Globe Capital Market Ltd also holds 1.37% in Pokarna.
Posts tagged Value Pickr
Hitesh portfolio (15-10-2015)
vijay M, Regarding valuations and PE of page we have discussed the topic ad nauseum on the relevant thread and I dont feel there is anything new to add from my side. If one wants to invest it is a leap of faith and people who have kept the faith have been rewarded handsomely till now. How it pans out going ahead needs to be seen.
@sunny, For SIP one needs to identify a group of stocks and keep investing over a prolonged period of time. I feel the SIP guys are best placed to handle market volatility provided they dont try to be over smart and try timing the markets.
@nikhilupai, Biosimilars are in their infancy in Indian pharma sector and will take some time to take off. Currently the exhorbitant price of these molecules cant be justified to treat chronic diseases and hence they are not taking off in a big way. But in US scenario might be different due to high level of health insurance penetration. For Indian companies to compete in the regulated US markets is going to require a big effort in terms of R&D spends. But currently with a slew of products going off patent the way to go forward I feel is to play the theme going on rather then the fear of missing something which is still some time away.
Prabhushankar, I treat most IPOs as Its probably Overpriced.. And hence would take a call after some time once it starts showing some performance. Or there is sharp dip in prices.
VLS Finance limited (511333) (15-10-2015)
According to the latest shareholding pattern of Relaxo footwear, (difference between Jun-15 & Sept-15)
VLS Finance Ltd has sold its share of entire 6.71% share.
Now "Globe Capital Market Ltd" holds a 6.71% share in Relaxo Footwear.
Not sure of Globe Capital Market Ltd is one of the following companies
http://www.bseindia.com/stock-share-price/global-capital-markets-ltd/globalca/530263/ Market Cap of just 15 Crs with 5% promoter holding
OR is it the one listed on Delhi Stock Exchange
http://dseindia.org.in/list_of_companies.pdf
Also, Globe Capital Market Ltd is also the company to which VLS Capital Ltd (promoter of VLS Finance) had pledged 10% of VLS Finance shares for "issuing NCDs"
Does this development would mean an extraordinary gain of approx Rs 400 Crs to VLS Finance Ltd in this quarter?
Any comments by the members of the forum?
Any feedback from people who attended the Annual General Meeting
Welspun India – most vertically integrated textile co (15-10-2015)
Welspun launched its online platform in India & US
My Portfolio – Dhina (15-10-2015)
Thank you @kanvgarg123.
Cyient develops electronic components as well as software for them. So this is not a typical software outsourcing company ( like Infy, TCS), if I understand correctly.Manufacturing would differentiate it, though design and software solutions would be similar to TCS.I am trying to find its direct competitors. Screener.in shows IT service companies as it peers. I checked in moneycontrol as well. But again it lists service companies. Could you please help me in finding its direct competitors?
Thank you very much for helping me.
By the way, Cyient posted good Q2 results today.Share price shot up by 7%.
Hitesh portfolio (15-10-2015)
@hitesh2710 What is your opinion of Coffee day IPO? Will it me another Jubilant foodworks 
?
Sintex – Improving Sales & Profitability (15-10-2015)
Highlights of the call by Capital Mkt
The consolidated net sales for Q2 FY16 have inclined by 14% to Rs 1911.94 crore. The net profit has increased by 37% to Rs145.73 crore on the back of increased value-added segments of custom molding and prefabs.The sales of Prefab building systems was Rs 578 crore (up 46%), monolithic and EPC was Rs 173 crore, overseas custom molding was Rs 440 crore, domestic custom molding was Rs 390 crore (up 33%), storage tank was Rs 91 crore and textile was Rs 232 crore.The margin in prefab was 21%, monolithic was 13%, custom molding India was 19% & overseas was 10-11% and textile was 21%.
Total custom molding grows 19% due to our focus on value added segment including 2 paint shops in India, integration of complex metal over plastic technology from recent acquisition of Groupe Simonin and strong customer relationship.. Sintex has already signed a JV with an Italian Rotomolding technology provider to focus on emission compliant products.The custom molding India's 90% of revenue comes from automobile, which has helped for stronger custom molding India growth. International business has grown because of various segments.
