Posts in category All News
Trent — A value unlocking story from the house of TATA (19-11-2024)
Dear Investor no 1,Thanks for your comment. yes H & M and Trent are different , but you can compare some metrics. Valuation often involves some degree of subjective assessment, especially regarding future prospects. Every investing choice (like most other choices in life) is a leap of faith. We choose something based on present evidence. We review periodically and change if things don’t work out – no harm, no foul. As with life, we live and learn. There is no magic path that we know beforehand will always work. The only comfort is we will know where and how to correct the course if we have a goal and a target. So, I must not be smug about my investment choices and stop assuming they are the best. Trent has a significantly higher P/E ratio, suggesting higher growth expectations from investors. After Q2 result which was below the market expectations, I chose to reduce my allocation and book profit. I did not sell at the peak as the growth was good in Q1, I booked profit after Q2 results as growth reduced compared to valuation. I may be completely wrong cutting my allocation just by looking at Q2 result. Still Trent is the largest holding for me. If in Q3 the growth picks up again, I will keep my allocation as it is and may be add some more, depending on cash availability.
Birla Opus Paints unveils its 4th plant at Chamarajnagar, Mysore (19-11-2024)
The Chamarajnagar plant, with a capacity of 230 MLPA, will produce Water based paints, Enamel paints and Wood Finish Paints. The Water based paints will use inhouse manufactured advanced Emulsions as key raw material through unique polymer synthesis process helping company offer innovative paint features like multi stain resistance, outstanding dirt resistance, crack bridge-ability and high scrub resistance leaving no furniture marks when consumer paints with Birla Opus luxury products. The Solvent based paints will use inhouse resins with exquisite designer molecules for high corrosion resistance, better durability, faster drying and superior gloss. The plant is fully sustainable with zero liquid discharge and equipped with 4th generation manufacturing technology to manage supply chain at lightning speed, with zero defects and end to end product traceability – a first of its kind feature.
IDFC First Bank Limited (19-11-2024)
Warburg pincus is their promoter with 52 percent stake. They will subscribe to the rights issue. If they dont the company will go under and RBI will never let another PE firm buy into any NBFC ever again.
So in a quarter CET1 will go up, provisioning will be made and balance sheet will degrow, till npa s are flushed out. Maybe even business model will change.
Probably the ceo will get fired as well once the rights issue is done.
If the covenants were breached in q1 and q2 most banks probably already knew about it . This will be a good test to see if VV actually had the chops to look ahead and provision conservatively ahead of time. He has already said that microfinance will lead to extra 150 crores of provision for next atleast 2-3 quarters
Short term : there will be lots of noise drama media chest beating etc etc but with the PE promoter this should be a low risk event
Disc : invested in idfc and not in fusion finance
JSW Steel Italy SrL signs commercial agreement with Metinvest Adria (19-11-2024)
JSW Steel Italy SrL, a subsidiary of JSW Steel today signed a Commercial Agreement with Metinvest Adria S.p.A. The Commercial Agreement is in line with the MoU dated 01 March 2024 signed between JSW Steel Italy SrL and The Ministry of Industries and Made in Italy(MIMIT) wherein the mechanism for the transfer of rights relating to the northern area of the property was defined.
Ugro Capital – Opportunity To Invest in a Fintech-like Company Below Book Value (19-11-2024)
3-3.5% is only for micro enterprise vertical and not for all the verticals. Rather than GNPA, I would focus on credit cost and that would be <2% as per management and that’s very healthy.