I think this company is due for rerating based on following observations

• US FDA issue is now 2.5 years old (started in May 2013) . Average time taken to resolve US FDA issues with other pharma companies is around 2 years. Wockhardt has data integrity issues so they are taking longer.
• Management started receiving US FDA approvals for individual drugs after gap of almost 2 years. In June 2015, it received approval of analgesic drug Oxycodone Hydrochloride. In Sept 2015, it received approval for Memantine Hydrocholride (for alzheimers'). This shows positive bias of US FDA towards the company
• Management continues to spend one of the highest spend on R&D in the industry. % of R&D Spend to Sales for Q1 FY 16 was 13.3% vs 11.5% for FY 15, 9.3% FY 14.
• Promoters stake is around 75% and they did not reduce it in last 2 years, although interest shown by companies like Lupin. This shows their confidence about their future.

Disc - Invested from lower levels.

@srnarayan Hi Sreekanth,

That is true. Maybe consistent bad performers over 1-2 years should be replaced with new ones.

Reg NMDC, your right with the prices / margins. But, i feel 120 seems a fair price.

Reg Igarashi, I googled, but I'm not sure whats up with the de-listing you mentioned. Could you share some links reg the same?

I bought it @250->350 after seeing it on value-picks.blogspot. It had increasing ROCE the last 3 years, other ratio-numbers were also okay. And the Japanese partner who initially sold his full stake, later bought it back.
Growth scope seemed to be there, as these small motors keep on increasing in cars. And their stuff must hopefully have quality, because their clients are international car makers. If some small dc motor goes kaput while driving in the US, they will sue in big $$$. Though i hope it doesnt supply VW

nice topic bro for 50 years i will go for BEL ....UNSTOPPABLE .
NMDC is cyclical .
SBI ......".to big to fail " and govt will exit from all core holding before 50 years .

Hi All,

My top 5 holdings are

1. NMDC - avg price 120 - Inspite of iron-ore prices at multi-year lows, I am hopeful Mr Market was generous with NMDC The sector looked attractive. Its ROCE, cash reserves, low P.E and P.B value, Graham number and >7% dividend looked attractive. I felt once the iron-ore cycle reverses, NMDC should do well.

2. Balmer Lawrie - avg price 310
   Somewhat similar to NMDC in 'safety' parameters. (ROCE, PE, cash reserves, dividend, multi-year low)

3. BEL - avg price 425
   This was more a 'foresight' pick more than ratio's. A monopolistic company in defense sector looked appealing, esp at multi-year lows. I had also gone on a college industrial visit, and what I saw also had left a positive impression. No one could develop such technology on short notice.

4. Bata - avg price 540
   It seemed logical that demand for shoes in india would keep growing. And Bata looked to have better ratios (to me) than Relaxo and Liberty Shoes. I hope the P.E ratio i bought wasn't too high.

5. MindTree - avg price 1260
   I was on the lookout for an mid-cap IT company, and MindTree looked to have the best ratios among competitors. The management also looks good. Glassdoor / my friends have given good opinions on work culture.

Other stocks i own are OFSS, AIA engineering, eClerx, CARE rating, Igarashi Motors, KSE Ltd and IOCL.

I was fortunate to get IOCL at its book value of 200. The govt has removed subsidy. Debt is reducing. IOCL has high moat, with big refineries. But i dont know if I should hold IOC for the next few decades, or switch it to Balmer Lawrie.

I'm a relatively risk averse investor as I dont have much time for tracking. I have just joined value pickr. I've owned mid-cap mutual funds / ELSS since 2010. Started with stocks in Aug 2013.

Guru's / All, please give your suggestions @Donald @basumallick

Warm Regards,
S

Being a seasonal business and dependent on Monsoon, FHFY15 was the best performance in my knowledge in history of the company. SHFY15 were profit and sales declined significantly. In fact in Q1FY16 and Q2FY16 the company shown decline in YOY sales, same is almost up 50% over SHFY15.

What would be interesting to observe that in case company even repeat same number in Q3FY16, of what shown Q2FY16, we would find 50% growth in Sales and 88% growth in Net profit !!!

Personally, I like the business and management of the company and among top 5 investment holding in my portfolio. My view may be biased due to my holding.