8k Miles Software Ltd, Cloud Computing


(Rudresh) #440

It’s been disclosed. N it’s from 9 to 20 of this month.


(Chirag) #441

9th means, the management get 6 days to trade after announcement of the result date! Ideally they should have closed the window today itself!


(Rudresh) #442

Yesterday at one point of time there wasn’t a buyer. But today there r 3 buyers to a seller. It’s not even an hr since market opened n volume is 5/6 times the usual volume. Something fishy. Enough of holding it. Vl sell if I get better opportunity elsewhere.


(AmitContrarian) #443

Another -20% they would have come even earlier …


(Manojlion) #444

I have few basic questions on inside trading Can someone help me out


(Gaurav Agarwal) #445

Why so much negativity around this stock? The company has top-of-the-auditor. US subsidiaries must be audited in US.

Investors are trying to say that the company is doing wrong in India as well as US and auditors are signing-off. Publishing false list of client. Microsoft & Amazon are lying. Cloud is not growing at frantic pace.

Quite a build-up of negative sentiment. Let’s wait for 15 days.


(Manojlion) #446

I have followed your previous posts in the above thread and am positive about the company. Hence I am holding this company

But i believe the managements keeps making few blunders like below

Dividend issue in 2017
Delayed submission of q4 earnings this year

These blunders keeps pulling down the confidence of investors.The management should be proactive to avoid these blunders


(Chirag) #447

Total I sold all my holdings with 50% loss!

This will be my last post on this thread!


(abhijain) #448

i was fortunate enough to read this valuepickr thread 5 months back when i had 8k miles at rs 650 and was occupying about 12% of my portfolio.One of my friend cautioned me about the company, in response, I googled and found this thread of valuepickr.I exited the very next day at some profits, so I find myself lucky.I owe my sincere gratitude to Valuepickr for guiding me and also to all the members who contributed here…lets help each other.
Now coming to Mr Market of India currently, lets me very particular about management and corporate governance while picking a stock.Even a slight doubt is eroding the share value fully- Vakarangee,manpasand,pc jewellers,dilip buildcon and now 8k miles.
I would say before even looking at business, look at how credible,honest the mgmt is…
When in doubt always get out


#449


(phreak) #450

This has been the story of this stock. Management came on CNBC last year as well after the big fall and we know what happened after that. Won’t be surprised if the stock reverses a part of the fall before the consolidated numbers come out. Today’s volumes and delivery though suggest a lot of retail shareholders must have sold in frustration. Such stocks only reward traders and people holding longer periods through ups and downs make nothing.


(easwar) #451

I agree with you. The company has appointed Delloite for the year 2017-18, in lieu of SGH Associates the earlier auditors of many years . They have 5-6 subsidiaries , whose accounts needs to be audited .Being the 1st year, the top auditors normally carry out a detailed study and audit of all activities , for which the accounts team are generally not prepared in advance for this kind of work in many cases and hence there could have been a case of genuine delay being the 1st year.

Also the delivered qty is only around 17 % to the total qty traded, which means only day traders were active in that counter to bring down the price. I feel, that we should wait till the results are declared to form a final judgement . Hopefully, the mgmt might have learned their lessons from the recent events. In case, there was any issue in the accounts, the auditors would have not signed the standalone results upfront as has been done and agreed to sign the consolidated accounts later.


(Rudresh) #452

Please find the today’s cnbc interview with the company ceo. He was pretty confident about the Q4 as well as Q1. N clarified no red flag from auditors as well. If we go by his words we will have 2 quarters results in 30 days. If he walks the talk n deliveries as per the historical growth rate, we might find light at the end of tunnel. Let’s hope for the best.


(srikanthg) #453

I have invested a small position here but to me dividend not declared is big red flag, very common feature in IT companies is generous dividend payout or buyback, I understand cash can’t be easily got back from us subsidiary, but all It companies have us subsidiaries.


(rajeshaaidu) #454

Sorry to say but then you are advising me to keep money in saving account because even government bonds are risky.Jokes apart!

Do you know any company like that in advance? If you are coming to know any growth company (not matured company) like that…please please let me know I am ready to put 50 percent of my portfolio. How you will fell after 10 years if Dilip Builcon will become 100 times from here?

It is all postfacto rationalization. You decide your risk taking ability and you will do good. Bad calls are forgotten and good calls are remembered and praised. People use to come on tv if they make money but have you seen anybody accepting that they have lost money. Even great likes RD and RJ don’t claim to be right or knowing everthing when they are investing. So, please try to understand difference between risk and volatility.
Yes! One thing I know this is great place for exchange of ideas. Don’t take personally. I have written my views and I reserve the right to be wrong.


(Rudresh) #455

Circuit has been revised to 10% from today


(Rohit) #458

Its not dividend only. Trade receivables are also high if we compare it with other IT stocks. V High trade receivables always raise doubts on authenticity of revenue and fear of collecting them.


(Manojlion) #459

Hi @Rohitsharma Sir .

When I did my initial analysis before investing into the company ,I checked the PAT vs CFO comparison for the last 10 years(Source: screener) and it looked good .So I invested in the company

image

Yes the receivables are very high and seems to be increasing every year (it was 130 crores as of 2017 ), and I understand that it is a concern( have been learning how to read a balance sheet only recently)

Does Receivables get factored it in PAT calculations ?

Goodwill due to acquisitions was 194 crores in 2017 and 162 crores in 2016.Is that a good or a bad sign ?

I am not from Accounting background,so please help me with this


(Rohit) #460

Please dont call me sir. I am also in learning phase. I usually try to avoid companies with consistently increasing receivables as % of revenue, This means that company is showing more revenue increase every year but they are not able to collect the previous revenue also. So the revenue can be fake also. In IT industry trade receivables as % of sales are not that much high.

Revenue and PAT can be shown high by playing with account receivables. So this a big red flag for me. One should need to watch receivables trend carefully. I don’t know much regarding goodwill but as per my limited understanding its an intangible asset which can be used to fudge the books.


(Manojlion) #461

@Rohitsharma Thanks for the explanation.
Yes increasing receivables is a red flag to me also after learning how to read a balance sheet.
However I don’t still understand if the amount mentioned in receivables is being recorded as PAT or not?
But I am still positive about the story as it has been recommended by Microsoft as their cloud implementation partner .With a new big auditor ,may be we will get precise and clear information from the Annual Report which includes the Customers list ,percentage wise revenue contribution of major clients etc.
I read the annual report of Ajantha Pharma today which gave a very clear picture about the state of the company eventhough they have been struggling recently. I want such an annual report for 8k miles as well