Posts tagged Value Pickr
HBL POWER SYSTEMS: Booting-up for the Race of the Century (12-06-2024)
What are sentiments & expectations ?
Holding but there seem to be many other exciting opportunities.
Getting a feeling that it may be quite some time before time-wise correction is over.
No participation in the recent run of the past few months.
Although, can never predict markets.
Wardwizard Innovations & Mobility Ltd (12-06-2024)
I think they appointed a dealer in Philippines. It’s a smart choice of words in their press release. The whole business seems to be built on very shaky foundations, with multiple entities classified as promoters continuously selling.
Dis: Invested previously a tracking position based on stellar results in Q3 , looking to exit.
Kirloskar Electric – A Turnaround Bet? (12-06-2024)
Results not great - however, another turnaround story that is slowly unfolding. My kind of script.
If execution matches opportunity, then we are looking at a huge play.
EV and special Transformer play.
Not for the faint hearted.
Holding & dreaming.
Tata Motors – DVR (12-06-2024)
I am sitting at 240% increase in Tata Motors DVR. Should I start doing SIP in the stock now or should I wait for the merger to happen first?
Oil India- has its time come? (12-06-2024)
LarryWink
Our thought process remains the same ! Modi 3 would continue to focus on PSU performance after having succeeded in turning around many PSU’s during last 4-5 years.
During Modi 2, the opinions were divided on PSU’s, though the market gave a Re-rating to all PSU’s.
Coming to oil & Gas sector, all the 3 upstream companies like Oil india , ONGC and GAIL have heavy Capex plans with focus on renewables apart from their traditional O& G business. GAIL is also expanding its petrochemical business with a huge Ethane cracking plant @60k crore which would produce ethylene - a raw material for petrochemicals.
The down stream companies like OMC’,s are also in the process of implementing Green energy projects…A few years back BPCL was to be privatised …in fact many foreign companies were asked to bid.
Today , The govt has said BPCL would not be sold. It is a Cash cow now. All the OMC’s are heavily investing into green hydrogen and expanding capacity.
All these companies are trading at attractive valuation with good dividend yield. In fact as I had entered at 9-10% dividend yield , i continue to get the dividend yield even after 2X capital appreciation. Manish Santhalia has rightly explained this in a post
Discl : Invested at lower level. may be biased. not a buy sell recommendation. PSU stocks are subject to Govt policy changes and stock price volatility. Please do your own assessment before investing
Sugar Cycles: 7-8 years of losses followed by 2-3 years of super gains! (12-06-2024)
Was planning to write on reasons why Dhampur Bio is underperforming and we have to be patient - and the stock moved a lot !! Nevertheless writing my points (from investor presentation and concall)
DBO has underperformed due to following reasons:
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Lower cane crushed in FY 24 - inspite of 30% increase in crushing capacity. It seems some error in calculations/ strategy error. Since acreage is not going to increase this year also (SS 25) it seems the crushing capacity will be under utilised for a couple of years.
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Plan for new Ethanol plant was postponed indefinitely. Ethanol is the margin and cash driver of sugar companies so postponing expansion was negative.
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Part of the existing ethanol plant is being converted to maize based ethanol. With govt expected to allow sugar diversion for ethanol in coming sugar season then plant will be fully utilised using sugarcane juice/ molasses- and again maize-based portion will be unulised. Maize based ethanol has much lower margins.
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Pharma grade capacity is also under utlised and if cane crush doesn’t increase then it will continue to be underutilized.
Performance of the company has been hampered due to lower recovery (due to red-rot) and underutilisation of plants. When both of these will be sorted out then financial performance will improve substantially. May take a year so its wait and watch.
Ideally they should have not expanded crushing capacity and converted existing ethanol plant - instead they should have set up the new ethanol plant with same money.
Tata Motors – DVR (12-06-2024)
With DVR stock going for merger with Tata Motors, and then for bonus of another entity; should we start with SIP buying in this stock???
EFC – Entrepreneurial Facilitation Centre (12-06-2024)
Promoters Haven’t sold any shares…they have raised funds to the tune of 240 Crs from investors like Zerodha, Samit vartak (Sageone) & other marquee investors for funding the growth prospects (this is common for a reverse merger case & should be looked similar to a promoter’s shareholding reducing post IPO)
Therefore shareholding has reduced.
Megatherm – Mega Opportunity (12-06-2024)
WIth Kacholia entering, business scalability is proven in emerging Steel and ancillary scenario.