Coverage in ET today
Posts tagged Value Pickr
Eicher Motors (24-09-2015)
POKARNA LTD ( Stock opportunities ) (24-09-2015)
I had some help from the hedge fund which shorted caeser stone and I found the following:
- selling price for daltile (could not find it specific to pokarna's quantra) is on par with others - so nothign different here
- we would not know about the price they are selling to daltile at - my sense is it should be 10% lower to push higher margins to daltile to make them feel incentivized
- so it comes down to pokarna's RM as a percentrage of cost being much lower than caeser stone's.
we know that
- AP/telegana have not given away these mines through open auctions. there is no public information on how chettinad got these mines and how much they are sharing as royalty etc. it all seems very obscure here.
- pokarna has on board a guy who is charge sheeted in the coal block allocations cam - yugandhar. We all know how coal block allocation happened
- Given caeser stone is present in India, I am not able to understand why on the face of it chettinad (check them on google to understand the unsaid) would sell to pokarna at a lower price than what caeser stone would buy at. No one seems to have an answer for this and I suspect we will never get an answer as it involves getting info from chettinad group.
As things stand, given pokarna's dependence on one single mine owned by chettinad group and possibility of a black swan event (coal block cancellation redux ?), I would look to enter at about 900 - roughly 10x or so but would be cognizant of these high impact, low probability tail risks (russian roulette risks).
Kitex Garments another Page industries? (24-09-2015)
Also tie up with Lamaze international will result in 450bps expansion in bottomline.
Lycos internet – way to digitalization (24-09-2015)
it is a great news for lycos. New venture will definitely good prospectus as lycos has good experience in It and advertising department. only thing not clear about equity share of two companies.
disclosure: I am holding the shares.
European Stock screener (24-09-2015)
financial times is the best bet
Kitex Garments another Page industries? (24-09-2015)
Hi Chirag,
Even I had a talk with the CFO, he said that there is nothing to worry about and majority of the Forex has been converted at 66.5. He highlighted that Q2 would be good.
Disc: Invested
Need serious Help with my portfolio should I stay Invested or pull out (24-09-2015)
Keep KPIT, Sun Pharma, Cera, Axis Bank, Repco, AIA, Astral, ICICI Bank and Shariram Trans. For balance stocks , use your own judgement.
Ambika Cotton Mills (24-09-2015)
- How does slowing china economy affects Ambika , why did exports come down
- Do they plan to move up value chain i.e. Weaving ,Garments (Forward integration)
- There is increasing competition from others in compact segment from Garment manufactures like Arvind
It will be great if you can publish whatever you learn from AGM. It is very difficult to get information on their plans., industry dynamics and future
Kitex Garments another Page industries? (24-09-2015)
Hi,
I wanted to write and update on kitex garments and wrote to admin to ask permission to start a temporary thread. Anyway as it is now initiated I would to update the folks in forum about recent new development and details of concall with management
Kitex garments - strong brand name, debt free by 2QFY16 and tie up with LAMAZE INTERNATIONAL
Tie up with Lamaze international marks transition from B2B to B2C Kitex USA LLC ( 50:50 ) JV between kitex garments and Kitex childrenwear has signed an exclusive brand licensing agreement with Lamaze International for the sale of infant wear in the US and Canada under the Lamaze brand. The tie up is valid till 31 December 2020
Debt free by FY2QFY16 - The management highlighted that it has converted its USD 10million cash into INR and will convert the balance by the end of 2Q. The proceeds will go towards becoming debt free by the end of 2QFY16.
KEY TAKEAWAYS
Kitex garments transition from a B2B business into a B2C business with strong room for higher mark ups in selling prices and higher profitability per unit. With huge scalability, strong return ratios and free cash generation I believe has huge possibilities of growth.
Kitex garments is also launching its own brand ( forgot name ) by 3QFY16
Kitex garments may also announce the merger with its unlisted entity may be during 2QFY16 results.
Disc : Invested and high conviction
Varun 2020 portfolio – 2 strategies (24-09-2015)
What happened to CARE ? It has been falling continuously and didn't pull back to normal level when the market tried to come up. Any bad news on it ?