Superb space within CDMO
Posts in category Value Pickr
Windlas Biotech – Pure play CDMO currently at ~1.1x sales (21-11-2024)
Samhi Hotels – Turnaround with Tailwinds (21-11-2024)
Superb season for Hotels.
Concord Control Systems – An SME railway stock (21-11-2024)
Recording of 1st Concall:
Concord Control Systems Ltd Q2 FY2024-25 Earnings Conference Call
Bajaj Finance Limited (21-11-2024)
Is there something about this stock that we don’t know but market knows.
Its unbelievable that while the profits/revenues have grown by more than 100% over last 3 years, the price hasn’t moved one bit!
With a 20-22% ROE, the EPS double from here in next 4 years. The current PE is 26. If the price doesn’t move, then the PE will come down to 14.
A company growing with 22% ROE and 25%+ top/bottom line growth cannot be trading at 14. It hasn’t happened before unless there are nasty surprises along the way.
What are we missing here? Some say that its because of Jio financial hangover but is that really true? Of course Jio has lots and lot of capital but so do many big banks. Is it really this easy to build a granular consumer book, the kind of that Bajaj Finance has, that market is jittery about Jio financial?
How to take leverage to go long in market (~2 years)? (21-11-2024)
Its true that not all stocks are in fno.
However, I don’t understand how the leverage is high? Isn’t it upto you how many contracts you get into? You can always hold cash in debt instruments to ensure the leverage is not very high… right?
Kovai Medical Center and Hospital – Health and Wealth (21-11-2024)
The company must do concalls if they’re planning to expand beyond a regional hospital. There is a clear lack of visibility due to which haven’t invested beyond a small % in last year. Look at Asarfi, which is an SME company who have started concalls
Premco Global — Narrow Fabric (A critical component for inner wear) (21-11-2024)
and price went up by Rs 150… even when quarter numbers were not good… what is the sense?
Kiri Industries: Loan reduction and demand surge (21-11-2024)
I think we must think twice before passing off our opinions or assumptions as facts. The promoters have suffered along with the investors since 2010:
- They pitched a turnaround opportunity to Longsheng and were actually able to turn it around. Then they saw it fall flat as Senda refused to listen to them on any part of their business
- Their current dyes business suffered not only due to industry dynamics but also because a lot of their energy and money had to be spent fighting out this case in Singapore
- All this while they’re seeing huge bull markets come and go, new industries and cycles playing out
- They also don’t want to stagnate and want to grow their business which doesn’t happen if you pay off everything as dividend. They themselves would become much richer if they had paid off the dividends and started another company
- They have roped in experienced professionals to invest in sunrise sectors as any businessman wanting to diversify should
- Copper production anyhow involves a lot of chemistry which they have experience in + utilizing the SO2 released to make fertilizers
IDFC First Bank Limited (21-11-2024)
They have at least 750Cr exposure:
400Cr exposure in Adani Ports via IDFC Limited (looks like one more legacy item).
250Cr exposure in Adani Enterprises directly via IDFCFB (not legacy).
Found these on free versions of Crisil and Care ratings websites. There may be more hidden/indirect exposures – I’ve not done extensive searches.
On top of these, there is about 345Cr exposure in Fusion Finance…
There goes at least next 2 quarter profits in provisioning, unless Mr. VV has already provisioned for some of these 