Thanks Parth!
When you talk about the market size being 50000 MT, are you talking about domestic market or international market?
Also, your post confirms the previous info that the current capacity stands at 250MT/month. Although the further expansion will probably be gradual?
Were you able to get answers to any other questions from the list we had prepared?
Hi Aniket,
Thanks for pointing me to that wonderful article. I read it for the first time when Mr Khandelwal posted it and I'm still in awe after reading it for the second time.
Now, allow me to point out few things hiding in plain sight (at least that's what I believe).
This, I believe, applies to anyone looking to invest in Page at current price.
The professor says -
"Now, all that one has to do is to figure out it makes sense to buy the stock or not by calculating the expected return and comparing it to other opportunities available to you at that time."
In one of my previous posts I tried to arrive at a conservative eps after 10 years for page, which came out to be Rs 1140/share. For the sake of convenience, let's consider it to be Rs.1200/share.
The prof. mentions that he uses exit multiple of well below 20x. For Page, let's say it is 30x.
So we arrive at a conservative(?) price of
rs. 36000/ share. That's a 2.5x from current position. That's approximately a CAGR of 10% for next 10 years.
I believe, a new investor certainly has better opportunities available in the market.
Now, for those who hold from lower levels (I know you savvy folks have made great returns).
The professor says -
"One last point: If something is working for you, and you don’t have cash and if something else turns up and you like it a lot, then you should sell what’s working for you only when what you want to buy will give you a significantly higher expected return. Otherwise, just hold on to your great businesses and let them compound your capital for you."
Now, I agree that I don't hold page so it's really not my stock to worry about. But for the sake of learning, pray tell me folks, do you see any opportunities in the market that can provide significantly better returns than a 2.5x in next 10 years?
P.S. - Aniket and other boarders, I hope I'm not being over-persistent with my point. I just want to learn and improve myself.
Santosh, apologies for diverting from the main topic consistently.
Hey guys, I attended the AGM, just some facts from the AGM:
1) The market for Phosgene derivatives in all is about 50,000 MT, whereas Phosgene Derivatives for Pharma Products are likely to be less than 20% of the total demand
2) Paushak has an annual capacity of approx. 3000MT which they may increase to 4000MT over the next 2-3 years (haven't chalked out any plans in particular).
@pjain Liked the write up. Thx. Can you pl compare RKFL with the other smaller peer - viz. MM forgings. They have marque clients in EU as well. Debt looks ok and valuations are cheaper. Of course, top line has been a bit flat last few qtrs but there is room for improvement. They came off a lower base and stabilising the expansion did a few quarters before. My guess is MMFL must be operating at about 75-80% util.
PS- got a small position in MMFL
Religare expects Shemaroo to deliver 24.5 percent earnings per share (EPS) growth over the next two years. Shemaroo's new media contribution is already at 17 percent of revenue.
Religare expects Shemaroo to deliver 24.5 percent earnings per share (EPS) growth over the next two years. Shemaroo's new media contribution is already at 17 percent of revenue.
The approval by the US FDA for Raloxifene Hydrochloride tablets is for strength of 60 mg, which is bio and therapeutically equivalent to the reference listed drug product (RLD) Evista, 60 mg of Eli Lilly, the company said in a statement.
The approval by the US FDA for Raloxifene Hydrochloride tablets is for strength of 60 mg, which is bio and therapeutically equivalent to the reference listed drug product (RLD) Evista, 60 mg of Eli Lilly, the company said in a statement.