although Ambika is down 16 % on bad results but results weren't that bad esp year 31 March 2015. Sales in KG went up by 22% but average per KG price realization went down from RS 319 per KG to 278 KG in 2015.
One thing which came out from my analysis is somehow raw material per kg used is always 53 % of sales price , which might lead to conclusion that they are able to vary pricing as per input material.
Still need to check on Q1 results though.
Dis : invested at 1008
My valuation was based on DC F though with less margin of safety . Iam not able to paste my calculation as i am new user.
Initial cash flow : RS 44 Million
Discount rate : 12 %
FCF growth rate for first 5 years = 13.7 % ( taking FCF growth rate for last 10 years and dividing by 2) and next 5 years at 10 %
Terminal growth = 2%
Gives = Rs 1436 As fair value
Ideally should have taken 50 % MOS to wait for Rs 718 ( this is wat Prof paid ) but anyways got carried way by moat story in this forum and that stock may not fall went against my usually style and put money together ....