal" style="margin-bottom: 0.0001pt;">
<br />
<div style="text-align: justify;">
<b style="line-height: 18.48px;"><span style="font-family: "arial" , "helvetica" , sans-serif;"><b style="line-height: 18.48px; text-align: left;"><span style="color: #45494d;">Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: </span></b><span style="line-height: 18.48px; text-align: left;">“Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</span></span></b></div>
<b style="line-height: 18.48px;"></b></div>
<div class="MsoNormal" style="margin-bottom: 0.0001pt;">
<br />
<div style="text-align: justify;">
<b style="line-height: 18.48px;"><b style="line-height: 18.48px; text-align: left;"><span style="color: #45494d;"><span style="color: #444444; font-family: "arial" , "helvetica" , sans-serif;">Disclosure: It is safe to assume that i have ESS DEE ALUMINIUM LTD in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</span></span></b></b></div>
</div>
</div>
</div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com4tag:blogger.com,1999:blog-4178801766396101142.post-944225170322714472017-11-22T16:43:00.001+05:302017-11-22T16:43:41.208+05:30REVIEW - BLOGGING SINCE 2014<div dir="ltr" style="text-align: left;" trbidi="on">
<div style="background-color: white; color: #1d2129; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
Dear Friends,</div>
<div style="background-color: white; color: #1d2129; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
This blog was started on 15th October 2014.</div>
<div style="background-color: white; color: #1d2129; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
The blog has completed 3 years now.</div>
<div style="background-color: white; color: #1d2129; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
I thought this was a good time to check how things have fared since beginning of time.</div>
<div style="background-color: white; color: #1d2129; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
<br /></div>
<div style="background-color: white; color: #1d2129; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
So here is the latest review of everything that has been posted on the blog.</div>
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhgrj2iB-H-RCDgMoN061hdg4aSsBzltWYngz6xHu8V6_13CW_AnxQCXrwx_nJdFP3RaQAyvjp46z9D7ReW0FxoV5NHSPmThYmVqMlRARoBZ_TJ99B7KJKs9ipHkWNVpUJUoTqNzBZno7g/s1600/REVIEW.png" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" data-original-height="1374" data-original-width="754" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhgrj2iB-H-RCDgMoN061hdg4aSsBzltWYngz6xHu8V6_13CW_AnxQCXrwx_nJdFP3RaQAyvjp46z9D7ReW0FxoV5NHSPmThYmVqMlRARoBZ_TJ99B7KJKs9ipHkWNVpUJUoTqNzBZno7g/s1600/REVIEW.png" /></a></div>
<div style="background-color: white; color: #1d2129; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
<br /></div>
<div class="separator" style="clear: both; text-align: center;">
</div>
<div style="background-color: white; color: #1d2129; font-family: helvetica, arial, sans-serif; font-size: 14px; line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
<div style="line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
Total of 51 stocks have been posted on the blog so far.</div>
<div style="line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
Average returns at peak is 134.98% (Cumulatively all stocks rallied atleast 134.98% from blog post price)</div>
<div style="line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
<div style="line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
Average returns at cmp is 71.13% (Cumulatively all stocks are still up by 71.13% from blog post price)</div>
<div>
<br /></div>
<div>
Top gains for a stock at peak was for<a href="http://theaceinvestor.blogspot.in/2014/11/value-pick-ngl-fine-chem-ltd.html"> NGL FINE-CHEM </a>at 561.97% (Stock went from 71 to hit 470)</div>
<div>
Top loss for a stock at cmp is <a href="http://theaceinvestor.blogspot.in/2014/10/the-gamblers-idea-commex-technology-ltd.html">Commex Technology</a> at -81.7% (Stock went from 3.82 to 0.50, however in the blog post of Commex it was clearly mentioned that its a gamble)</div>
<div>
<br /></div>
<div>
Have always said, readers should book partial profits as per their comfort and try to get maximum gains in the long-term by holding FOC shares (Free Of Cost Shares) </div>
</div>
<div style="line-height: 19.32px; margin-bottom: 6px; margin-top: 6px;">
I hope readers are happy with the posts/write-ups on the blog. Keep reading!!</div>
<div>
<br /></div>
<div>
Thanks & Regards,<br />The Ace Investor</div>
<div>
Follow On: <a href="http://twitter.com/theaceinvestor">Twitter </a> | <a href="http://fb.com/theaceinvestor">Facebook</a></div>
<div>
<br /></div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com4tag:blogger.com,1999:blog-4178801766396101142.post-56957888567277355672017-11-07T11:14:00.001+05:302017-11-07T13:45:32.274+05:30BE VALUE SENSITIVE<div dir="ltr" style="text-align: left;" trbidi="on">
<b>BE VALUE SENSITIVE</b><br />
<br />
First and foremost, This is no Doomsday forecast.<br />
Just a view to exercise caution in markets since valuations are getting stretched.<br />
Nifty is close to 10500 right now and;<br />
This is no more a stock pickers market but a traders paradise.<br />
<br />
When we say be value sensitive, a lot of people argue saying, XYZ is trading at 60 p/e because it is the market leader so it will sustain and 2025 will be great.<br />
<br />
Understand the journey of a stock.<br />
