Thanks Ravi for the information. Do we have exact idea on the current capacity of cupid and capacity expansion plans for next 3-5 years. I mean what is the readiness of the company if it gets sudden potentially large orders?
Posts in category Value Pickr
Long term nest portfolio for my daughter (03-12-2015)
'considering that we are in a secular bull market.'
A secular bull market is bull. These ideas are floated by 'market experts' who refuse to see beyond their nose. Please do not believe such stories especially as it is clear now that the global economy is not in great shape.
Cupid Ltd – Helping the world play safe! (03-12-2015)
Hello Guys,
It good to hear about acceptence of Cupid in Zimbabwe as it is very large market with annual demand of ~ 5mn pcs and if cupid get the order it will be very positive for the company.
Source for Annual Demand in Zimbabwe: http://zimbabwe.news24.com/Regional-News/R35bn-tender-was-not-condomwise-20151012-2
Competition: Currently, there are followings players in the industry:
- Female Health Company (FHC)- Market Leader with annual sales of ~62 mn pcs. Its cost of manufacturing is ~15 Rs and selling Price is 35 Rs. It will be difficult for the company to maintain this run rate from public orders due to competitive pricing of Cupid. Company sees the possibility of the same and has started focusing on direct sales in USA.
- Cupid: Company has just started its journey with large orders from Africa. It is available in around 30 countries as of now and is in process of registering in other countries (FHC has presence in 132 countries). As company evolve, it can eat market share of FHC as its selling price is ~24 (cost price is 4 Rs), which is much lower than FHC sales price. Its product is also getting very favorable response from the users as it is easy to use (very important & critical factor).
- Sanghai Dahua Medical Apparatus Company in China which is licensed by a NGO PATH based in USA: It manufactures O'Lavie brand. Its selling price is ~50 Rs and based on various survey its product is not easy to use. Thus, its not a threat, atleast in medium term.
- Tianjin CondomBao Medical Polyurethane Tech: Its brand is Phoenurse and is not a threat as it is in testing Phase.
Based on the above points i think, Cupid has very limited competition in the medium term and can get various orders going forwards due to favorable response for its product and cost advantage.
Valuation: As far as Valuations are concerned, its trading at ~25x FY16E and is not expensive looking at a) Growth Potential b) Moat (Cost Advantage) c) Oligopoly Industry d) High ROE and Dividend Yeild.
So as i mentioned few days back, patience to hold would be key here.
Note: Invested and Views could be biased.
Any PSU bank worth investment? (03-12-2015)
A good analysis. I must say you have taken pains to collate and analyse. Thank you
If you CAN’T BOTHER to research/present a BALANCED view with decent RISK assessment, you have NO RIGHTS to start a thread on that business (03-12-2015)
Thanks for sharing your valued viewpoint. Our posts crossed.
Please stay true to that spirit, and respond further why Company Q&A Section - is not the best place for idea generation exercises mentioned.
Perhaps some new members are not aware of the utility and purpose of the different sections. But VP old-timers certainly are.
Stock Opportunity is serious business. No slack allowed here.
Company Q&A - is free-format. Use as light or as heavy information/base analysis as you want.
Tree house education and accessories ltd. – Potential candidate for improvement in RoE (03-12-2015)
This is quite puzzling. 3 days of upper circuit and people are scrambling to buy, but the promoters are selling.
03-Dec-2015 Tree House (BSE) GEETA RAJESH BHATIA SELL 2470000 200.50
03-Dec-2015 Tree House (BSE) RAJESH DOULATRAM BHATIA SELL 1530000 200.50
The couple has sold 40,0 Lakh shares today.
http://www.moneycontrol.com/stocks/marketstats/blockdeals_query.php?sc_id=THE01&post_flg=1&myexchg=Both#THE01&utm_source=IW_DATA_stockpage
If you CAN’T BOTHER to research/present a BALANCED view with decent RISK assessment, you have NO RIGHTS to start a thread on that business (03-12-2015)
Moderation is a double-edged sword.
I guess what the Admin team is saying is that the interests of the naive investor need to be protected, lest he/she stop investing after a bitter investing experience upfront, in spite of following some thread on VP.
What Subash is saying is that the naive investor needs to grow up, and cannot be spoonfed/handheld.
We all know that he started this thread to tell us which side of the sword he thinks is sharper.
This is a classic problem in mentoring (not only investing).
Someone needs to draw a line somewhere as the Admin team (metnors) did.
Lets all agree to disagree and get back to presenting our views in a constructive manner on where the line needs to be drawn.
Deepak Fertilizers and Petrochemicals (03-12-2015)
Hi Sir,
Is Rama Phosphates, a nanocap, also forming a cup handle pattern (Nov 5, 2014 to Nov 2, 2015 for the cup and rest handle)? Though volumes are required for the confirmation of breakout at the end of the handle.
Rama Phosphates is manufacturing SSP fertilizers and sulphuric acid.
Regards
Sri Krishna Bhutra
If you CAN’T BOTHER to research/present a BALANCED view with decent RISK assessment, you have NO RIGHTS to start a thread on that business (03-12-2015)
Queries on a stock idea are encouraged at Company Q&A section.
One can easily solicit member views on an idea where one hasn't done much work, but wants to point others to an idea, where there is earnings momentum, hint of a turnaround, and the like.
All are free to share even half-baked work in company Q&A section, or just point folks to an opportunity with just 1 or 2 paras.
But if you are going to start a thread on a stock Opportunity, you got to take responsibility. You got to adhere to the Guidelines - on opening a new thread - that have been very clearly spelt out right from the start. We believe that VP is respected for discussion quality - is primarily because of this type of simple guidelines, that have been pretty easy to follow - for those who look forward to learn from sharing and learning from the feedback on GAPS.
Those who take the stand that they cannot be bothered to work further beyond what they first post - can't be bothered to work on the GAPS, can't be bothered to bring a balance back into an objective discussion on the Opportunity - are simply not being responsible. If they can't do the basic work - why do they have to initiate the discussion??
They can easily restrict themselves to posting on the Company Q&A section, for businesses where no thread exists for the specific stock opportunity. And life would be simpler, both for Admin & themselves.
Hope things are getting clearer through more open exchanges like this.