I read in a NTPC thread that power companies’ ROE are capped and it will always sell at BV of less than 1.
Does this apply to Power Grid also?
Posts in category Value Pickr
Godawari Power – Any Trackers? (27-09-2022)
In a low demand scenario when prices fall, integrated players would have a significant cost advantage over other players.
Rajratan Global – Focused Tyre Beadwire Company (27-09-2022)
If the volume growth is expected to be 20 to 25 percent, what is the expected revenue growth to be considered if steel prices are falling
Investing Basics – Feel free to ask the most basic questions (27-09-2022)
Another Q from me:
There are certain stocks which look good from most angles, valuation, cash flow, debt etc. One can just buy them, except, the price doesn’t go up relatively, not enough even in a rally. When you look at historical prices, you find that prices are mostly similar/rangebound.
Is there something i am missing?
Stocks like Exide, Redington, HDFC Life and many more.
They come up in many screens. Exide comes up in “High Growth High ROE Low PE” screen at screener.in
Why should these not be wealth creaters then?
Shivalik Bimetal Controls Ltd (SBCL) (27-09-2022)
Top 10 high level updates only, for now (Travelling)
(Getting too many calls, so here’s a quick take 
)
- 16% Market share in Bimetals
- JV With Arcelor company with 16% stake - has been instrumental - in Bimetals tech/process upgrades
- 10-15% Market share in Shunts. When pressed, if closer to 10, confirmed its higher
- Europe 5G installation/rollout phase - Shunts required - Shivalik delivered quick solution, likely to be the de-facto choice
- Shivalik is the Ref Standard for couple of products
- exclusive supplier to a major Bimetals customer - pushed by the company to deliver unique customised solution
- Global cost leadership confirmation. Added that they are also known for the fastest response times. (there is a 3rd global lead attribute - will check and add from notes)
- EV Shunts opportunity is not possible to quantify as it is still to play out. They are preparing certainly to be in the best position to harness/exploit the opportunity. 8x to 16x shunt requirements in EV than current. Domestic EV will certainly be dominated by Shivalik once it opens up.
- Should a huge opportunity come knocking suddenly, they will be able to put up enhanced capacities at much faster rates than competition - 1/2 the time Competition will take, as they have the complete value chain in-house - in-house custom design ability for automated machinery and inline automated inspection process
- Largest capacity for Shunts globally (already). Another 60% expansion in next 2 years
- Company developed product/solution for a US Customer (on their sustained insistence) in 18 months. Earlier monopoly supplier dictated both price and delivery timeframes. Once product/solution it was revealed by customer that the earlier company took 4 years to develop the same product.
There you go, thats the unfolding story!
Thanks for everyone’s help - in asking great questions at the AGM.
Management gave a lot of time and answered every legitimate question
PS: without benefit of checking my Notes, will refine later when I get the space. Others, please correct inadvertent mistakes, if any, from my side. Could be my excitement …if I got some things majorly off 
KEI Industries Ltd – A consistent performer over the last decade (27-09-2022)
Notes from last CNBC interview:
https://www.youtube.com/embed/iagBockB5rE
- Expects annual revenue to increase to 12k from 6k crores in the next 4 years.
- Margins to expand by 1-2 % in the next 3-4 years. Annual operating profit should be 1300(current TTM is 635) crores based on this management’s guidance in FY27.
- Aiming for 17-18% revenue growth next 3-4 years.
- Current B2C/retail % is 42% and expects it to become 50-55% in the next two years.
- Brownfield capex to start by end of this year.
IDFC First Bank Limited (27-09-2022)
This should be seen in conjunction with the new credit card norms which state
-
Newly acquired user should activate their credit card within 30 days of card issuance with a OTP consent.
-
Cards unused for > 1 year period should be autoclosed after informing the customer.
And a bunch of other, details below:
https://m.rbi.org.in//Scripts/BS_ViewMasDirections.aspx?id=12300
Implementation deadline for above is extended to 1st October.
Some prudent banks might have already gone live with those rules and might have absorbed the impact.
October ending disclosures should give a better picture on #Cards market share for banks & True Average spend per card numbers.
For now, it makes sense to track growth based on spends market share.
Agarwal Industrial Corporation Ltd – Profitable Microcap with high growth potential in infrastructure space (27-09-2022)
Profit margins in % terms or in absolute terms…?
bcz in one of the concall mgt mentioned that maintain absolute margins irrespective of bitumen prices.
Kindly correct me if i m wrong.
CDSL – Stock for our children (27-09-2022)
Regarding the new announcement on insurance Dematization… I just want to find how it work. Will the insurance companies dematerialise or the customer have to do…
If customer have to do, many brokers like paytm, zerodha would open up opportunities to dematerialise. else the customer who have CDSL account can directly do it…
What about insurance policy holders who doesn’t have demat account? If I am not wrong they would prefer to dematerialise with their own demat partner (mostly NSDL)
When new policies are issued will that be dematerialised when issuing itself.