We rate Archies Ltd a ‘BUY’. A renowned and leading company in the Social Expressions Industry is all set to grow with its revamped business model with its strategy of going online. Our rating underpins the company’s focus on the new model with core brand strategies in place.
The company is the leader in the Social Expression Industry: The social Expressions Industry is still unorganized in India. There are very few serious players having nationwide presence. The Company, which pioneered the concept in Indian market, is the leader with more than 50% share of the organized sector. Company continues to increase its Pan-India footprint. Presently It has 240 owned and operated retail outlets has plan to open more 90
stores in phase manner over a period of next 3 years.
Strong brand with inexpensive valuation: Archies is a strong brand with super connects between generations through its social expression products. The Market Cap to sales of the company is just ~0.30 only which is way below for leading brands. The company has reasonable financial strength and is a consistent dividend paying company.
Twenty years ago, there used to be an Archies franchise store in my city. Shut down about 17 years back, never re-opened. In this age of digital media and What’sapp, who’s going to buy a stock with a copied name like Archies ? Not touching this one myself.
Actually such brokerage firms try to increase voice of people to blindly come after seeing 70% gain !!
Have you ever check its PAT growth negative in 5yr, 3yr, TTM and 10 yr growth is 2.33.
And Microsec research THINKS it will go 70% with MODI WAVE. Big Joke
Agreed to btoh above comments.
Archies is running old business model in modern era. gone are the days when myself used to go to archies store, which is now shut down. Will not spend even penny on such company. Its just a broker’s trap call I think.
The Archies store near my house is empty most of the time. I visit it rarely but whenever I visit it no one else is there. They rent stores in areas where the real estate costs are high and atleast I don’t see them selling much. I haven’t looked at their balance sheet or anything as such but just looking at their stores I would not touch this.
I heard that Archies is going for electronic content, this means e-cards for PCs and mobiles, but even then there are established sites like 123greetings.com that have a fantastic collection of free e-greetings. There are other free greeting cards sites as well.
Archies stock surged over 10% today, but as I am not sure about the fundamentals of this stock, I’ll stay away from this.
Great share i must say.Too good sirji.Personal thx to author.