Lot of small,mid & even large cap stocks having completed their cycles of over-valuations in the past were in the undervalued territory in 2013-2014. From there they rallied sharply. As of date, Lot of them are in the fairly valued or over valued territory. That is when Analysts start estimating earnings of 2020 and justifying the valuations or over-valuations. But, A stock can fall to the under-valued territory again as well, We can claim valuations are attractive considering 2025 earnings but then, Before the stock prices rallied, we had no good future? If the future was expected to be good then why the valuations were low?<br />
<br />
Understand the cycle from Undervalued to Overvalued to Undervalued again.<br />
<br />
So it can happen, there is nothing like, This stock won't correct because it is fairly valued, or say Asian Paints cannot correct from 60x P/E because 2020 numbers are expected to be good.<br />
<br />
Btw: Saudi Arabia's ARAMCO the Oil major PSU is going for an IPO in 2018 and the issue size would be close to 100 billion usd, the largest ever in history and bigger than Alibaba's 25 billion usd and a Global listing on NYSE is being weighed right now. (Global Liquidity Sucker?)<br />
<br />
This gyaan might seem pointless right now, Remember it when the fall starts :)<br />
<br />
Prem Doshi<br />
ACE Equities</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com13tag:blogger.com,1999:blog-4178801766396101142.post-71622826451990486822017-10-29T12:14:00.001+05:302017-10-29T12:14:48.874+05:30Take Solutions Ltd - Value Pick - GTS 6<div dir="ltr" style="text-align: left;" trbidi="on">
<div class="separator" style="clear: both; text-align: left;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEht4t8UcyWm3X9uaVBKGAu1xQ8iFrHpc1H4SnkRwKCR2LO8N1TfsGIKRfCOviNeqZ8yxZo_oCSyploJ8ePrLyqtKAYwFIDF1vBh7rNJGb9oh48XMUC1wjjeFCGdSVr_v_JUFHQOg8nHQ1E/s1600/takesolution.png" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em;"><img border="0" data-original-height="570" data-original-width="1204" height="302" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEht4t8UcyWm3X9uaVBKGAu1xQ8iFrHpc1H4SnkRwKCR2LO8N1TfsGIKRfCOviNeqZ8yxZo_oCSyploJ8ePrLyqtKAYwFIDF1vBh7rNJGb9oh48XMUC1wjjeFCGdSVr_v_JUFHQOg8nHQ1E/s640/takesolution.png" width="640" /></a></div>
<br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<br />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Received 187 answers to the Guess The Stock 6 and not one got it right, I guess this time the clues were very tough.</span></b></div>
<div>
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;"><br /></span></b></div>
<div>
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;"><br /></span></b></div>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;">TAKE Solutions Ltd</span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;">Market Cap: 2100 Odd Crores.</span></span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;">CMP: Around 162</span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;">Current P/E: Around 16 against FY17 EPS.</span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;">POSITIVE: Niche business serving recession proof industry, Shriram Group</span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;">NEGATIVE: Low margin SCM Business sale not going through.</span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;"><br /></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;">Take Solutions is a niche IT company which has two business divisions Life-Sciences Solutions and Supply Chain Management. Life-Sciences (LS) division form more than 75% of the company's total business.</span></span></span><span style="color: #45494d; font-family: "times new roman", serif; font-size: 16.6667px; text-align: center;">. </span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><br /></span></span><span style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;"></span><span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;">Under the LS business Take has its subsidiary named Navitas Lifesciences which provide Healthcare software solutions to leading pharma companies. Navitas now is a company consisting of multiple acquired brands such as Navitas, Ecron Acunova, Intellent and others.</span></span><br />
<span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;">Navitas provides end to end services across the various stages of the drug development life cycle, starting right from clinical trials to filing regulatory submissions. They have helped bring 330 + Drugs in the market and has filed more than 100,000 regulatory submissions. The company has put together a strong head count consisting of Doctors, PhDs and bio-statisticians. Though spread over geographies, almost 97% of the LS business revenue comes from the US.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;">In Supply Chain Management (SCM) business the company caters to clients from the technology, consumer packaged goods, oil and gas and automotive sectors.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">As for SCM business the company has been keen to sell SCM division since the margins are well below double digits for the same. However, the deal has not gone through yet and this has remained as an unwanted work in progress for the company.</span></span><br />
<div>
<br /></div>
