India Cement

Hi...
No need to introduce the great R K Damani...his stock picks says for him...TCI...GATI...NBCC...etc etc....now India Cement.....yesterday he bought huge India Cement Stock....interestingly he is super bullish on cement sector from last few months.....this is his second time buying in india cement....Seems he is too much confident in this stock....

 

Can you share the link for the same...

 

yes.....in this site written by Arjun....also see moneycontrol......BSE site etc..

https://rakesh-jhunjhunwala.in/dont-miss-radhakishan-damanis-latest-mid-cap-stock-pick/

https://www.moneycontrol.com/news/b...uys-207-lakh-sharesindia-cements_1662181.html

 

Mr. Radhakishan Damani is one of respected veterans in stock market. One can study his stock pickings carefully and learn a great deal about it.Not only he is a good stock picker but also very good businessman. I also read some months ago that while other supermarket stores were struggling to be profitable, his D-mart chain of supermarket was one of the profitable ones.

 

Yes...R K Damani is most recpected figure in the INdian Stock Market.....he is so silent eveytime and never never mislead his followers...rather he is so soft spoken....but his brilliant stock picking always thrill his thousand of fan...latest example, as well said by Arjun, is Gati...TCI etc...when no one even rarely think of logistic stocks, he boldly bought tons of theses stock and after just few months , they all are now 7-8 baggers....and his supermarket is really running profitable.....he is a rare rare rare person

 

Even Ramesh Damani is hugely bullish about cement sector..He is seeing huge upside in cement stocks in near future...these stocks lying almost dead for long period n far below from their life time high..when Damani invest, he do so after lots of research..also time proved that they can c the near future much much b4 dan others...Modi is pushing gor huge construction work like 100 smart city...house for alll...low price houce...infrastrucre development...etc....probably it is time to invest in cement stock....here is the link of Ramesh Damani's interview few months ago
https://rakesh-jhunjhunwala.in/rame...st-diversified-portfolio-of-favourite-stocks/

 

My ONLY concern about INdia cements is, it is owned by the scoundrel Srinivasan ( ex BCCI president and owner of IPL Chennai Kings). This man is not trustworthy. So a bit surprising that Damani of all the people, puts his money in his company! But then, I am sure he has a very good solid reason to do so, which we may not privy too.

 

Srinivasan is atleast a very ggod businessman and knows his business very very well...be assured that Damani has investigated more than 360 degree views of the company...u will rarely see that his pick goes wrong....just ignore short term blip...

 

IIFl issued report recently that demand and turn around of the cement company is just knocking the door...yesterday ICICI also issued report that it expects positive surprise from result of India Cement..lets hope for d best

 

Does someone knows about the demerger of CSK from India Cements. At what value did that happen? If India Cements doesn't have any control over CSK now at what price did they sell the CSK team. I have heard that CSK got demerged only for 5 lakh ruppees. Does this mean that India Cements just got 5 lakhs for CSK team, Can anyone clarify on that ?

 

I personally feel that csk business is not a large part of India Cement business,so it does not matter if it demerges or not . Rather we can research why he picked India Cements .

India Cements has a strong market share of around 30% in south India . Its the leader in south India for cement industry . The consumption of cement is going to be always there. With majority of India's population is falling under 40 years these investors are placing their money in cement,alcohol,housing etc. In business you need to use the opportunities and these guys are doing brilliant and investing in opportunities where there is a space .

India Needs Infra structure !!!!!!!

Young population would be having eye on buying homes !!!!!!

I think just these two things above would indicate how big the opportunities are for the cement industry.

I hope everyone knows why India Cements being such a big player is selling at low valuation . Ramco cement is the second leader in south india but you can see ramco is quoting around 8000 crores market cap . India Cement being the leader is quoting just around 2500 crores . Perhaps this stock has to be higher than Ramco Cement . Problems with India Cement is management is concentrating on cricket and not on business , thats the reason this company value has gone down . Cricket business is not bringing big income for the company . Perhaps its just a marketing part for India Cements . These kind of mistakes happen often in a company , like (either the industry is not performing well , management is not good , scam news ) etc . I think we need to understand coz of this reason this stock is quoting so low . So load your trucks with these kind of bad news , and you will be rewarded later . I have seen a situation people were panic in 2008 during recession and selling all their stocks . I was just loading all the stocks . And it paid me very well . So my suggestion would be use these kind of bad news and grab these kind of news companies . Good Example : DHFL was quoting around 150 when Rakesh juhnjuhnwala bought (they were the market leader in housing finance - No 2 player) but people got panic . He just bought it and within a year he got 2x return .

So when the management gets back to business and runs it well you wont get this price for india cement . It would be quoting around 400 rs . Just a lesson which i learnt from stock markets !!!

 

@Investor2008 How could you say that CSK was a small part. Just the brand value of CSK brand was around $67 million in 2015 as per an article on Business Standard. CSK was a top team and it was estimated that it has a valuation of around $300-500 million dollars, if not more. Sahara bought a team at IPL in 2010 at around 1700 crores. Looking at the current market cap of India Cements if you look at it in any way possible it is a significant chunk considering the current market cap of India Cements is around $400-425 million . All those stuff that you talked about the cement sector and a company as a cement producer is ok but I would rather want to know more about what happened to CSK and does India Cements owns CSK now and if it does not how much it got for it.

 

If csk is going to de merger from this business ,India cements is still a cheap valuations

If csk is going to continue with India cements without de mergering still the value of India cements is lower providing the data's you said .

So its either way positive and cheap valuations for India cements .

I just want the management to concentrate in cement business ,which would happen one day . As per their annual report in 2014 they have said that they are in process of de mergering but still did not get any updated news !!!!

 

My point was that there was news that it got demerged for Rs 5 lakhs, I wanted to know that did India Cements just got Rs 5 lakhs for their IPL team. If that was true don't you think it is negative for the minority shareholders of India Cements considering they got only 5 lakhs for something that was worth $300-400 million. I am not sure what exactly happened with respect to CSK demerger that is why I asked it here so that anyone with the know how or anyone tracking the company could give us clear picture about the same.

 

I think the bet is on the cement story taking over the ipl issues. Also, its not that CSK has been shunted out. There is a 2 year suspension. Its not the core business of India Cements anyways. It will be only a matter of time till that property becomes available again to the co.

 

Can u plz highlight how n upto what extent, financial performance of india cement is linked n dependent on CSK?...can u also highlight what is the potential of India Cement as a pure south cement story without CSK?

 

India Cements is the largest Cement producer in South India. Many questions can be answered if you read this report on it: https://content.icicidirect.com/mai...com/mailimages/IDirect_IndiaCement_Q1FY15.pdf

 

Hi dinesh...
the page regarding india cement by icici direct is not being available in ur above link...plz attach it again

 

https://content.icicidirect.com/mailimages/IDirect_IndiaCement_Q1FY15.pdf