KRBL
I feel KRBL offers an opportunity for an asymmetric bet:
The stock price has taken a big hammering in the last few months. Some of it is of course because the business didn’t do relatively well in the last couple of quarters; as per my understanding the reason for that is the export business to the gulf countries took a hit because of a multitude of reasons
(1) the relationship with the distributor in Saudi Arabia didn’t work out…while they are looking for a new distributor but as of today their exports to the country are almost nil
(2) business in Iran has taken a hit because of the ongoing conflict in the region
(3) shipments are delayed/expensive because of Houthi situation
In my view all the issues above a transitionary and should sort themselves out in due course. Additionally, in the last concall the MD said that Europe exports are growing at a fast clip + they are working hard towards finding a new distributor in Saudi Arabia.
Disc: invested; this is not a buy/sell recommendation, please do your own due diligence
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