Advisors are snake oil merchant. I know many wealth managers selling seriously risky structured products to clients while putting personal money in FDs.
Posts tagged Value Pickr
Kalyani Steel – Steel Sector (21-06-2024)
Hi,
As we all know KSL has acquired Kamineini’s plant for Rs. ~450 cr which has capacity of 350,000 MT.
On Kamineine’s website it is mentioned that they manufacture Billets:
If my understanding is correct, Steel Billets have realization of ~Rs. 40-45,000/ MT, right or am I wrong?
KSL’s current realization are almost Rs. 75-77,000/MT
(All Rs. In cr) | FY22 | FY23 | FY24 |
---|---|---|---|
Total Revenue (Rs. cr) | 1,706 | 1,899 | 1,959 |
Total Volume | 2,28,578 | 2,45,364 | 2,47,500 |
CU% | 91.4% | 98.1% | 99% |
Blended realization (Rs/MT) | 74,635 | 77,395 | 79,152 |
RM Cost (Rs. cr) | 967.3 | 1185.0 | 1120.8 |
RM Cost per tonne (Rs/MT) | 42,317 | 48,294 | 45,285 |
Gross Profit per tonne (RS/MT) | 32,319 | 29,101 | 33,867 |
EBITDA (Rs. cr) | 338.6 | 245.7 | 371.0 |
EBITDA per tonne | 14,812 | 10,012 | 14,988 |
I have 3 questions from this:
- Will KSL sell commodity Billets from Kamineini’s plant or Carbon/Alloy it after processing?
- What could be the realization and EBITDA/MT of Kamineni’s products?
- Is Kaminein’s entire capacity available for production or actual utlization would be lower because the plant is old?
Would be great if anyone tracking thye Co. closely could enlighten on this. Thanks
Venus Remedies (21-06-2024)
I feel Venus remedies can pick up from here, I belive in following points
- Market Authorization for Oncology Drug, can enjoy higher margins
- Promoters increased the stakes in last 2 years
- Securing a tender from UNICEF
- Global expansion in coutries like Ukarine
Why do you think people in India don’t take help from financial advisors? (21-06-2024)
Trust issue Imo. No way objectively evaluate the performance of a financial analyst / advisor. Skeptical that the advisors
- don’t know what’s best
- put their interests over ours.
Need to separate the wheat from the chaff; like mutual funds i.e. regulated to report on their portfolio, and results; you can see underperformance and separate the wheat from the chaff.
Similar regulations may help - transparency on commissions; there should be a ratio of Commissions / XIRR that advisors should be required to report. Or there needs to be a platform that does this. Otherwise most people have more trust out of the box on finfluencers (where followers is a (unreliable )proxy to trust) vs RIAs where there is no such objective metric.
Piccadily Agro Industries Ltd (21-06-2024)
So, as per you, whatever price the management and the merchant bankers decide is OK. There is no need for market investors in IPO !!! If anything, merchant bankers base their decision based on what market will accept. And majority investors in IPO/QIB are institutions who are the ultimate arbitiers of true value of a security.
Time technoplast (21-06-2024)
Great day for TT holders. Just the beginning.
Piccadily Agro Industries Ltd (21-06-2024)
(post deleted by author)
Suryoday small finance bank (21-06-2024)
Investment thesis of Suyryodaya Small Finance bank:
Disclaimer: You can assume I am biased.
Founder is doing few things which I find it exceptional
- Unsecured loans [MFI] will be profit maximizing segment and secured loan business will provide stability and scalability to the business.
No other bank or NBFC has either taken a) CGFMU insurance cover or b) Creating Countercyclical provision of 5-6%
- By taking CGFMU cover its converting unsecured loans into Quasi secured loan and fixing the maximum loss at 3% of book [provided total NPA remains maximum at 15%].
- Counter cyclical provision : Bank is planning to create an additional contingent provision over and above regular provision. Bank wish to create 5% to 6% contingent provision by FY2026 by creating 1.5% contingency provision every year. [i**n addition to taking CGFMU cover, so in effect even in case of 20% credit cost event, bank will suffer only 3% credit cost in that year]**
- In case of Secured loans, majority of current book is focused on credit tested customers and accordingly yields are restricted to 12-13%. At the same time management has launched and testing various high yields products like Micro housing loans, Micro LAP, Small Business loans etc.
- Its not building extensive liability branches and not spending disproportionate amount in raising CASA. On the contrary in will rely on granular term deposits and other stable sources of finance. This will help it to keep the Opex low. Almost everyone is worried about whether Suryoday can build low cost CASA, but its immaterial. What is required is can they build granular book, even at 1-2% extract cost compared to top bank. Suryoday cannot match the low cost of funds of top private banks and PSU banks atleast for next 7-10Y. When business model is based on serving underserved and unserved customers and not prime customers like top private banks, then CASA is NOT MUST to have BUT ONLY GOOD TO HAVE. What is MUST IS Granular liabilities and NOT dependence on WHOLESALE LIABILITIES.
Link to full note: Notion – The all-in-one workspace for your notes, tasks, wikis, and databases.
Mrs Bectors Food Specialities: Can it beat the industry? (21-06-2024)
Does Bector really need to raise 400 crores?
ROEs may go for a toss.
Have they previously indicated about plans to raise equity ?
DIY Momentum QnA and Discussion (21-06-2024)
Hi, Thank you and great initiative .
I am learner for momentum investing, which universe you chose like NSE 200 or 500.
How can we ranking the stocks as you mentioned Z score , Which website we can use for filtering the stocks ??
Any additional entry or exit criteria other than Z score.
Once again thank you…