I am invested, and I believe there is reasonable margin of safety at this level. It’s a well run bank, but traditionally conservative. There is geographic concentration risk given 50-60% (if not more) of their branches are in TN. They are trying to cautiously increase retail lending besides the technology improvements for faster MSME loan approvals. They are also slowly adding branches in a few other states. We have to see how well they execute across these areas. MSMEs/traders (who are their main customers) are still not borrowing much, but I think we are past the worst there and it should improve. If lucky, it can improve fast, but even otherwise, we should see steady growth. From a broader macro perspective, given the high level of personal loans in the system, I am currently more comfortable with conservative lenders like CUB who do not have such exposure and with the larger private banks.
Posts tagged Value Pickr
L&T – Bluechip, Value play, Digital giant in making (03-03-2024)
I believe it to be a good hypothesis. They have under utilised defence capacity from guns to ship making. But defence deals have political dimensions and long gestation to signing. even signing a deal doesn’t mean anything, payment for delivery matters. If you look at HAL, BEL, all of them sign deals 1000s of crores, doesn’t immediately reflect in balance sheet revenues. Probably why, analysts focus on engineering services for roads, power, utilities, buildings, Metros etc as they have a timeline
I’m invested in L&T, so my biases are there and certainly not a recco to buy or sell.
Microcap momentum portfolio (03-03-2024)
Interesting methodology given you are studying momentum of these stock.
Will you be sharing weekly returns of the portfolio as well from tomorrow onwards?
Staying tuned to this thread!
Indian Energy Exchange (IEX) (03-03-2024)
https://x.com/zeebusiness/status/1763812936991055988?s=46
पावर एक्सचेंज, DISCOMs के लिए खबर – सरकार ने क्यों बदला इलेक्ट्रिसिटी रूल?
भुगतान न होने से DISCOMs को नहीं मिलती थी बिजली
DISCOMs का 2022 में कुल बकाया बिल ₹ 1.4 Lk Cr था
- फरवरी 2023 तक बकाया घटकर ₹48000 Cr हुआ
जानिए पूरी डिटेल्स इस वीडियो में…
L&T – Bluechip, Value play, Digital giant in making (03-03-2024)
I have been trying to ascribe some ballpark value to L&T Defence business after reading above article.
Will Have An Orderbook Of Over ₹26,000 Cr For Defence Segment By End Of FY25: L&T | CNBC TV18
This interview states that L&T will have close to 26000 cr order book by next year (13k crore they just won last week).
Now when I see smaller companies like MTAR, they trade at 5x order book so even we give L&T a 4x order book, we are looking at 1 lakh crore and 1.25 lakh crore if we value at 5x order book.
When I started this thread whole company was valued at 1.25 lakh crore
So, defence is 20-25% of total valuation of today. That is pretty large. I am not sure if market is still factoring in that. Looks like that is the disconnect between conservative domestic brokerages which value L&T close to 3200-3400 and some of the global/domestic brokerages which are valuing it at 4200-4400.
Not received securities of Canara Bank after merger with Syndicate Bank (03-03-2024)
You can contact the company registrar’s office.
Check this site and call the office number at the bottom.
Caplin Point Laboratories (03-03-2024)
What I like is the man himself is on floor and ensures compliance as FDA standards are super stringent and training staff of not being casual is important.
And culture of quality will lead to path of sucess.
I am a shareholder since 2017 and believe the best times for the business of run in same letter and spirit shall come by 2026.
Having said that following are my concerns:-
1.Less of negligible institutional interest
- Abrupt exit of a marquee investor in the past.
What is that we are missing if all the things are good ?
One should always have antithesis pointers
Jyoti Resins & Adhesives Limited (with bloated reserves) (03-03-2024)
The biggest concern is volume growth.
The management has on a shareholder concall denied to share the breakup for competative reasons. Realizations are good for now and if prices of VAM come down can get better but to sustain and create economic value, they need to penetrate new states .
Let’s see if the New CEO can create a turn around and scale from here
KPIT – CASE (connected, autonomous, shared, electric) – Focused Automotive Play (03-03-2024)
PM Modi launched first hydrogen powered ferry, hydrogen fuel cells were made by KPIT. KPIT is working on tech like Sodium ion EV batteries and hydrogen fuel cell which it can possibly license in future.
Green Hydrogen as a Fuel – Indian Companies leading the Green Revolution (03-03-2024)
PM Modi launched first hydrogen powered ferry, hydrogen fuel cells were made by KPIT.