you are absolutely right. When you get discharged and paying bill you realize how expensive is the treatment. they are looting public in the name of service.And show meagre PAT. where does all the money go?.
e.g. Simple blood sugar testing they charge Rs 90 to 180 depending on where you get admitted.Do you know the cost of doing blood sugar. Rs 10/. I do charge 40 for my patients in my own hospital. Most of labs do for 40-50. but Narayan Health charge three times and claim to provide cheapest rates in the country. you can check yourself.
They are all businessmen in the guise of Doctors
Posts in category Value Pickr
Narayana Hrudayalaya Ltd IPO – Should we invest or let it pass? (17-12-2015)
R Systems International (17-12-2015)
Hi @suns
What is this comment. Please read posting guidelines before posting anything.
MCX and Financial Technologies (17-12-2015)
Well said Dhwanil, I guess there is nothing more than we can do than wait and watch. One thing is for certain - if in a year or 2 BSE is not able to make any major dent on volumes of MCX - it will definitely call for higher allocation toward the stock!
Gulshan Polyols(GPL) – Business by FMCG and Valuation by Commodity (17-12-2015)
On ValuePickr I believe we discuss business and fundamentals and not price ... at least not only price ... Going thru thread will give you enough information for you to decide.
ALLSEC Technology – BPO turnaround story (17-12-2015)
Allsec maintains payroll for Accenture India(I work for the company). Payslips, promotion letters and bonus communications were processed on time. So,the operations had minimal impact and what Mr. Mohan says about Chennai rains impact seems to be true.
Accenture has a healthy relationship with Allsec and I have witnessed them working together for 7th year(minimum).
Not invested in Allsec.
Nitin Spinner – textile yarn story (17-12-2015)
http://www.indianivesh.in/Downloads/635858597054986250_Nitin_Spinners_Ltd._Initiating_Coverage_Dec_2015.pdf
Target - 112
Initiating coverage by Indian Nivesh. I used to be a big Daljeet Kohli fan in the past but went away from his path, after a few things did not play out but off late, I am back to liking him and his team !! if someone can digest this D/E, the rest looks stellar, as ever in Nitin..off late, Mr.Market seems to like it too
PS - Invested but no transactions in the last few weeks..I am at breakeven @CMP
Hindistan Media Ventures Limted (HMVL): A mispriced bet in newspaper business (17-12-2015)
Thank you for all the input.
Dhwanil, your commentary has been invaluable. It has provided great insights into the business and the industry.
These are my thoughts....
In this industry once a newspaper has reached a significant scale, it begins to enjoy immense pricing power.
The newspaper creates a network effect that commands a premium from advertisers. Customer stickiness also allows the newspaper to increase cover prices.
Thus establishing a network effect in a large market is very powerful.However HML's entry in UP, and DB's entry in Bihar/Jharkhand point to the fact that an incumbent's network effect can be encroached upon. Thus a players ability sustain a created network effect is extremely important.
Amar Ujala failed in this respect allowing HML to gain market share. While HML has also bled some market share with the entry of DB, it has been more resilient when compared to Amar Ujala. Yet readership has fallen. From 2012-2014, Bihar readership has fallen from 48 lakh to 43.8 lakh, and Jharkhand readership has fallen from 17 lakh to 13.8 lakh.
DB's launch strategy (known as the Orbit-Shifting Innovation) has won a business process innovation award, and is case study at top B-schools. DB has basically been very successful in entering new markets in the past. You can read about it here: http://www.dainikbhaskargroup.com/pdf/Media-Center-Case-Studies/Making-Breakthrough-Innovation.pdf
What I find extremely puzzling is that DB has not yet made an endeavor to enter UP/UT. In recent times DB has entered Bihar and Jharkhand but the UP/UT market is bigger than the Bihar, Jharkand, and Delhi markets combined.
I would love to hear everyone's thoughts on
1) Why has DB not entered yet, am I missing something?
2) What will happen to HML's market share and growth prospects if DB decides to enter now
A possible reason could be that perhaps DB was unsuccessful in penetrating the Bihar and Jharkhand market, and thus DB management is not confident about going head to head with HML again. If this is the reason, then I think it very strongly reinforces the strength of HML's moat. This is just a possible reason. I have only recently started to study this industry, I'm far from an expert. Hence feedback is welcome, and much needed.
If its true, the implications are very favorable. Due to correlation between readership and pricing power, as HML continues to increase its readership in UP/UT, FCF will grow incrementally. FCF has quadrupled in the last 5 years (29% CAGR), and that trend may continue.
I look forward to some feedback. Thanks guys.
Disc: Not invested but looking to make a position
MCX and Financial Technologies (17-12-2015)
Hi Abhishek,
It is very difficult to see through the crystal ball and predict impact of new entrants like BSE & NSE on MCX's market share. Though, my own investment thesis is based on the central premises
- The current commodity trade on exchanges is set to grow exponentially due to introduction of options, new products and new participants. Thus, my hypothesis is that the pie will grow much bigger than what it is today (multi fold).
- World over, it has been difficult to take away market share by new entrants from incumbents, especially in commodities where they enjoy monopoly. Thus, even if BSE/NSE enter the commodity exchange space, MCX may shade some market share, but is likely to remain leader in energy/metals/precious metals. (this has been proven in India. NCDEX has retained it's market share in agri commodities inspite of MCX launching number of agri commodities contract and similarly MCX has not given away any market share in it's forte to NCDEX inspite of NDEX launching contracts in gold/silver/energy)
On faster platform speed- I do hear that it at times is an attraction for speculator. However, I wonder if that is a preference of customers (traders), what will stop MCX from emulating/adopting the strategy and moving to a much faster platform? At the end of the day, there is nothing so proprietary about faster platforms and are but are supplied/built by third parties/providers.
Another perspective we should keep in mind: when SEBI will allow BSE/NSE to enter in commodity space, it will also allow commodity exchanges to enter equity/equity derivative space. It will be a two way street. Thus, the target market for MCX will also expand and it may too decide to enter in that space.
Narayana Hrudayalaya Ltd IPO – Should we invest or let it pass? (17-12-2015)
Hospital business in India is like liquor business. High margins and high capacity utilization at a unit level, but low RoE at a consolidated level. The bucket leaks for the benefit of the owners. Apollo is a great example.
Strides_Arcolab (17-12-2015)
Religare reiterated the same defense of Strides vs Mylan and puts a target of 1570/
http://www.moneycontrol.com/news/recommendations/buy-strides-arcolab-targetrs-1570religare_4619381.html