Yes, why it’s P/E is 15.0 while Industry P/E is at 37.4 (source: screener.in) is a puzzle. The irony is we worry a lot when something is available at an unreasonable evaluation, not only at higher end but also at lower end. One thing I noticed in the share holding pattern is DII have continuously decreased their holding from 3% to 0.44%. FII holding went up from 11.22% to 21.16% during this time (promoters to FII). Is it a concern if FII decide to exit for some reason? Has the revenue growth peaked at current levels? At the current trading volumes market must be right in deciding its current P/E? Or will I stare at it when its P/E reaches 60 an year from now? Only time will tell…
Disclosure: Not invested yet but exploring further.
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