genus power

Equinomics and IIFL recommended a new multibagger named "Genus Power".....buy for long term

 

I think it is good stock. Good management and product and reasonable valuation.

 

Could you elaborate the good factors listed above - good management, good product and reasonable valuation.

Thanks

 

I am also keen to know. Besides,how does this scrip campairs with Shilchar Electronics ?

 

Products of Genus Power are Electrical Meters. They also offer services of erection and installation of electric equipment.

 

There is detail report by Chokka Lingam, expert with Equinomics. He says:

In our view, Genus Power is well positioned to capitalize the emerging opportunities in the power sector with strong balance sheet and quality management. We expect the company to post an EPS of Rs.4 for FY2017 and hence, arrive at a revised target price of Rs.40 (assuming 10xFY2017E EPS, with an investment horizon of another one-year). We also believe that this stock has the potential to emerge as a multi-bagger in about 3 years considering substantial opportunities for the expansion of power sector and housing projects. Every new building needs power metering equipment. Genus Power has the technology and credible past performance. Therefore, we consider this stock as a long-term multi-bagger.

Stock is multibagger potential

 

and I quote :

"Equinomics: Morning Insight November 27, 2015

Call Closure: Genus Power Infrastructures Ltd

We had initiated our BUY call on Genus Power at a price of Rs.27 on 06th Feb 2015. This stock has breached our target price yesterday, giving a return of 50%. We close our BUY call on Genus Power.

IIFL only has a technical buy - Genus Power Infrastructures : Electrifying gains in the offing
Inverted Head & Shoulder breakout:
...... would attempt at least Rs. 62 in 9-12 months. On the downside, Rs. 34 is is a critical support for the stock."

None of them are shouting a buy or a multi-bagger call.

 

Aah thanks for this update. Srouta post about Equinomics views had left me confused for it mentions a target of 40/- which from the money control screen grab i figured had been breached. So wondered the relevance of the equinomics quote

 

Genus Power appears a promising pick ,no doubt .But, what will it make a multibagger investment. Is it highly undervalued? Is it in near monopoly business ? Any moat ensuring sustainablity in the long run? Does it appear better than Shilchar Technology of the same sector ,which is suggested in some other thread, on fundamental counts?

 

Surprised about call closure. How multibagger call be closed after 50% gain? What is meaning of multibagger then? Very surprised about Equinomics stand.

 

Just by chance my reading got vindicated.It is just serendipity.

 

Only questions... Any clarity too through answers found to some of the questions ?

 

lol and I wasn't aware that this site was selling the idea too, only after I was cleaning my inbox, read that article
no wonder gullible "investors" looking for the next multi bagger fall for it

 

@ Mr Pathak -

Sir I expect from much more knowledgable and seasoned investors like you to satisfy some queries which crop up in mind when I try to think about investment. Sir,I confess my ignorance . I am trying to learn. REGARDS!

 

Net Profit (Electricals Sector)

Company Name Last Price Change % Change Net Profit (Rs. cr)
Bharat Elec 1,223.45 -0.05 0.00 1,167.24
Genus Power 46.60 0.80 1.75 53.12
Centum Electron 599.25 -7.75 -1.28 32.05
Zicom 127.50 -0.90 -0.70 11.30
Incap 27.00 -0.45 -1.64 1.98
Delta Magnets 35.00 0.75 2.19 1.06

 

Chokka Lingam is a decent chap. Have heard him a few times and like his ideas. Seems to border on conservatism. Honestly in times like these any stock with a reasonable business model and potential and with a P/e of under 12 deserves attention and possibly investing small amounts. From the little i read abt genus ( all my knowledge about genus is from this thread only) it seems worthwhile to consider ie worth taking a chance - but entry only around 32-35 and definitely not with a multibagger mindset. Pure gut and punt for me for this one

 

i met Choka in October at a Dalal Street - BSE investor awareness program
he's mostly looking at companies with "free cash" "cash more than or x % of market cap"
also reading his morning insight mails - he's a low/medium risk kind of investor

only replied to this thread because people would be mislead when the fact was that Equinomics had actually closed its buy call

 

Thanks for the guidance .Your comments on Shilchar is still awaited . In addition , please name the critaria to be cosidered to search for multibagger ideas.Is it right time to look for a multibagger?Please reply.

 

Shakti ji,

not sure if the message was for me

i'm glad my posts could be of any use. not really a stock picker - i think all my successful or profitable trades/investments have to do with luck rather than my ability

multi-baggers, value investors, moat, hidden gems - at the peak of markets these words are thrown around and i'm not really a subscriber to any school of thoughts like these, if a trade/investment can make me money, i'm in

from what i've observed across forums since starting again in September 2015 is that people buy a XYZ and then go around shilling the idea as the next multi-bagger citing all kind of fancy reasons, i'm happy if people make money following that
i'd rather commit an error of omission rather than commission irrespective of the tradeoff

haven't ever looked at Shilchar, will read up and jump in with my views