The custom molding India margin is coming down. The mgmt said that custom molding India margin depend on product and products mix. There are 1000 products and each product has different margin.The mgmt said that it will improve international custom molding business.
Prefab grew 46% during the quarter. This was achieved through increased penetration in orders in already successful healthcare, education and sanitation segment products. On top of it, newer products have also started seeing the momentum. Like RO water enclosures, Sewage treatment products and Biogas chambers. Sintex would continue to remain ahead of curve and the needs of Indian society by innovating simple and affordable solutions like waste treatment solutions, Bio digesters etc.
Margins have come down in prefab due to low margin new products like toilet one. However they have helped the volume to grow.Expects 25% growth in prefab, the way toilet order getting.In FY13-14 done large capex in textile business which has help it to clock good growth in Q2. Currently it is running at full capacity. Don't see big growth in textile business in Q3 and Q4, if raw material cost remain same,
Raw material up on YoY and QoQ despite falling raw material prices, due to FIFO effect. Whenever raw materials price comes down, will see raw material cost % to sales to go up temporary. Raw material % to sales will be at 60% in coming quarters.Monolithic revenue growth was negative which help to bring down receivables. Receivables are around 120 days.
Sintex is in the process of conducting trials for 30,000 spindles. 1,00,000 spindles to be fully operational between November-December. Work on 2,00,000 spindles are progressing on track
.Spinning target capacity utilization will be 92- 96%. To achieve it will take 6 months. Rs 1250- 1400 crore revenue on current numbers.Spinning revenue will start within 45 days. Commission of entire project will start be on March 2016. Depreciation and interest will come from next year.
Raw material cost to sale is 60% in spinning business.
The company is putting compact cotton spinning spindles, which doesn't have excess capacity in India.The company will do 60 - 90% export in spinning business.
Not more focus on infra business including monolithic business. So that receivables can be manageable.Debt increased by Rs 576 crore . Avg. Cost of debt – 11% minus subsidy.
Loan repayment is Rs 82 crore for FY16 and Rs 200 crore FY17.
The capex on custom molding and prefab is Rs 300- 400 crore. Textile is less than Rs 100 crore. That includes routine capex which is 50-60% of deprecation.Annualized capex is Rs 450 crore for FY16.Positive outlook in custom molding and prefab in H2. Will maintain earning guidance for FY16 of 20% top-line growth.Tax rate FY16 - 30%.
Canfin homes ltd (15-10-2015)
Canfin I think is being re-rated again and is undergoing that re-rating. I had seen it trading at max 2.75-2.8 times FY15 BV. It has broken that upper band and has started trading at 3.45 times FY15 BV. How far will it be re-rated during this phase is yet to be seen.
Markets would keep rewarding this stock coz of its consistency, growth and prudent risk management.
This is one of those stocks where one shouldn't try to second guess the target price, etc.,.even if stock price appreciates considerably. Should be forgotten once bought and should be held as long as underlying business does well.
After the stocks performance in last 2 years it isn't easy to say whether it is under,over or fairly valued. But stocks with characteristics like this may undergo multiple reratings when there are other players in the industry who trade at significant or higher premiums.
Discl:Invested and views maybe biased.
Hitesh portfolio (15-10-2015)
Hello Hitesh Bhai,
Found this article about bio similars and how Indian pharma companies lag behind in this field. It also talks about the shift of revenues from generics to bio similars.
https://uk.finance.yahoo.com/news/india-risks-missing-boat-biosimilars-210508796.html
Your comment would be highly appreciated.
Thanks and regards,
Nikhil
Canfin homes ltd (15-10-2015)
i expect can fin to report 34-36 cr. of PAT in q2 ,q1 was 32 cr. so if we extrapolate it to q3 and q4 PAT can be 36 and 38 cr. so fy16 PAT may be @140cr and EPS will be 53-54 rs. range.
some assumption for thesis
1) LAP growth and CP funding will help improve NIM
2) 5-7 % qoq growth in loan assets
3) no bad surprises on asset quality
4) Bank rate cut will be mildly positive as borrowing from banks are declining.
haven't got anything from NHB about risk weight on small housing loans yet, but whenever it will come (as NHB follows RBI with lag) it will be positive and may be big positive as canfin may not have to infuse additional capital till FY18 (figures crossed for this one)
disc: hold and biased