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">The company started the LS business after the recession in 2008 when one of its Pharma clients asked the company to do regulatory filing on its behalf, That is when the management spotted the potential of this recession proof business.</span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;"><br /></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 12.5pt;">The management in a recent interview has cited that they are working towards building the LS division and grow it to clock about half a billion dollar revenue in LS segment (3250 Crores INR) by 2021. (</span><span style="font-size: 16.6667px;">Approximately</span><span style="font-size: 12.5pt;">, 225% growth from current revenues).</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 12.5pt;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;">As per the company's last con-call: </span></span></span><span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 12.5pt;">LS business division margins are more than 22-24% and SCM business division margins are going down well below the double digit mark and the company is advanced stage to sell the SCM business but would not like to give a deadline to it.</span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 12.5pt;"><br /></span></span></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;">As for Financials for FY2017: Net Revenue were 1345 crores, Net Profit was at 130.72 crores and the annual EPS was at 9.85. </span><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;">The company has about 230 crores debt on its books, Promoters have 63.14% pledge-free holding. Let us take a look at its financial table :-</span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<div class="separator" style="clear: both; text-align: center;">
<a href="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhtNtWoZ2Ak2gRY-ve9vIXfzSs05hC7oRj7ARue-vfkJyMJsc4zCf8xgt0uPUPEEUQ9pIdrChmWxpz01e2YiF8_I3uLOVw9Tpi4eEmWy06OriP9gRw9eojb0gj2Q8xy9ZxJItNe35xuKpE/s1600/take+results.png" imageanchor="1" style="clear: left; float: left; margin-bottom: 1em; margin-right: 1em; text-align: center;"><img border="0" data-original-height="177" data-original-width="819" height="138" src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEhtNtWoZ2Ak2gRY-ve9vIXfzSs05hC7oRj7ARue-vfkJyMJsc4zCf8xgt0uPUPEEUQ9pIdrChmWxpz01e2YiF8_I3uLOVw9Tpi4eEmWy06OriP9gRw9eojb0gj2Q8xy9ZxJItNe35xuKpE/s640/take+results.png" width="640" /></a></div>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;">Financials: The company has been paying dividend consistently since listing, The revenues have grown from 182 crores to 1300+ crores in the last 10 years. The net margins are below 10% due to low performance and high capital requirement of the SCM business.</span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;"><br /></span>
<span style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;"></span><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;">Positives: The company is operating in a very niche recession proof sector with very high growth potentials. The promoter in a recent interview said that in this business TAKE is the only company in India that has managed to enter and build business, he went on to say that even in the Europe there are not many companies working in this business. The business, the promoter group, the company's plans and commentary are some of the very key positives.</span><br style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;" /><br style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;" /><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt; text-align: center;">Negatives: SCM business over hang is a key negative, even though deal is said to be in final stages and should meet completion soon, in the past as well the company was said to be close to completing the division sale but it did not materialize. Which hints that there no takers for SCM business at the valuation the company is seeking.</span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><br /></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;">Valuations: The stock is available at 16x its earnings on the P/E front against FY17, with the kind of MOAT the company has on offer, the growth potentials, The management quality, the guidance of 3300 crores top line. </span></span></span><br />
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;"><br /></span></span></span>
<span style="text-align: center;"><span style="color: #45494d; font-family: times new roman, serif;"><span style="font-size: 16.6667px;">All in All, The stock seems to be in the value territory in a market which has sharply run-up and a potential multibagger from CMP.</span></span></span><br style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;" /><span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><br />::LINKS::</span></span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="http://www.takesolutions.com/">Take Website</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="http://www.navitaslifesciences.com/">Navitas Website</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="http://www.financialexpress.com/opinion/hr-srinivasan-on-how-take-solutions-grew-from-small-outsourcing-shop-into-a-life-sciences-major/886953/">Management Interview</a></span></span><br />
<span style="color: #45494d; font-family: "times new roman", serif; font-size: 13.2px; text-align: center;"><span style="font-size: 16.6667px;"><a href="https://www.screener.in/company/TAKE/consolidated/">Screener-Take</a></span></span><br />
<span style="background-color: white; color: #444444; font-family: arial, helvetica, sans-serif; font-size: 13.2px;"><b><br /></b></span><span style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></span><br />
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<br /></div>
<div align="center" class="MsoNormal" style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<b style="font-size: 13.2px; line-height: 18.48px; text-align: left;"><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Note: The above is not a research report but information as available on public domain and it should not be treated as a research report.</span></b></div>
<b style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px;"></b><br />
