Since its kinda holding company, what is probability these holdings will ever be liquidated (All bajaj group cos). If no trigger in foreseeable future, company might trade at similar discount in future too.
Posts in category Value Pickr
Byke hospitality – Truly asset light? (07-09-2015)
I Agree with you on the seventh pay commission impact and low base (7% ) opportunity. A recent tourism sector report puts overall tourism industry growth at 10-12% for the last 10years and will continue at that pace. Due to oversupply not all hotel companies are able to show that type of growth.
Bykes aggregation business allows it to play throught all tourist destinations in India, certainly a big cushion + growth driver . Something other hotel stocks do not have.
But there is a significant threat from online players to the room aggregation business. Currently the threat is not big^ , but with improved connectivity and better user online experiences in a few years it will be a significant threat. Hope Byke has a good online strategy to combat that and consolidate its offline bookings share.
( Not big^ – Makemytrip is the leading online booking service provider in India with 40% share. But MMT forms only 5% share of the overall India hotel bookings market. So the entire online booking market is 10-12% only for now. 12% after tons of cash burning of Vc , PE money. Add to it cut throat online competition)
REPCO home finance – another Gruh in the making? (07-09-2015)
If market is that efficient then what are we (you) doing here? We should not do any research and buy the index. This would be the best that one could hope to do. Let us not become believers and disbelievers in efficient markets at the same time.
REPCO home finance – another Gruh in the making? (07-09-2015)
If market is that efficient then what are we (you) doing here? We should not do any research and buy the index. This would be the best that one could hope to do. Let us not become believers and disbelievers in efficient markets at the same time.
Byke hospitality – Truly asset light? (07-09-2015)
Thats great hardyboy !!
I have prepared a set of questions. It would be great if you could get answers for a few
1) Does Byke focus on destination weddings & other wedding related services as a sizeable source of revenue? Does Veg only kitchens help them acquire clients for its wedding business? Do you see the wedding business as one of the growth drivers for Bykes future earnings?
2) The reason behind its proposal to acquire a property at isle of wight ,UK ? Will it be leased or owned?
For leisure tourism or MICR/destination weddings? Do you see more such outside india acquisitions in the future?
3) Regarding room chartering : You have achieved high occupancy ratios of 94%. But when we try to scale it up to from 5000 to 50,000 rooms , can the high occupancy ratios maintained? Will Byke be able to find buyers for absorbing it? What extra measures would be needed to maintain the occupancy levels and avoid unsold rooms ?
4) Is there a uniform code or standard of service being offered across all of its leased properties ? Is there a ‘process’, a operational structure being put up to standardize the level of service across its leased properties?
5) Regarding the rating suspension.why was it suspended? Was it a commercial reason to stop getting rating services?
6) Who are Byke’s closest competitors ? a) For its lease & operate properties ? b) For its aggregation room chartering business ? Does it see any of them as a considerable threat?
7) Bykes Online strategy : Does Byke plan to enter the online market in future? If yes . Is it working on some differentiated model / strategies to compete with the existing big players?
( My 4th question is a bit vague, but it would be useful to know if they have a system)
Hope I have covered all the major issues. Please add, if I have missed any.
Maharashtra Scooters : Value of Listed Investments Make it a great value pick? (06-09-2015)
Friends,
Please help me evaluate this opportunity.
Maharashtra Scooters has the following listed investments:
1,897,466 shares of Bajaj Finance.
6,774,072 shares of Bajaj Auto.
3,725,740 shares of Bajaj Finserv.
3,387,036 shares of Bajaj Holdings and Investments.
In my calculations the current market value of listed investments is around Rs. 3662 crores.
The total market capitalization of the company is Rs. 1104 crores with 0 debt.
Disc: No holdings yet, investor in Bajaj Finserv. Will invest soon after rechecking my calculations.
Thank you!
Emkay taps and tools (06-09-2015)
@Nakul Since you have been through the RHP, I have some questions for you:
- Any reason you believe that this stock has potential to grow? It should either be under priced or have potential for revenue growth.
- Are the promoters planning some kind of expansion to increase their sales? The sales have been stable, as you have mentioned, for the past 3-5 years.
REPCO home finance – another Gruh in the making? (06-09-2015)
The article talks about Repco Bank and NOT Repco Home Finance. Now, I’m not sure whatever the impact may be, will it percolate to RHFL. But, market would have discounted it anyway if there is anything to worry about.
REPCO home finance – another Gruh in the making? (06-09-2015)
@richdreamz Sorry, I forgot to add – Are there any updates on that case?
Byke hospitality – Truly asset light? (06-09-2015)
yes.anything else you want me to ask them.if they walk the talk of increasing charter rooms from 5000 to 50000 in 3 yrs,then we are looking at good returns.
i am sure seventh pay commision will be game changer for local tourism ,especially 2 -3 star hotels.because of ltc policy and generally more cash available.only 7 percent indians roam per year.mostly during vacation people go to relatives place.other than gujjus and bengalis thereis no culture per se for people to see different places other than religious ones.
all state government and central government trying to boost tourism.i think the segment in which byke is there is going to benefit immensely.
i will request you all to do some number crunching.
i think there model is unique.