Hi all.
Concord Control System (Screener Link: Concord Control Systems Ltd share price | About Concord Control | Key Insights – Screener ) is an electrical machinery manufacturer, which includes clientele like Indian Railway, Larsen & Toubro, Tata Projects, Sterling and Wilson among others.
Their product range includes railway electrification components, battery chargers, control panels, distribution panels, and other railway-related equipment.
Currently the company has two manufacturing units situated at Lucknow, Uttar Pradesh with total size measuring to over 1880 sq. mtrs with a well-equipped laboratory & modern technology along with R&D units. Its has been incorporated since 2011.
Strengths:
• Diversified range of products.
• Quality Assurance (ISO: 9001:2015 certified organization by TUV- SUD South Asia Pvt. Ltd)
• Long Standing Relationship with customers, since 2011.
• Vast Industrial Presence in both Public and Private Sectors
• Huge demand for Domestic services
• Avail of Low-cost, Skilled Human Resources.
• Proactive government continued thrust on reforms.
Risks:
My main concern with this company is there not being much information being available online. (no concalls)
The company is exposed to risks associated with fluctuation in metal prices or shortages in supply of electric components
From their Annual Report:
Competitive forces could prevent the Company from achieving its
goal on account of declining revenues or margins.
Mitigation: The Company focuses on superior quality
service and affordability. The Company knows its
competitors and its customers and with differentiated
services and marketing strategies mitigates this risk
to a greater extent.
My take on this stock.
With the current push on railways and infra, I think this company could benefit immensely and grow well.
I’m seeing it as a good momentum hold till the time the government favors development in rail.
The reason im sharing this here is so that more experienced forum members here could also have a look and share their thoughts.
Financial: Market Cap ₹ 698 Cr.
CMP ₹ 1,167
P/E 53.6
The company has good numbers financially with an ROCE of 74% and 79.0% CAGR over last 5 years.
Disc: Invested. Might add more on correction.
| Subscribe To Our Free Newsletter |