<div align="center" class="MsoNormal" style="-webkit-text-stroke-width: 0px; background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-style: normal; font-variant-caps: normal; font-variant-ligatures: normal; font-weight: normal; letter-spacing: normal; line-height: 18.48px; margin-bottom: 0cm; orphans: 2; text-decoration-color: initial; text-decoration-style: initial; text-indent: 0px; text-transform: none; white-space: normal; widows: 2; word-spacing: 0px;">
<div class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 12pt;">
<div align="center" class="MsoNormal" style="font-size: 13.2px; line-height: 18.48px; margin-bottom: 0cm;">
<div class="MsoNormal" style="background-color: white; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"></span></div>
<div class="MsoNormal" style="background-color: white; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Registration status with SEBI: I am not registered with SEBI under the (Research Analyst) regulations 2014 and as per clarifications provided by SEBI: </span></b><span style="font-family: "times new roman", serif; font-size: 12pt;">“Any person who makes recommendation or offers an opinion concerning securities or public offers only through public media is not required to obtain registration as research analyst under RA Regulations”</span></div>
<div class="MsoNormal" style="background-color: white; font-size: 13.2px; line-height: 18.48px; margin-bottom: 0.0001pt;">
<span style="font-family: "times new roman", serif; font-size: 12pt;"><br /></span><b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;">Disclosure: It is safe to assume that i might have Take Solutions LTD in my portfolio and hence my point of view can be biased. Readers should consult their financial advisory before any investments.</span></b></div>
<div>
<b><span style="color: #45494d; font-family: "times new roman", serif; font-size: 12.5pt;"><br /></span></b></div>
</div>
</div>
</div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com7tag:blogger.com,1999:blog-4178801766396101142.post-71635668063312256722017-10-26T10:48:00.000+05:302017-10-26T10:48:03.876+05:30Guess This Stock 6<div dir="ltr" style="text-align: left;" trbidi="on">
<h2 style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 22px; margin: 0px; position: relative;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: 15px; line-height: 20px; white-space: pre-wrap;"><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<img src="https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgERflKy9rtxW05ifozMnH4eiUrY5odkMgmzuSiXcupkXucn3PuVi8ImACGRLvuqvV2kNaOBjllnIfjxkXDzPhzf4Zh-p6rlhtkWOd09VEjUtQ4WnnuOdki055ClXd4mrmDI0lJdcvj9Gk/s320/question+mark.png" /></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;"><br /></span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;">It is the series of "Guess This Stock", this is GTS 6. Try to identify the stock from the given clues and send the answers to my email id- theaceinvestor@gmail.com. </span><span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;">The stock along</span><span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;"> with detailed su</span><span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;">mmary and name of readers who guessed right will be announced on the blog this Sunday (29th October 2017).</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
</div>
<br style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; white-space: normal;" /><div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #45494d; font-family: "Times New Roman", serif; font-size: 12.5pt; text-align: left;">:CLUES:</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="font-size: small;">1) Current Market Cap is under 3000 crores</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: small; white-space: pre-wrap;">2) Current Stock Price is under 350.</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: small; white-space: pre-wrap;">3) Promoters Hold more than 55%.</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: small; white-space: pre-wrap;">4) June 17 (latest) quarter top-line had double digit growth YoY (June 16)</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: small; white-space: pre-wrap;">5) Co. reported highest net profit since listing (FY17 Annual Nos)</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: small; white-space: pre-wrap;">6) Co.'s majority of product or services find application in a recession proof industry.</span></div>
<div style="color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; font-weight: normal; text-align: center; white-space: normal;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: small; white-space: pre-wrap;">7) P/E is under 20.</span></div>
</span></h2>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; text-align: center;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; line-height: 20px; white-space: pre-wrap;"><br /></span></div>
<h2 style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; margin: 0px; position: relative; text-align: center;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; line-height: 20px; white-space: pre-wrap;"><span style="font-size: small;">Email your answers on theaceinvestor@gmail.com. Right answer with a small write-up along with your name will be posted on the blog on 29th October 2017, Sunday afternoon.</span></span></h2>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;">
<span style="color: #4b4b4b; font-family: roboto, sans-serif; font-size: 15px; line-height: 20px; white-space: pre-wrap;"><br /></span></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; text-align: center;">
