Vinyl Chemicals India Ltd : Hidden Gem in chemical Industry

Discussion in 'Ask A Query About Your Stock Picks And Portfolio' started by RAMA MURTHY SASTRY CHALLA, Sep 22, 2015.

  1. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    Vinyl Chemicals India Ltd


    Hidden Gem in chemical Industry CMP : Rs.57


    MAIN HIGHLIGHTS OF THE COMPANY :


    (*) Promoters : Pidilite Industries ltd subsidiary company for a strategic reasons to export oriented and domestic purpose and Promoter's holding is 50.45 %

    (*) Pidilite is a very good management company and it is a leading company market

    (*) Company main focus remains in its product “ Vinyl Acetate Monomer (VAM) “

    (*) Now VAM is a Import product in India by and various global suppliers and distributors /traded in India.

    (*) Vinyl Chemicals India Ltd will maintain its major presence in the field of Trading of various specialty chemicals in future all over the world

    Face value : Rs. 1

    Equity : 1.83 cr.

    Market Cap : 103 cr.

    PE Ratio : 10

    Continuous sales & Net Profit growth in last 5 years

    Debt Free company


    Source : vinylchemicals company official website

    Note : please reanalyze once again before buying this stock according to your Risk Apatite

    ALL THE BEST.....

    Rama Murthy Sastry Challa
    ELURU
    ANDHRA PRADESH
     
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  2. dineshkapoor27

    dineshkapoor27 Active Member

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    The only issue I see over here is that the company's primary work is trading and not manufacturing. Trading is a tricky business and probably with low margins.
     
  3. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    Dear dineshkapoor27 ,

    Vinyl chemicals manufactures (VAM) : please read this .....


    Vinyl Acetate Monomer (VAM) was "manufactured "in the plant located at Mahad in Raigad Dist , Maharashtra , India and was sold all over the World.

    please study in company website : https://www.vinylchemicals.com/products.aspx
     
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  4. dineshkapoor27

    dineshkapoor27 Active Member

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    Dear @RAMA MURTHY SASTRY CHALLA in the same link please read:

    " Lately during Dec'07 the said plant was de-merged to resultant parent company M/s. Pidilite Industries Ltd for strategic reasons.".

    So now that plant belongs to Pidilite and it is the manufacturer. So this company is in trading business only.
     
  5. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    No .....de merger of pidilite industries Ltd .. is correct and plant is with vinyl only ....

    de merger with plant also ...please read carefully ....

    what you are trying to tell about this company ? ....

    they are doing manufacturing and trading also ....Vinyl Acetate Monomer (VAM) was manufactured in the plant located at Mahad in Raigad Dist , Maharashtra ,

    in trading they are making good profits because
    scarcity in world also .....India is now importing ...
    trading is a not bad idea..... Adani enterprises also in trading ... what is wrong in it ?

    I have already given company official website ...in my previous posts
    please study in company website : https://www.vinylchemicals.com/products.aspx
     
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  6. dineshkapoor27

    dineshkapoor27 Active Member

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    @RAMA MURTHY SASTRY CHALLA ji, please dont take any offense. If you believe in the company please do invest. If you believe in the trading business, then I suggest you also look at Sakuma Exports. < 60 cr of mcap for a company which makes 20 Cr of pat last year. Adani enterprises is not only in trading. Its also in gas supplies and now even planning to go in electronics manufacturing. If you believe in Vinyl please go ahead and invest. I am just pointing out my reservations which may be wrong. No need to get offended.
     
  7. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    @ dineshkapoor27 ji , ok , i am not offend your words ...i never take it as personal brother ...
    your analysis also providing good information ... i am giving my best analysis ... i am discussing about
    pros and cons also ...according to investor analysis and risk they may take decision ,
    i am providing some information on that company ...Analysis is their responsibility

    Ex : i am having clariant chemical in my personal portfolio , but you know i suggested him Aurobindo pharma
    it is not in my portfolio , but i suggested because on those three stocks , auro pharma is showing wonderful results ... i considered growth story only .....

    ALL THE BEST BROTHER
     
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  8. dineshkapoor27

    dineshkapoor27 Active Member

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    @RAMA MURTHY SASTRY CHALLA good to read that sir. In stock pickings, there will be a lot of disagreements as many people come and form different arguments. Its never personal or to belittle anyone. I am here to learn from you guys and hopefully I try to give what I learnt. I agree Auro Pharma is a great stock just wanted to clarify there that due to inflated PE it might correct a lot if there is an off news or bad quarter.

    Look forward to learning more from you brother.

    All the best to you as well!
     
  9. RAMA MURTHY SASTRY CHALLA

    RAMA MURTHY SASTRY CHALLA Well-Known Member

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    Dear dineshkapoor27 ji,

    i am very happy to read your reply , sure i am with you my brother ...we will together discuss and search for new multi baggers ..... Great .... ALL THE BEST Brother
     
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