Further dilution on rentals probably, IF BSNL allows colocation of other operator kit. Which is a low probability event as Jio/airtel do their own tower biz. It only gives Vi more leverage over Indus as it can plead with the GOI to colocate with BSNL if Indus asks for payments on time. GOI has already invested in Vi and might be receptive to the idea and besides might make some money out of it.
From the news, Vi owes money to Indus for rentals and are late in paying.
I can think of 3 additional important elements that must be considered: Potential ROE, Sales Growth, and Type of Manager.
Potential ROE: Future growth for Trent depends upon new store addition.
Due to heavy influence from the above factors, Trent will remain a sub-par ROE business even with immense leverage from ‘Lease Liabilities’.
Sales Growth: From FY18 to FY22, Trent did a sales CAGR of 20% but Nykaa did 60%. Why future will be any different?
Type of Manager: Trent – Hired Hand | Nykaa – Founder as Owner Operator with next generation in the leadership positions.
What would be the impact to Indus Towers?
HAL Prachand – Wikipedia(IPA%3A%20pr%C9%99c%C9%99%C9%B3%C9%96,Force%20and%20the%20Indian%20Army.
Here are the AGM proceedings:
fb76b708-378f-473f-a7d3-a7e758c1bba4.pdf (1.5 MB)
Two important inputs:
Pledging of Promoter’s shares is revoked. That process is now completed.
On near term milestone of reaching 500 cr topline and 100 cr PBT in 2022-2023, they seems to achieve PBT target (which should increase the EPS by good 70% of so). Crossing Topline of 500 cr is tough.
Rest all is clear from proceedings.
While they have paid almost all long term borrowing outstanding by FY22, 15cr outstanding is shown as auto loan. Can someone help me understand is it normal a 15cr auto loan or it means something?
IMO how same is steered further may take it to any of the option except options 3 & 4.
It is at a juncture from where next move is very important. And with Govt & Tata backing they should be able to meet any aspiration they decide to be.
Unichem Labs
Other stock in the series of learning STAGE Analysis
If you have seriously read the above posts on Granules and JBCHEM , by now you have understood a lot about early S2 entries. Hence won’t write much about this one as the stock is from the same sector.
Only thing to watchout here is that stock is re-testing the 2nd trading -range .
We’ve to be sure that it closes above that in coming weekends so that one can enter fresh or can add to odd positions . if it starts moving down, that would be a time for exiting the old positions.
Unichem Labs
Other stock in the series of learning STAGE Analysis
If you have seriously read the above posts on Granules and JBCHEM , by now you have understood a lot about early S2 entries. Hence won’t write much about this one as the stock is from the same sector.
Only thing to watchout here is that stock is re-testing the 2nd trading -range .
We’ve to be sure that it closes above that in coming weekends so that one can enter fresh or can add to odd positions . if it starts moving down, that would be a time for exiting the old positions.
JB Chemicals & Pharma
In the series of learning Stage Analysis – here is the 2nd stock.
Weekly Chart
Once a sector is showing strength, we try to find more stocks in the same that are showing intial signs of start of S2 .
We took a very small position at the trendline (red line) break in August -it was already trading above 40 WMA and 10 WMA has crossed above 40 WMA.
We were wiating for pullback and retest of the trendline. Once it started to move after testing the trendline, we added few more stocks.
Then it broke the trading range , we added few more and waited for a putll back – blue circle shows the same. We did not add during that week as we were not sure whether it would go down or ago above the trading range.
Only last weekend we added few more as it was closing above the trading range.
Rest of the factors remain same as in Granules – sector/volume/RSI /MACD etc.
Only one factor is different, montly MACD is yet to cross to buy side. So our exposure to this stock is lesser than Granules . Once that happens, we would add more.
Disclaimer :This is just a post for learning a method. No buy/sell recommendations. These are probability study methods and chances of success depend upon various factors.