I read through the AR – I like the management’s candidness in highlighting issues that they faced last year. the two points that were disconcerting were 
– auditors and registrar/share transfer agents are both karvy
– the consolidated cash flow and stand alone cash flow were the same – I think there was a clerical error here. they should have been marginally different.
otherwise, they had given detailed split of cash, liquid investments etc.
Invested and looking to add more at Rs. 2300 levels
The expected cyclical up trend is still some time away.
-The current supply glut from Brazil’s ‘bumper’ harvest will take it down further.
-The artificial substitute ‘sucraloses’ from China dampens the China growth factor.
Hi,
I was looking into this stock to increase my exposure to this company at the 150 levels and while dabbling with the numbers I found out the stark differences in the last ten year sum of the operating profits and the cash flow from operations, the later is around 350 crs while the former is in the range of 1000crs+… info from screener.in
Is there anything that i might be missing here or is it a matter of concern?? Please pitch in…
Disc: I am invested in this stock at 165 level…
Reading the AR for FY14-15, few questions that came to my mind:
I have no experience in steel industry at all. Fellow investors who understand steel industry, kindly help. I will try to pursue these questions as well.
Thanks,
Rupesh
I am very keen to know the opinion of Donald sir (admin) on this development. I firmly believe that cyclical investing is largely a game of technical and momentum.
In my opinion the sugar price may continue to rise following such a strong bullish divergence or the sugar prices may again fall after 1-3 months(around Oct – nov) when the tug o war between all the stake holders (mills, state govt and farmers) begins over fixation of Sate Advisory Price for procurement of sugarcane by the UP / TN sugar mills. And also the announcement of aggressive sugar export subsidy policy by the central government.
If the prices do fall again, in all probability it will lead to formation of inverted head and shoulder bottom formation and then the cyclical uptrend in sugar sector will begin.
By April / may, India would have exported its excess sugar at a subsidised rate, manufactured record quantity of Ethanol for the ethanol blending programme and also sugarcane farmers would have finally shifted to alternate crops. Thus heralding a two year long rally in sugar stocks.
I would also like to draw the attention of the boarders towards the long term price movement of the strongest sugar company – Balrampur Chini Mills.
Balrampur chini has given a very strong bullish divergence signal on monthly charts. It is usually a signal one sees at the market turnaround or at cyclical turnaround points.
It may not be just a coincidence that the best sugar stock is giving turnaround signal just when the sugar prices too have bottomed out.
I would recommend keeping a close watch on the sugar prices as soon as the current market turmoil subsides.
Guys, I am new to this forum but trust me when I saw I have closely followed the sugar stocks and sugar cycle since the past 3 years. It seems that the turnaround in sugar cycle is finally dawning. Although, it is all bleak when we look at the news emanating from the individual sugar mills and the industry body ISMA, BUT if we go through the price trends in the commodity market – more particularly the Sugar delivery price, then a turnaround is soo obvious that it cannot be ignored by any investor interested in cyclical investing.
I am attaching the weekly price chart along with my comments. I would like to request knowledgeable boarders to comment on this…either on valuepickr or on the moneycontrol message board.
Guys, payables include losses and loan outstanding to related parties. Regarding compensation, it is ok since his compensation was pathetically low previously when it was not making money.
