Housing Loan market share has been decreasing over the years
Posts tagged Value Pickr
Great articles to read on the web (21-09-2024)
Warren Buffett’s Strategic Reduction in Bank of America Holdings
Everest Industries – Multiple Drivers in place (21-09-2024)
Kindly update your notes here and thesis time to time, will be helpful
Given that PEB market is heating up and poised for growth both domestically and as well as exports too
The tailwinds are seems to be strong
One doubt why the management has not released any quarterly reports or presentation??
Microcap momentum portfolio (20-09-2024)
New entries on 23rd Sept 2024
NEWGEN
OPTIEMUS
exits from last week
KIRLOSENG
IFCI
Microcap momentum portfolio (20-09-2024)
last week (16/09/2024 to 20/09/2024) we got 0.9% return if we invest equally in 25 shares.
Note : during (16/09/2024 to 20/09/2024) this period MicroCap Index Flat (-0.05%)
“Kothari Petrochemicals: From Poly to Power – Shaping Tomorrow’s Petrochemical Landscape” (20-09-2024)
Someone can correct me if there is any reference in research or even management commentary about it? having said its a kind of commodity which is used by several industries as raw material. Having said this, I did not see, why they have not yet explored their quick neighborhood Middle East- Saudi Arabia etc, where the Raw material i.e. C4 derivative ( Olefins and Polyolefins) based raw materials available as first mover advantage abundant due to low prices. Global demand or growth @4.5% and 2025 is indicated at 711 KMT as per my reading from one insight. 80000 MTPA facility to soon add up in KSA from Aramco/Daelim for PIB (Amiral project) already started and to be online within a year or two. This is again not a trade secrete chemistry. Many petchem manufacturers who depends on Natural gas, Naptha etc sell several such commodity chemicals by trade/import and resell in India. For name sake list as producer, but major turn over comes from traded products to meet demand of its customers. Any rules like antidumping duty or changes in freight costs severely affect their margins. I afraid if they have missed the train or not interested in investments and shall change their model as Manufacturing + Trade in near future? It will be interesting to see how many long term contracts they have with eg Lubrizol etc? ( Specially 2T oil market and others)These clients can cease to buy or may not renew LTSA once they start getting cheap PIB from abroad. Ultimately Kotharis have to see how much they can optimise and cut on cost of production and become efficient ahead of disruption…? I had been consulting to few since past in other such cooperations and technology agreements , where I wonder why not they explore to invest in Middle east as Recipe master thereby enter into Global sales agreements? I shall read more or get some more details. Thanks for this thread indeed.
Lotus Chocolate Company: A Tasty Affair (20-09-2024)
Operators have entered and still managing seems. Sometimes if logic and research dont work, then lets go with ready to eat segment median PE or ratios. Some said stock has corrected a lot from high! Dont understand, and willing to say… Bhai aise bhi koi stock upar jaata hai? Ultimately to buy a Chocolate and cake story, we have still high PE good performers. Simply by adding a famous name also does not give it a credibility until fundamentals start reflecting well atleast QoQ basis.
South Indian Bank (20-09-2024)
I think the reason for poor valuations could be very low RoA, super slow loan book growth & very high leverage, RoA is less than 1% and the RoE of 13.8% as highlighted by you is purely coming out of excessive leverage. Excessive leverage also restricts AUM growth hereon without any further equity dilution. Worst part is that if this equity dilution happens at such a low P/B multiple, it will be quite bad for the existing shareholders. These are just my two cents.
P.S: I don’t track this counter actively any more but held it for quite some time in the past, classic value trap in my opinion.