I spoke to ladies at my home and La Opala came across as a known brand. Corelle was also other brand which got mentioned. Corelle seems to be of better quality and priced premium too. One negative,La Opala weighs more than Corelle. La Opala starts from Rs. 2500 and upwards whereas Corelle starts from Rs. 5000 and upwards.
I think,La Opala is not in competition with Corelle because of varying price points and is thus catering to two different consumer sets. La Opala is catering to consumers who want a well-known brand at a decent price whereas Corelle is catering to people with a higher focus on brand and willing to pay a premium.
Since people in India love to brag to their guests,would want a decent brand to serve food at dinners. The lower middle income group with new found aspirations would surely pick La Opala over a lesser known brand,basically a product from an unorganized player.
One question,did sales tilt in favour of La Opala because the anti-dumping duties made the imported stuff costlier leading to both being priced on par and people preferred a brand because of not much price difference? Views invited.
And,what is the difference between opal ware and bone china,what’s better?
Request Subash ji and other people tracking/holding the stock to throw some light on competition and market size. What kind of growth is seen forward? Will declining consumption trends decelerate growth?
I am planning to exit La Opala completely. I had been riding it from the level of 120.
It is showing consistent sales/profit/eps growth. But if we look at Sept-balance sheet, it has receivables of 1981.33 lac, inventories of 2885.33 lac; whereas FY13 net profit was 2287.79, half-FY14 net profit was 1039.41 – i dnt find this comfortable. Looks like sales being pushed hard on the promise of receivables and does not seem to have enough moat.
As far as inventories/receivables are concerned, I think there is nothing to worry. They are in line with company’s historical numbers. And margin seems to be intact as well. I would (infact, I am) wait(ing) for another quarter results to see how the growth pans out.
More than 6 months have passed since the last Opinion was expressed in this vibrant thread. While we were focusing somewhere else, the script has consistently continued to make life time highs, no sales by promoters or big shareholders, entry of 3 FIIs in the counter in last one year and generally rewarded the shareholders handsomely.
Is there something that we are missing ?
Independent of what is stated above, could some of the Original Senior boarders on this thread continue to share their opinion on the Company and its prospects at this juncture and at this market Cap and guide other investors?
The company has announced placing shares worth 55 crores with Westbridge Funds. The company did not have any major capex planned, so anyone has any idea on the reason of placement? Thanks in advance.
La-opala has run up significantly recently, so it came up for sell consideration on my radar. It has been almost a 3 bagger in the last 18 months, all the more reason to check if there is juice left
Here are my thoughts which lead me to keeping it. My guiding principle is to find ways to not sell an excellent companies with huge potential.
If it
1). Grows @25-30% in the near term. Possible, they have done it in the past and there is huge growth potential for the products
2). Continues to expand margins by 1-1.5% in the near term. Results confirm the trend
I would be willing to hold giving it a PE of 30%
Looking forward to June Q results. Would be interested to hear views from fellow valuePickers
It is indeed ironical that a Great discovery of La opala made on this forum about 3 years back and which continues to generate phenomenal investor returns has not been tracked on this forum since almost a Year. This, in spite of Krishna Kumar posting its 100 bagger achievement in the preceding comment a Year back.
La Opala has declared its September 2015 quarter result today as under : Top line : + 12 % Bottom Line : +30 %. Further, the Company is commissioning its newly expanded 8000 TPA capacity at Sitarganj on 16.12.15. This will enhance their capacity from 13000 TPA to 21000 TPA.
As expected stellar results from Laopala today, they contnue to grow as per management’s earlier interviews. They plan to grow by 25% or more on YoY & I see them doing much better. The sitarganj facility is starting day after tomorrow on 16.11.2015 & we may see its positive impacts as early as annual results. It has stood well in recent times despite major indices & markets having tough time… As results are better than expectations, I see LaOpala moving above 735 or above with little support from markets which is likely to stabilize or turn positive from current levels … Happy Investing
La Opala RG Limited has started commercial production of the expanded capacity of the Sitarganj plant on November 16, 2015. With this now they have 60% more production facilities. Now management is trying hard to ensure that they continue to expand top & bottom line both by atleast 25% for next few years
Ideally La Opala comes out with results at the fag end of result season, as it has scheduled it for 3rd Feb, although not too early but feel its a little bit early than historical declarations. The trading window for management & its relatives shall be closed from Jan last week. Now I see it touching new highs based on these events in next 15 trading sessions. We must not forget that this result may have little contribution from their newly started plant at Sitarganj. I am expecting La Opala to trade around 735 before Republic Day this year.