<br /></div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com0tag:blogger.com,1999:blog-4178801766396101142.post-48622543587356203952017-10-19T18:11:00.001+05:302017-10-19T18:37:08.727+05:30HAPPY DIWALI<div dir="ltr" style="text-align: left;" trbidi="on">
<img src="http://www.happydeepavali2015.com/wp-content/uploads/2015/10/happy-diwali-wallpapers.jpg" height="410" width="640" /><br />
<div style="background-color: white; color: #444444; font-family: "trebuchet ms", trebuchet, verdana, sans-serif; line-height: 18.48px; text-align: center;">
<b style="color: red;"><span style="font-family: inherit; font-size: large;">Wish all the readers and their loved ones a Happy Diwali and a very prosperous new year ahead.</span></b></div>
<div style="background-color: white; color: #444444; font-family: "trebuchet ms", trebuchet, verdana, sans-serif; line-height: 18.48px; text-align: center;">
<b style="color: red;"><span style="font-family: inherit; font-size: large;"><br /></span></b></div>
<div style="background-color: white; line-height: 18.48px; text-align: center;">
<span style="color: red; font-size: xx-small;"><b><span style="font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: large;">The stock which I shortlisted to publish today has already went up by more than 15% on Friday so I will not be posting any new stock today. Inconvenience is regretted. </span></b></span></div>
<div style="background-color: white; line-height: 18.48px; text-align: center;">
<span style="color: red; font-size: xx-small;"><b><span style="font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: large;"><br /></span></b></span></div>
<div style="background-color: white; line-height: 18.48px; text-align: center;">
<span style="color: red; font-size: xx-small;"><b><span style="font-family: "trebuchet ms" , "trebuchet" , "verdana" , sans-serif; font-size: large;">Hope to write something new soon!</span></b></span></div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com6tag:blogger.com,1999:blog-4178801766396101142.post-87960264130577254822017-10-18T11:26:00.002+05:302017-10-18T11:26:45.045+05:30Diwali Greetings & New Stock<div dir="ltr" style="text-align: left;" trbidi="on">
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<img alt="Image result for diwali" src="data:image/jpeg;base64,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" /></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<span style="color: red;"><b><span style="font-family: inherit;"><br /></span></b></span></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<span style="color: red;"><b><span style="font-family: inherit;"> <span style="font-size: small;"> Wish all my readers & their families a Happy Diwali and a Prosperous New Year.</span></span></b></span></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<b style="color: red; font-size: 13.2px;"><span style="font-family: inherit; font-size: small;">Hope everyone has benefited from the blog..</span></b></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<b style="color: red; font-size: 13.2px;"><span style="font-family: inherit; font-size: small;"><br /></span></b></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<span style="color: red;"><b><span style="font-family: inherit; font-size: small;">This DIWALI on Thursday, New stock will be updated on the blog before Muhurat Trading </span></b></span><b style="color: red; font-size: 13.2px;"><span style="font-family: inherit; font-size: small;">around 3PM. </span></b><b style="color: red; font-size: 13.2px;"><span style="font-family: inherit; font-size: small;">(i.e. 19 October 2017 - 3 PM IST)</span></b></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
</div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<b><span style="color: red;"><span style="font-family: inherit; font-size: small;"></span></span></b></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
</div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<b><span style="color: red;"><span style="font-family: inherit; font-size: small;"></span></span></b></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<b><span style="color: red;"><span style="font-family: inherit; font-size: small;"></span></span></b></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
</div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
</div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
</div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<br /></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<span style="font-family: inherit; font-size: small;"><b><span style="color: red;">Market will be open for Muhurat Trading on 19th October, The timings :-</span></b></span></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<span style="color: red; font-size: small;"><b>6:15:PM - to - 7:30:PM.</b></span></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<span style="color: red; font-size: small;"><b><br /></b></span></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<span style="color: red; font-size: small;"><b>Happy Investing and once again Happy Diwali friends!</b></span></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<span style="color: red; font-size: small;"><b><br /></b></span></div>
<div style="background-color: white; color: #444444; font-family: "Trebuchet MS", Trebuchet, Verdana, sans-serif; font-size: 13.2px; line-height: 18.48px; text-align: center;">
<b style="color: red; font-family: inherit; font-size: large; line-height: 18.48px;"><a href="http://theaceinvestor.blogspot.com/" style="color: blue; text-decoration-line: none;">http://theaceinvestor.blogspot.com</a></b></div>
</div>
The Ace Investorhttp://www.blogger.com/profile/04547892573508846026noreply@blogger.com12