The lead acid battery market will continue to be a significant one despite the growth of Li-Ion batteries for EVs. Lead acid batteries have applications in commercial vehicles, construction equipment, defence equipment, generators etc etc. List is a long one.

A lot of appreciation for your approach, can you please update your analysis on DP wire also.

Update: EXIDEINDS 199-294-320

• Excellent reversal seen in monthly chart. H&S reversals lead to strong bullish upmoves as seen by previous examples posted by me.
• ATH made after topping out in August 2018. Big multi year breakout seen.

• Monthly and Quarterly charts bullish…

Monthly chart

Quarterly chart:

Concall: Q2FY24 (18th Dec 2023)

• Current Styrene monomer prices: ~1050$
• There used to be 3 players in this space and now with LG polymers shut there are only two key players.
  • The demand for LG Polymers is being substituted by Supreme, Styrenix and imports.
• Capex Plan:
  • Making mass ABS plant
    • Currently ABS is imported in the range of 130-140,000 tons with total mkt being of 275,000 tons
    • Have further land for brownfield expansion if needed
    • this is a different way to make ABS than the emulsion ABS; the former is a continouous process while the latter is a batch process. The energy costs are roughly 2x higher for the latter
      • This imlies that Supreme will become a cost efficient player in ABS once ready
  • 1200 Cr: Completion by March 2026
  • 500cr: Already incurred
  • Balance 700 cr will be spent between now and march 26
  • Once complete this capex at capacity utlisation of 70-80% should lead to additional revenues of 3000cr
• On XPS:
  • <2% of revenue at present
  • No competition as only player
  • Highly climate friendly as helps in thermal insulation of buildings hence reduces energy requirements (both hot and cold) and thereby decreases emissions
  • Govt and corporates are using it but individuals arent
    • Eg in CPWD, possibly this was used in the new parliament building too.
  • If you wish to understand this product: InsuBOARD
• On competition expanding
  • No worries as enough demand as we still import.
  • It ll eventually be import substitute
• PS:
  • Expect muted growth as appliance mkt has beem slow
  • Expect mas 4-5%
• EPS:
  • Expect 8% growth
• XPS:
  • Again 8-10%
• Capacity
  • PS: 300000 tons (Styrenix ~ 75000 tons); total market is around 315thousand tons
  • EPS: 1,10,000 tons
    • Use: packaging, insulation food packaging, cold storage, construction

[Disclosure: Invested]

@hitesh97

If you know very little about stock market then it is time to start reading a few books and try to learn a little more. The list of books which are good for learning investing have already been shared earlier in this thread.

If you have to read only a couple of books , then read One up On wall street by peter lynch, How to make money in stocks by WIlliam O Neil, Five rules for successful stock investing by Pat Dorsey. And read them multiple times till you grasp the full meaning of the book.

Learning only by asking questions on valuepickr threads will be counter productive. You will first need to read a few books and digest them.