DMART ( AVENUE SUPERMARTS LTD ) FUNDAMENTALS

Discussion in 'Stock Picks Of Wizards' started by RAMA MURTHY SASTRY CHALLA, Sep 28, 2017.

  1. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    Retailing sector Euphoria Could Continue ????

    DMART ( AVENUE SUPERMARTS LTD ) FUNDAMENTALS ???
    Price : Rs. 1076.75

    SECTOR : Retailing

    Market Cap : 67189 Cr.

    FACE VALUE : 10
    Eq : 624.08 Cr.

    Reserves : 3216.54 Cr.
    Debt : 1497.32 Cr.

    Book Value : 61.56
    Promoters stake : 82.20 %
    Dividend : Nil

    Sales : 12833.85 Cr.
    Net Profit : 478.75 Cr.
    EPS : 7.73
    PE Ratio : 139.29 (???)
    ================================================
    Stock ---- PE Ratio

    Future Retail : 58.15
    Trent : 96.35
    Future Life Style : 92.34
    Aditya Birla Fash. : 216.72
    V- Mart Retail : 48.11
    V2 Retail : 31.85

    Disclaimer
    : I am not a SEBI Registered Analyst , this is only learning and Discussion Purpose .....

    [​IMG]

    source : Ventura
     
    Last edited: Sep 28, 2017
    Kishorekumar likes this.
  2. kharb

    kharb Well-Known Member

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    India will be third biggest Economy of World in next few years. Should we not expect some of our retailer having market cap like Walmart in US on the strength of 1.3 billion consumers. Dmart and Rel Retail (if listed) may trade at market cap of few lakh Crores by that time. I am invested in Dmart and Rel retail(through RIL) on this assumption . Future group is also there but I dont know how many companies Mr Bihani needs to do do just one business of retail (Some expert member can give list of his many listed, unlisted and subsidiary companies he has made to do just retail business) and how many companies he needs to sale, divest, close, wind up, merge, demerge , to do IPOs, joint venture and not what. In my view pvt financial and consumption are best two sectors to play this Great Indian Bull Market. No recommendation to buy retail, consumption or pvt financial stocks but just for discussion.
     
    Last edited: Sep 29, 2017
  3. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    Wal- Mart Stores USA present PE Ratio is at 18.98

    Indian consumers 1.34 Billions , but our per capita income is very low
    USA consumers 32.27 Cr.

    India's per capita income (nominal) was " $1,861 " in 2016, ranked at 112th out of 164 countries by the World Bank

    The per capita in the United States was last recorded at " 52,194.90 US dollars " in 2016.

    28 Times greater per capita income in USA
    it shows purchasing power 28 times

    but Wal mart USA is at 18.98 PE Ratio with USA 32.27 Cr. consumers
    Indian consumers 4 Times bigger than USA ,

    in my view growth & valuations both are very important
     
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  4. wild_hipman

    wild_hipman Active Member

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    @kharb

    With your such strong conviction about

    - India being the third largest economy
    - in Indian retailers

    Can you answer the following questions that arise in my mind

    - 3rd largest economy : (1) is this your inherent belief or simply based on what Morgan Stanley has recently stated? (2) if it's your inherent belief, can you lay bare your rationale behind this conviction of yours

    - indian retailers: (1) what according to you is the future retail scenario? Online or brick and mortar stores? (2) why do you limit yourself to Walmart only and not belief that Indian retailer valuations could be like that of Amazon and Alibaba (currently around double of Walmart) (3) with indian being the brightest spot, where do you see the presence of global retailers (both online and brick and mortar) in Indian markets?

    - Don't you think that if India is going to leapfrog to 3rd largest, other sectors would similarly leapfrog. Do you see Infosys or TCS mkt cap matching that of Microsoft, Google etc or Sun Pharma etc being top notch global pharma company like novartis or Pfizer or Sanofi ?

    And ofcourse do you think Rel Cap will be up there along with the top wall financial institutions like Goldman Sachs or J P Morgan etc
     
  5. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    Can you answer the following questions

    1. In future next 5 years Demart maintaining same PE Ratio 139 approx ?
    2. If other strong business groups in india also starts same retail business like Dmart stores
    near by Dmart stores , is it continue profit growth and PE Ratio expansion same manner ?
    3. In future thousands of retail shops established other Indian groups like Dmart , growth and expansion in Demart same in future ?

    in my view largest economies are not working much , per capita income will decide business growth
    , purchasing power is final strength ....

    and I am not interested in NBFC stocks , just i saw Relcap for trading purpose
    but present my priorities are deferent ....
    In ADAG Group my views are negative .... it is another JP Associates ( Not J P MORGAN )
     
    Last edited: Sep 29, 2017
  6. wild_hipman

    wild_hipman Active Member

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    @RAMA MURTHY SASTRY CHALLA

    First, My message and questions therein was directed to @kharb and not you and
    Second, in case your questions are also meant for @kharb , kindly state that clearly just like I did

    thanks
     
  7. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    ok ji , dont think other wise , my questions are for all members , who is interested in this subject
    purpose is only learning
     
  8. wild_hipman

    wild_hipman Active Member

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    So @kharb and any other member please do answer the points raised by Rama

    Btw Walmart that is being referred to quotes at a PE of below 20 if I am not mistaken but Amazon is over 200